For the second time this year, equity markets dropped sharply in October, with most equity indices deepening their losses since the beginning of the year. In Europe, the Euro Stoxx index closed 6% down over the month, and all European equity indices are in negative territory. Japan's index has now lost all its 2018 gains. The S&P posted a drop of nearly 10% off its year's high. The catalysts driving this correction have been multiple: Firstly, economic data in the euro zone has been running below investors' expectations. Next, concerns over Italy have impacted the markets, with the Italian government intending to increase its budget deficit beyond the level authorised by the European Commission. The spread on Italian bonds against German bunds has accordingly widened to its highest level since 2014. Across the Atlantic, geopolitical tensions persist and continued hikes in US interest rates are creating a sense of risk aversion, as investors fear such high rates could damage the national economy. Equity exposure, which contributed positively to the portfolio's performance in previous months, has impacted QuAM 10's results this month. In order to limit the impact of this sharp market correction, the portfolio has been significantly divested. Also, its bond bias has been reduced, maintaining only a limited exposure to high-yield bonds and aggregates. These divestments were made in preference for money market funds, with more than three-quarters of QuAM 10 portfolio invested in non-risky assets by the end of the period.