Unless you are an investor living under a rock, you know that the volatility of returns we are witnessing in the marketplace are lately are much higher than what we have experienced since the beginning of the quantitative easing cycle. During this times period, professional strategists and portfolio managers were telling us that volatility, whether realized or implied, in the 8 to 12% range was far below normal. They said it would end someday, but could not tell us when. Now that it has, everyone seems to be overreacting to return volatility that looks more normal than we are willing to admit.
