Alicia Levine, head of investment strategy and equities at BNY Wealth, believes that markets are likely to experience consolidation rather than a significant selloff. She notes that markets have demonstrated "remarkable resilience" and that the declines observed in March and April were already a reflection of the various risks present in the market. This outlook suggests a period of stabilization rather than a sharp downturn in the immediate future. Her comments were made in late June 2025.
Levine has also previously highlighted the technology sector as the most volatile. In March 2023, while at BNY Mellon Wealth Management, she discussed the surprising resilience of stocks and credit spreads, observing a growing disconnect between bond volatility and stock markets. This indicates her consistent focus on market resilience and the identification of volatile sectors.
BNY Investment research from March 2026 suggests that volatility is a persistent feature in current markets, partly due to conflicts in the Middle East leading to higher oil prices and increased inflation uncertainty. Despite these factors, BNY recommends staying invested and strategically positioning portfolios. They advocate for rethinking quality and duration by tilting towards higher-quality, shorter-duration bonds to manage interest rate and credit risk, and rethinking diversification by considering global infrastructure and large-cap value stocks, which are seen as beneficial in the current environment.
The firm has also suggested a nuanced approach to traditionally safe-haven assets like gold. While gold still has a role, its effectiveness as a hedge has been weaker, with emerging market central banks selling gold to rebuild reserves. Therefore, BNY advises complementing gold with a broader mix of diversifiers to strengthen portfolios in volatile times. The overarching message from BNY and Levine is to remain invested while adopting strategic adjustments to portfolios to navigate market fluctuations.
