Risk & Allocation
Correlations rise in the weeks you need them low
Assets that move independently in normal conditions frequently move together in a crisis. The diversification you measured was…
Risk & Allocation
Time horizon, capacity for loss and what a portfolio is actually for.
21 articles · updated August 11, 2026 · page 2 of 2
Risk & Allocation
Home bias is chosen by not choosing
Investors everywhere hold far more of their own market than its share of the world would suggest. The reasons are rarely examined…
Risk & Allocation
The arithmetic of getting back to where you were
A fall and the gain needed to reverse it are not the same size. The gap widens fast, and it explains why large losses matter…
Risk & Allocation
Everything you own is in the same portfolio
Property, pensions, cash and your own earnings all respond to the same economy. Looking at the investment account alone measures a…
Risk & Allocation
Cash swaps one risk for a slower one
Cash does not fall in nominal terms, which is exactly why it feels safe. What it loses is purchasing power, quietly and without…
Risk & Allocation
Some risks pay you and some just happen to you
Taking more risk does not reliably produce more return. Only certain kinds of risk have any theoretical reason to be rewarded at…
Risk & Allocation
Nobody receives the average return
Long-run average figures describe a smooth line no investor has ever experienced. What you get depends on the order the years…
Risk & Allocation
A glidepath moves the allocation on a calendar, not on a view
Dated funds reduce risk according to a schedule set at launch. That is their whole strength and the source of every objection to…
Risk & Allocation
Capacity for loss is arithmetic; tolerance is a feeling
How much risk you can take and how much you want to take are different questions. Only one of them has an answer you can calculate.