Uncommon truths - Will tapering ruin our Covid memories?
The peak-end rule suggests memories of events are dominated by the moment of peak emotion and the end. We use the VIX as a measure of pain during the pandemic and look ahead to tapering.
What will be your memory of the Covid experience? Of course, we have all had very long, personal and sometimes painful experiences but the duration may have less effect on our recollections than you might believe. Indeed, there are good theoretical reasons for believing that how it ends will have an important influence upon our memories (of which more later).
Investment risks
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The value of investments and any income will fluctuate (this may partly be the result of exchange rate fluctuations) and investors may not get back the full amount invested.
Important information
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Data as of 30 April 2021 unless stated otherwise.
This document is marketing material and is not intended as a recommendation to invest in any particular asset class, security or strategy. Regulatory requirements that require impartiality of investment/investment strategy recommendations are therefore not applicable nor are any prohibitions to trade before publication. The information provided is for illustrative purposes only, it should not be relied upon as recommendations to buy or sell securities.
Where individuals or the business have expressed opinions, they are based on current market conditions, they may differ from those of other investment professionals, they are subject to change without notice and are not to be construed as investment advice.
