Despite the positive equity market development in recent years, the effects of the last major financial market crisis in 2008 are still present globally. Regardless of the fact that politicians, regulators, and central banks managed to stabilize the financial markets after 2008 and thus avoided a “meltdown” of the entire financial sector, the constant fear of the next severe correction has remained.
In this respect, the early detection of a financial market crisis is probably one of the most important issues affecting the global financial market community. We can offer the right approach for this event.
Due to the large number of players, financial markets behave strongly randomly and do not follow single patterns that can be based on in the long term. Therefore, predictions and attempts to identify patterns are in principle not target-oriented. Instead, we focus on measuring the current state (stability) of a market as accurately as possible and adjust allocations accordingly in a consistent and regular process.
Through the advanced mathematical underpinnings developed at ETH-Zurich, tactical management calibrates itself and adapts autonomously to changing market regimes.