Low Volatility Means Investors Should Be Buying High Yield Debt?

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Rupert Hargreaves
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The lack of volatility has attracted a lot of interest and articles. The key focus is on the volatility index, often referred to as the VIX or fear index. The VIX is based on the cost of purchasing short-dated options on the S&P 500, with a low reading meaning the cost of buying options is cheap. But low volatility wasn’t just limited to the VIX, bond volatility and most other asset classes are low too. Low volatility means investors should be buying high yield debt? There’s a host of reasons why the VIX has been low. The short answer is…

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Sign up now and get our in-depth FREE e-books on famous investors like Klarman, Dalio, Schloss, Munger Rupert is a committed value investor and regularly writes and invests following the principles set out by Benjamin Graham. He is the editor and co-owner of Hidden Value Stocks, a quarterly investment newsletter aimed at institutional investors. Rupert owns shares in Berkshire Hathaway. Rupert holds qualifications from the Chartered Institute For Securities & Investment and the CFA Society of the UK. Rupert covers everything value investing for ValueWalk