Sentences with phrase «lack of diversification»

Lack of diversification in a portfolio is one of the most common mistakes investors make.

This potential lack of diversification may result in heightened volatility of the value of your portfolio.

Other factors that raise the probability are lack of diversification of assets, a short term for repayment on the leverage, a run on the bank, or restrictive rules on what happens if your assets decline too much in value.

then you probably have some idea what lack of diversification means.

Until the fall of Tiger Woods, professional golf had been shielded from the business axiom that lack of diversification kills.

But people who rely 100 % on any type of investment — whether it's their own company or anything else — are taking a big chance, because of a dangerous lack of diversification.»

Solely relying on employment income is doing just that, putting yourself at risk through lack of diversification.

Unavoidable reasons for lack of diversification can include owning a private business or being a key member of a company management team who is required to own company stock by an employment agreement with the company.

Lack of diversification intensifies any problem.

I no longer have to worry about lack of diversification, illiquidity, or no transparency since I have all of these things today.

There are lack of diversification in Canadian market.

They entail significant risks that can include losses due to leveraging or other speculative investment practices, lack of liquidity, volatility of returns, restrictions on transferring interests in a fund, potential lack of diversification, absence and / or delay of information regarding valuations and pricing, complex tax structures and delays in tax reporting, less regulation and higher fees than mutual funds.

Opti had at least two big problems other operators don't have, technology and lack of diversification.

While diversification does not ensure a profit or guarantee against loss, a lack of diversification may result in heightened volatility of your portfolio value.

While diversification does not ensure a profit or guarantee against loss, a lack of diversification may result in heightened volatility of the value of your portfolio.

Their high dividend yield does not overcome their lack of diversification outside of Canada or their less - than - promising growth prospects.

Buffett contends that over-diversification can hamper returns as much as a lack of diversification.

There is a very high risk involved, since the lack of diversification puts all of the money into one basket, there is also a very high reward if the money is invested into the right sector or industry.

The most common criticism of ESOPs is their lack of diversification — that employees are essentially putting all of their eggs in one basket.

The problem here is a lack of diversification.

This lack of diversification can cause significant financial losses for employees, especially when a company is in financial distress.

Their high dividend yield does not overcome their lack of diversification outside of Canada or their less - than - promising growth prospects.

While diversification does not ensure a profit or guarantee against loss, a lack of diversification may result in heightened volatility of the value of your portfolio.

Better known as a lack of diversification, concentration risk is when you have too many eggs in one basket.

Not sure how «lack of diversification» alone would affect returns on average over the long run, as the concentration can go both ways, though it would certainly explain some cases.l

One obvious problem with OpenInvest is the lack of diversification.

However, recent crises have brought into sharp relief the lack of diversification of many investment portfolios, despite appearances to the contrary.

On a risk - adjusted basis, this lack of diversification was quite costly to these investors.

And what geographical regions - maybe they should have a larger focus on their home market, but what impact would that have on a potential lack of diversification that would expose them to unnecessary risks while leading to impaired returns?

Lack of diversification: Your property will comprise a lion share of assets.

The biggest drawback with purchasing individual bonds is the lack of diversification.

There aren't many investors who have suffered because of lack of diversification, but the ill effects of over - diversification are rampant.

The major downside to this approach was a lack of diversification in most portfolios.

Lack of diversification is another risk for a home owner vs a renter.

Because of the volatility and lack of diversification, he says he uses the strategy as more of a jumping off point.

When prices collapsed in 2000 many investors lost their capital permanently due to lack of diversification.

Maybe it was the ease or lack of diversification — or maybe it was just that it didn't represent a good sample of available securities.

-- Chasing performance / lack of diversification: Trying to home in on the best markets / sectors each year is just fool's gold anyway.

This kind of performance chasing & lack of diversification is almost guaranteed to yield inferior returns — even if you can match the longer term return of a more diversified portfolio, you'll still suffer far more painful levels of volatility.

Given the lack of diversification in the Canadian market — which is dominated by banks, energy and mining companies — international equities should be part of any long - term portfolio.

That may be a very smart move but it could cost you from a lack of diversification.

Lack of diversification is something to think about.

I do not expect this lack of diversification to be as much of a problem with preferred shares as with common shares.

This limited selection leads to lack of diversification, which results in higher risk, much higher volatility, poor investment performance, low yields, selling shares when they're down, lower spendable retirement paychecks, capital depletion, and a disappointing retirement.