Increased Correlations an Ongoing Threat to Traditional Portfolios

Inflation remains a key, overlooked player in markets despite investor optimism. While inflation remains above 2.5%, it threatens traditional model portfolios that rely on stock and bond inversions for risk reductions. In a high-inflation environment, it becomes necessary to look further afield for genuine diversifiers as correlations increase. Elevated inflation increases the odds of stocks [...] The post Increased Correlations an Ongoing Threat to Traditional Portfolios appeared first on ETF Trends .