Unraveling Diversification Misconceptions Among Advisors
February 07, 2024 at 08:00 AM EST
Many advisors may be surprised to learn how many securities are needed for effective portfolio diversification. A common misconception among advisors is that true diversification and risk reduction can only be achieved by holding a large number of individual securities. However, studies have shown that portfolio risk, defined by the standard deviation of returns, can [...] The post Unraveling Diversification Misconceptions Among Advisors appeared first on ETF Trends .