Browsing All Posts filed under »Efficient Markets«

That Monster Called Diversification

May 28, 2010

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Yes, this blog is targeted toward entrepreneurs.  But today I feel like writing about diversification in finance.  It might be every financial analyst’s most favorite word. According to common theory, you can “diversify away” all asset-specific risk and remain with only the systematic (market) risk by including  a broad range of asset-classes in your portfolio.  […]