Allianz's Mahajan Sees More Volatility in 2018

The video discusses the increased market volatility and its implications for active management. It highlights how active management can outperform benchmarks during downturns and explores the potential for economic downturns in the future. The discussion includes portfolio strategies, comparing active and passive management, and the role of volatility in market dynamics. The video concludes with an analysis of current market trends, including the behavior of the dollar and treasury yields.

What is one advantage of active management during market downturns?

• It eliminates all market risks.

• It is cheaper than passive management.

• It always guarantees higher returns.

• It can outperform benchmarks by managing risks.

Why might investors prefer passive management in low volatility environments?

• It guarantees no losses.

• It is simpler and cheaper.

• It is more complex and expensive.

• It offers higher returns than active management.

What strategy is mentioned as beneficial in volatile markets?

• Eaton Vance global macro strategy

• High-frequency trading

• Buy and hold strategy

• Index fund strategy

What recent market condition is highlighted in the third section?

• Stable treasury yields and a weaker dollar

• Lower treasury yields and a stronger dollar

• Unchanged treasury yields and dollar strength

• Higher treasury yields and a weaker dollar

What is the potential future trend for market volatility according to the third section?

• Volatility will remain elevated indefinitely.

• Volatility will stabilize and possibly decrease.

• Volatility will increase to unprecedented levels.

• Volatility will have no impact on markets.