BAML: Low volatility a bubble ready to burst

"The low beta bubble is on the verge of deflating," says the quant team at BAML. "Due to low beta stocks’ strong performance in an up market, these stocks have quietly become riskier than they appear."

Looking at the relative valuations of the "low beta" vs. "high beta" names, the analysts find the staid stocks trading at their largest premium to the risky ones in more than a decade.

Low volatility ETFs: SPLV, USMV

From other sites
Comments (0)
Be the first to comment
DJIA (DIA) S&P 500 (SPY)
ETF Screener: Search and filter by asset class, strategy, theme, performance, yield, and much more
ETF Performance: View ETF performance across key asset classes and investing themes
ETF Investing Guide: Learn how to build and manage a well-diversified, low cost ETF portfolio
ETF Selector: An explanation of how to select and use ETFs