Active investment management’s weekly magazine for fee-based advisors

The following posts are related to diversification/risk management. Scroll down to see more articles.

Are index funds the next market ‘bubble’?

While bear markets are inevitable, will their impact be exacerbated by the growth of passive index funds—and the accompanying “madness of crowds”? One of the fun aspects of having children is re-exposure to some great kid-friendly literature. In a...

Keeping portfolio risk under control

Understanding the tools to better manage portfolio risk throughout different market, volatility, and economic regimes. One major gripe of mine is that some portfolio strategists who consider themselves to be risk managers are effectively just risk...

6 misconceptions about alternative investments

Alternative strategies provide a valuable tool to help investors manage risk in their investment portfolios, but this growing investment category is often misunderstood. The investment category of alternative investments is perhaps one of the most...

Marketing realities for financial advisors

In a business where establishing trust is essential, it’s unwise to take shortcuts when communicating an advisory firm’s services and active approach to investment management. Consistent messaging and frequent points of contact are the keys to a...

Explaining the (mis)behavior of markets

Does fractal mathematics offer a better way to understand market risk? The traditional test of understanding how something works is to take it apart and then rebuild it. If the clock still keeps time afterward, there is a good likelihood that the...