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Englisch Begriff oder Satz:forced naive diversification
Article discussing diversification limits for hedge funds: "This is a simple form of a forced naïve diversification but it has been shown to achieve superior results over pure mean-variance optimisation (due to the non-normal distribution of returns in many strategies)." Not sure if this is bad English, or specialised statistical terminology.
Erklärung: believe it or not, it exists, though nobody has tried answering it - here is the def and you can see why naive is appropriate here
Naive diversification
Definition
A strategy whereby an investor simply invests in a number of different assets and hopes that the variance of the expected return on the portfolio is lowered.
As you can see, I'm naive - in trying to close old questions - and helping people who have outstanding questions (with the new Kudoz rules...)
Bonne année
Erklärung: believe it or not, it exists, though nobody has tried answering it - here is the def and you can see why naive is appropriate here
Naive diversification
Definition
A strategy whereby an investor simply invests in a number of different assets and hopes that the variance of the expected return on the portfolio is lowered.
As you can see, I'm naive - in trying to close old questions - and helping people who have outstanding questions (with the new Kudoz rules...)
Bonne année