Time to Be Risk Off for the Moment: ADS Investment Solutions’s Lemand

The video discusses the impact of closures in China due to a virus outbreak, affecting global consumption and economy. It compares the current situation to past events, highlighting financial concerns and the potential for a Black Swan event. The discussion emphasizes the need for risk management and observes ongoing containment efforts.

What are some of the immediate effects of the virus outbreak on China's economy?

• Increase in public events

• Closure of restaurants and blocked transport

• Rise in tourism

• Boost in local businesses

How does the current virus outbreak compare to previous ones in terms of impact?

• It has no impact on GDP

• It has already peaked

• It has a higher death rate

• It has a lower death rate but uncertain end

What is the advised approach to financial risk during the outbreak?

• Ignore the outbreak

• Reduce risk exposure

• Maintain current risk levels

• Increase risk exposure

What is a Black Swan event in the context of financial markets?

• An unexpected event with severe consequences

• A predictable market trend

• A government policy change

• A common market fluctuation

Why is it too early to label the outbreak as a Black Swan event?

• The death rate is relatively low and efforts are ongoing

• Efforts to contain it are showing results

• It has already been contained

• The death rate is high