Asset Classes, Risk, and Return: A Post-Modern Perspective Asset classes are the building blocks used to construct an investor’s strategic asset allocation. By arranging these blocks astutely, an investor can diversify portfolio risks and improve his chances of achieving personal financial goals. Traditionally, investors focused on three major asset classes: Cash, Fixed Income, and Equities,
How Confident Can You Afford to Be? When flying on a commercial airline, how confident are you that your plane will arrive at its destination without accident or incident? Are you 90% certain? 99%? More than 99%? Our willingness to routinely board commercial airplanes suggests that our confidence level is well in excess of 99%.
What Now? Sixty Years of Modern Portfolio Theory This spring, Queen Elizabeth II will lead a flotilla of 1,000 ships, boats, and barges on a seven-mile trip down the Thames River. Among the watercraft in this pageant will be the 88-foot barge Gloriana, a gilded replica specially built for the event and named in honor