@article{764120,
      recid = {764120},
      author = {Sargen, Nicholas Peter,},
      title = {Global shocks : an investment guide for turbulent markets  /},
      pages = {1 online resource.},
      abstract = {How should investors manage portfolios during crises? This  question has surfaced since the 2008 global financial  crisis, which is the latest of a series of shocks that  began in the early 1970s. While crisis situations offer  opportunities to outperform markets or to be engulfed by  them, little has been written to guide investors when  markets are not functioning normally. This book, which is  written from a practitioner’s perspective, fills the void  by providing the reader with a toolkit and guiding  principles to manage money when markets are in turmoil. It  features ten case studies beginning with the breakdown of  the Bretton Woods fixed exchange rate system through the  current situation in which investors are assessing whether  China could become the next bubble. Each chapter discusses  how the respective crisis or bubble unfolded at the time,  the way policymakers and markets responded, and the optimal  strategy for positioning portfolios.The goal is to share  these experiences and the lessons from them, so investors  will be better prepared for future shocks. The opening  chapter explores whether there are common patterns in  movements of interest rates and exchange rates that  investors can exploit. A conceptual framework is presented  that helps explain why this is the case for traditional  currency crises, but less so for asset bubbles. The  concluding chapter ties the episodes together and considers  how the nature of financial crises has evolved since the  collapse of Bretton Woods. We cite factors that make it  difficult for policymakers and investors to detect problems  in advance of an asset bubble. The good news is investors  get a second chance to outperform when markets are  over-sold; however, they need to formulate a strategy to  limit the damage during the sell-off phase and to  capitalize on the eventual recovery. .},
      url = {http://library.usi.edu/record/764120},
      doi = {https://doi.org/10.1007/978-3-319-41105-7},
}