October 15, 2019 / Alex Duty

Investment Diversification, Part II

Diversification Video, Part II

Before watching part II, please watch Alex’s Diversification, Part I Video.

In Part I,

Alex Duty, CFA, CIPM, discusses the functionality of diversification. Alex speaks about investment strategies and the science of a well-diversified fund. Using Alex’s knowledge, one can better understand and achieve higher risk-adjusted returns. This is accomplished by employing a variety of different asset classes in a portfolio. “Diversification does not increase expected returns by itself. However, diversification does decrease volatility without compromising on expected return.”

In Part II,

Alex goes into deeper detail regarding expected returns, diversification, and different time periods. In this explanation, Alex walks us through Portfolio and Average Weighted Sharpe Ratios for stock, bond, and managed future portfolios.

We hope you enjoy this video. Please reach out to White Oaks Wealth Advisors if you have further questions.

Alex Duty

Alex Duty, CFA^®, CIPM^® is the Portfolio Manager at White Oaks. He performs broad capital markets research to inform the asset allocation decisions within client portfolios as well as research on third party managers to ensure that White Oaks is accessing the desired exposures appropriately.

The foregoing content reflects the opinions of White Oaks Wealth Advisors and is subject to change at any time without notice. Content provided herein is for informational purposes only and should not be used or construed as investment advice or a recommendation regarding the purchase or sale of any security. There is no guarantee that the statements, opinions or forecasts provided herein will prove to be correct. All information or ideas provided should be discussed in detail with an advisor, accountant or legal counsel prior to implementation.

Past performance may not be indicative of future results. Indices are not available for direct investment. Any investor who attempts to mimic the performance of an index would incur fees and expenses which would reduce returns.

Securities investing involves risk, including the potential for loss of principal. There is no assurance that any investment plan or strategy will be successful.