A positive stock-bond correlation is a terrible reason to add more
equity risk
opalesque
2 months ago
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By Opalesque: The stock-bond correlation, which was reliably negative for much of the 2000s, has turned positive in recent years. This shift has sparked a wave of advice urging investors to dump bonds and replace them with other asset classes.
Cliff Asness, Daniel Villalon and Antti Ilmanen of AQR...
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