The stock market is currently experiencing a downturn caused by weaker-than-expected economic conditions, mixed earnings results, and the elevated interest rate.
For our stocks portfolio, this means that many of our well-researched stocks are experiencing a decline due to market conditions. Hence, we are activating our full portfolio hedges to reduce the downturn’s impact on your portfolio and protect your investments during this period.
What is a Hedge?
Hedges are positions that gain value when the market is in decline or experiencing a downturn. They reduce the impact of a downturn when you don’t want to sell out of your investments by reducing your overall losses and smoothening the ups and downs in a volatile market.
Because we hold the stocks in your portfolio for their long-term performance, we have our hedges set to protect your holdings. When the market is going up, we turn the hedges off. And when the market is going down, we switch them on.
Ultimately, our goal is to help you focus on your long-term goals, despite what the markets do in the short term. Thank you for choosing Rise and keep investing toward that better future.