Sentences with phrase «less diversified holdings»
Yet for De Goey, the currency risk of EEM is still greater than having less diversified holdings in a BRIC fund».
http://www.canadiancapitalist.com/ Not exact matches
And if you choose funds that hold a broad range of stocks and bonds and work in synch with each other, you can put together a well - diversified portfolio with just a few funds, or even less.
Obviously, if a manager holds 100 stocks now, and is inspired to concentrate only on his 10 «best ideas,» the new portfolio will be less index - like and less diversified than its starting point.
That's why it's best to build a broadly diversified portfolio that balances small stocks with less volatile holdings like larger stocks, bonds and other assets.
An investor in ITCs usually has less need for diversification than is the case for GCs, in part because the portfolios of ITCs tend to already be quite diversified as is the case for Brookfield Asset Management, Loews Corp., and a majority of the portfolio securities held by Third Avenue Real Estate Value Fund.
You also need to diversify your holdings within those asset classes and hold, in the case of a stock portfolio, a variety of stocks — from risky to less risky, in different currencies, in different industries — to reduce your risk exposure.
Teachers» superior returns were attributed to patience (they traded just 6.1 times a year compared to an average of 9.1), risk reduction (they had a 12 % higher allocation of diversified funds), and being more invested (they held less cash in their portfolios).
But their portfolios beat their benchmarks not because they held better diversifiers, nor because of great security picks — they won because they happened to own less of a few things that went down the most.
A large body of evidence suggests that investors diversify their portfolio holdings much less than is recommended by normative models of portfolio choice.
Holding multiple bank accounts and RRSPs at different institutions can make your investments less diversified.
And if you choose funds that hold a broad range of stocks and bonds and work in synch with each other, you can put together a well - diversified portfolio with just a few funds, or even less.
Nonetheless, given the safety of U.S. government bonds, and the relatively lower volatility and returns of all bonds, less diversified bond holdings may adequately fulfill the needed function of bonds in an overall portfolio.
My solution's the same as I employ elsewhere in my portfolio — if certain holdings are illiquid, possibly riskier and / or less diversified, I simply mitigate those risks by reducing my stake size and / or demanding higher upside potential.