Roberge: More Volatility Likely Because of Election

The video discusses the roles of passive and active strategies in investment portfolios, emphasizing the importance of active management for returns and risk management. It highlights challenges faced by active management due to market cycles and correlations. The evolution of fee structures in investment management is examined, noting a trend towards lower fees. Long-term investment strategies and market cycles are discussed, with a focus on educating clients. The impact of political events on market volatility is analyzed, and potential regulatory changes are explored.

What are the two main reasons for using active investment strategies according to the transcript?

• Cost efficiency and market exposure

• Return enhancement and risk management

• Market timing and liquidity

• Tax benefits and diversification

Why have some hedge funds been reevaluating their fee structures?

• Due to increased competition from passive funds

• Because of high returns in the market

• To attract more retail investors

• To comply with new regulations

What is considered a long-term period for evaluating active management performance?

• One to three years

• Ten years

• Three to five years

• A market cycle

How does the transcript suggest investors should respond to political events like elections?

• By making quick portfolio adjustments

• By lengthening their investment horizon

• By focusing on short-term gains

• By avoiding all market investments

What could be a consequence of significant fiscal policy changes under the Trump administration?

• A more aggressive Federal Reserve

• Lower market volatility

• Increased need for monetary policy

• Stable interest rates

What is the potential impact of populism on the market according to the transcript?

• Decreased geopolitical risks

• Increased market stability

• Lower investment opportunities

• Higher market volatility

What is the expected impact of changes to the Dodd-Frank Act on the financial system?

• Decreased market confidence

• Increased regulation

• Higher capital requirements

• Positive market perception