DiscoverThe Option Alpha Podcast181: Correlation Research Suggests Diversification Fails When You Need It Most
181: Correlation Research Suggests Diversification Fails When You Need It Most

181: Correlation Research Suggests Diversification Fails When You Need It Most

Update: 2020-06-181
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Show notes: http://optionalpha.com/show181

There's an old saying in investing that a "rising tide lifts all boats." And while that might be true, when the tide goes out, all the boats sink and fall just as fast as they rose together. Still, you'll hear the pounding of drums in the name of classic diversification as the portfolio savior during these downturns. Our research suggests, however, that even a well-diversified portfolio can still completely blow up just when you need it to protect you most.

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181: Correlation Research Suggests Diversification Fails When You Need It Most

181: Correlation Research Suggests Diversification Fails When You Need It Most

Kirk Du Plessis