Concentrating a portfolio on a few choice assets dramatically increases an investor’s chance of superior performance. Nonetheless, most advisors and investors shun portfolio concentration as unacceptably risky. To a great extent, this is driven by the myth that adequate diversification … Continue reading
Those who let emotions drive their investment decisions missed out on the October market surge, the largest monthly stock market return in 20 years. These investors have unwittingly fallen prey to the ‘Volatility Trap,’ failing to recognize – as our … Continue reading
Successful investors accept volatility as a reality of owning stocks and adjust their behavior to fit the market, not the other way around. Here are a few practical suggestions to help your clients gain perspective. Read the Full Article in … Continue reading
Indexing is overly hyped, and skilled stock pickers will prevail. Conventional wisdom suggests that hiring an active equity manager is a fool’s errand. I once believed this too, as did many of my academic contemporaries enamored with an elegant yet … Continue reading