Dr. Putnam and I have been collaborating on understanding the current market environment as it relates to the phenomenon of falling market volatility in the face of rising market uncertainty. Hedge Fund JournalKatina Stefanova: Dr. Putnam, do we finally see a turn in volatility in global markets and could that be beneficial to macro investors? Dr. Putnam: Market uncertainty is not a standard investment term. One might think all of these uncertainties would have been associated with increased market volatility, especially in equity and bond prices, but it did not happen in 2016 or 2017. Dr. Putnam: To appreciate what events might trigger volatility, we need to examine the complex relationship between uncertainty and volatility.

Source: Forbes January 26, 2018 15:00 UTC