Fidelity's McQuaker repositions funds for end of 'super calm' markets

'Maximising the bang for our buck'

Fidelity multi-asset manager Bill McQuaker has begun to position his Open funds to cope with unexpected volatility, should "super calm" markets come to an end.

McQuaker (pictured), who joined Fidelity in January from Janus Henderson and runs the firm's five-strong £1bn Multi Asset Open range, said volatility was extremely low with the S&P 500 experiencing its lowest intra-day trading since the 1920s. This could leave investors in a vulnerable position should volatility rise unexpectedly, particularly those in passive or tracker funds. "An unforeseen rise in volatility could lead to quantitative strategies like trend followers or risk parity funds amplifying the rise, panicking retail investors who have pumped cash in over the course of the p...