The clips of different perspectives on a single topic are really enjoyable. Would like to see a little synthesis from the two quants in the podcast though. What are reasonable strategies to try and benefit from diversification that don't assume mean reversion will happen next year, but rather might take a 5-10 years? Are there rebalancing rules that let the winners run a little longer? Are their currency or market hedges that help protect returns? Still feels like mainly a personal call of how committed are you to believing historical averages and reversion to the mean.
You can easily get the balance Andy talks about by currency hedging. In crashes all stockmarkets are correlated. So you can easily currency hedge your US bonds with Yen and going into Japanese stocks for example. You can also go global stocks + global bonds hedged. I dont see where this is lacking balance.
The clips of different perspectives on a single topic are really enjoyable. Would like to see a little synthesis from the two quants in the podcast though. What are reasonable strategies to try and benefit from diversification that don't assume mean reversion will happen next year, but rather might take a 5-10 years? Are there rebalancing rules that let the winners run a little longer? Are their currency or market hedges that help protect returns? Still feels like mainly a personal call of how committed are you to believing historical averages and reversion to the mean.
Fantastic compilation.
Thank you!
Thanks for this episode!
Thanks for watching!
Excellent variety of people, perspective, and analysis. Thank you.
Thank you!
You can easily get the balance Andy talks about by currency hedging. In crashes all stockmarkets are correlated. So you can easily currency hedge your US bonds with Yen and going into Japanese stocks for example. You can also go global stocks + global bonds hedged. I dont see where this is lacking balance.
I believe in diworsification (your 10th best idea is worse than your best idea), but every time I learn more on India I have fomo