The recently completed work of the Anthropocene Working Group, a group of scientists studying the advent of a new geologic age - the Anthropocene - went largely unnoticed until recently. The Anthropocene era, which is broadly defined by how man-made factors impact the environment, has been in existence since the dawn of the Industrial Age.
2016 has been a year of significant change; a year in which a sky full of hobbyist drones has become the norm; a year that has witnessed a new breed of terrorism that has shaken the world's strongest governments; a year in which corporate governance scandals splash time and time again across the front-page news.
Minimizing volatility is important to investment managers focused on capital preservation. After all, lower volatility helps protect capital and improve the key portfolio performance metric, the Sharpe Ratio, which is equal to the average annualized return divided by annualized volatility. An acceptable Sharpe Ratio for a portfolio starts in the 1.8 range.