The era of relentless change may actually make markets less vulnerable to 'black swans,' those disruptive and unexpected turns of events that can quickly overturn our expectations and cause crises in markets.
How could this be? Shouldn't more uncertainty mean that markets will be less stable?
The truth is that as we become adjusted to a rapidly changing world, we are less prone to adopt the false certitude that makes a black swan event so dangerous.
The phrase 'black swan' was introduced into our vocabulary by the author Nassim Nicholas Taleb. As he explained it, years of experience of only observing white swans led many to believe that all swans were white.