The Hidden Value of Low Correlation
We recently wrote about the reward-per-unit-of-risk ratio. Ultimately, investing is entirely concerned with generating reward-per-unit-of-risk taken. And there are two obvious ways to boost this ratio: Boost the numerator: that is, identify skilful managers who implement sound investment process with extreme discipline; and/or Reduce the denominator. But how does one reduce the denominator? Well, there […]
