Big investors like pension funds could be facing a 'triple whammy' of risks, says JPMorgan

Traders wear masks as they work on the floor of the New York Stock Exchange as the outbreak of the coronavirus disease (COVID-19) continues New York, May 27, 2020.
Lucas Jackson | Reuters

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With bond yields hovering around historic lows, big portfolios which invest across multiple assets such as pension funds could be facing a "triple whammy" of risks, according to JPMorgan.

Marko Kolanovic, the firm's widely followed global head of macro quantitative and derivatives research, noted that bonds and equities rallied in tandem over the last decade, while "maintaining a negative correlation of daily returns, thus suppressing portfolio volatility."