Be prepared for “a summer of shocks,” noted a recent Bank of America Merrill Lynch global investor survey. A ranking of tail risk shows Brexit in first place, followed closely by China devaluation/defaults.
Below is a short video where we use our cross asset FNA Correlations map to run predictive Brexit and China stress tests. The most resilient assets for each scenario: USD & US Government Bonds.
Video 1: Brexit & China Stress Test (4:22 min)
Thank you for tuning in, and feel free to suggest emerging risk themes to analyze.