How investors are diversifying
Financial experts are advising investors to diversify their portfolios beyond the current market winners to mitigate risks associated with high concentration in US equities. Strategies include exploring real estate investment trusts and emerging markets in Asia to manage volatility.
Why it matters
As market volatility increases, shifting investment strategies is critical for individual and institutional investors to protect capital against sector-specific downturns.
It has been a volatile year for global markets, rewarding some trades while punishing others.
CNBC asked six investors about the biggest risks they see and how they are positioning portfolios in response. Despite differing views on the biggest threat to markets, the investors repeatedly returned to the same response: diversify beyond this year's biggest winners.
Chris Rush, investment manager at IBOSS, told CNBC the biggest risk investors were taking was being "too concentrated in the winners of the past and missing other opportunities around the world."
Get smarter about the news
Sign up free for a feed built around what you actually care about, Dive Deeper research on any story, and the full text of every article.
Create free accountAlready have an account? Sign in