Sentences with phrase «provides less diversification»

They fail to appreciate that even 30 or 40 individual companies provides less diversification than even one broad - market index fund.
It would make sense for foreign markets to provide less diversification benefit than they used to, given that the world economy, even as it becomes less U.S. - centric, is becoming more interconnected.

Not exact matches

Efficient diversification will not be enough to earn good returns; even very well established track records will provide a less reliable guide to future performance; and bond managers will probably have to stray far from their comfort zone to deliver even modestly positive real returns.
Complementing traditional investments, Ross points out that real estate is less volatile (unlike stocks, it's not marked to market every day); provides diversification with a favorable balance of risk versus return; is favorably taxed via capital gains tax treatment and interest deductibility; generates returns similar to the stock market and «often more»; provides principal protection; a hedge against inflation and a pension - like «monthly coupon.»
My suggestion is to stick with a traditional portfolio of equity and bond ETFs, which provides all the diversification you need with lower cost and less complexity.
Lester Canadian Equity Fund: For clients who have less than $ 500,000 in investments and who want exposure to Canadian equities, this fund was created to provide greater diversification than can be achieved in a smaller segregated account.
I'd only comment that the stocks need to be properly chosen, hopefully it's obvious that 10 stocks in the same sector provide far less diversification that 5 chosen from different sectors.
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