risk-off

Fleeing to havens

Risk-off describes a market mood or investment strategy that avoids volatile assets in favor of safer ones.

When investors go risk-off, they shift from stocks, emerging markets, or high-yield bonds into government bonds, gold, or cash.

The opposite is risk-on, when appetite for risky assets returns: Markets turned risk-off after the banking crisis.

defensive

treasuries

Funds or storage repositories

  • bondsTies that unite
  • goldElement seventy-nine
  • cashReady spending funds

hedging · diversification · money-market · fixed-income · liquidity

Categories
Opposites
investment sentiment/appetite

risk-offrisk-on

Favoring volatile investments

risk appetite · bullish · speculative · risk tolerance · leveraged

market regime/environment

risk-offrisk-on

Favoring volatile investments

bull market · euphoria · animal spirits · greed · exuberance

Family

risk, off, risks, risked, risking, risky, riskier, riskiest, riskiness

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