In Defense of Defensive Equity

In this Investment Insight, we attempt to de-mystify the performance of low-volatility investing in the first half of 2020. Although the 33-day period between the S&P 500’s peak and trough is likely too short to be statistically significant, it is still an important period to study because the severity and unexpected nature of the drawdown was a market condition for which many asset owners looked to low-volatility strategies to provide protection.