EQUITY RISK MONITOR HIGHLIGHTS

• Risk ticks up globally
• US Leadership VERY narrow

Risk ticks up globally

By and large it was a strong week for equity markets worldwide, reversing a downward trend that persisted for the prior few weeks:

The following chart is not published in the SimCorp Risk Monitors but is available upon request:



Most of the markets we track saw a small uptick in Short-Horizon risk for the second week in a row, which follows naturally from the increased realized volatility. Medium Horizon risk levels continue their long secular decline:

US Leadership VERY Narrow

In chart 24 of our Equity Risk monitors, we show the percentage of stocks that beat the index over the prior week. Last week in the US, despite a return of 2.8%, only 35% of the index constituents outperformed:

See Chart 24, US Equity Risk Monitor, 26 April 2024

In general, the US market bounces back and forth between fairly broad gains and gains concentrated in a very select group of names, as compared to the Developed Ex-US, which appears much more evenly split between winners and losers in any given week:

See Chart 24, International Developed Markets Equity Risk Monitor, 26 April 2024