The risk-parity fire sale that didn’t happen

Have fears of a co-ordinated sell-off by risk-parity funds been proven wrong?

Financial blog Zero Hedge has called it a “mass quant puke” – the type of leverage unwind from systematic funds that many feared would accompany interest rate spikes.

It’s a concern that first took hold in 2013 at the time of the US taper tantrum. And for nearly three years, the pre-puke nausea churned away.

Risk parity was one of the strategies thought to be susceptible – the popular alternative to traditional 60/40 weighted equity/fixed-income portfolios, pioneered by Bridgewater with its

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact or view our subscription options here:

You are currently unable to copy this content. Please contact to find out more.

Sorry, our subscription options are not loading right now

Please try again later. Get in touch with our customer services team if this issue persists.

New to View our subscription options

You need to sign in to use this feature. If you don’t have a account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here