ILS in volatile times
The U.S. government's announcement of massive tariffs on imports to the U.S. led to severe distortions in global equity markets. In times of high volatility, few asset classes can escape the general downturn. Due to their structural independence from the general economy, ILS investments have historically shown high immunity to severe turbulence in the general markets. Consequently, ILS investments are expected to provide a stabilizing role for a diversified portfolio during the volatile period of April 2025.