Tag: diversification
5 posts tagged "diversification".
The practice of spreading bets across many uncorrelated holdings so that no single failure can sink you — "the only free lunch in finance." It is foundational to passive investing and to surviving tail risk, and underpins Nassim Taleb's barbell strategy of pairing very safe assets with a sliver of asymmetric bets. On this blog the idea generalises beyond money: diversifying skills, income sources, and social ties is a way of buying optionality and staying robust to a future no one can predict.
Posts:
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Advanced Investing: The Barbell Strategy for Bastards
"Marry an accountant, but have occasional flings with rock stars." Nassim Taleb's barbell strategy won't improve marital harmony, but it's smart investing.
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How a Billionaire Taught Me to Invest Using the Force
I didn't get to ask David Booth to weigh in on the Han vs Greedo controversy, but our conversation was still among the most life-changing I’ve ever had.
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How to Become an Investor: An Animated Guide for Beginners
Getting started with investing is easy, and anyone can do it! Come join our hero Jimmy on his epic journey from total noob to investing mogul.
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Beware of Geeks Bearing Formulas
The history of finance is a history of brains splattered on the pavement. Just how safe is the buy-and-hold index funds orthodoxy?
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The Barbell Strategy: How Not to Be a Starving Artist
Living off ramen in your mom's basement while you wait for your genius business idea or novel to hit the big time is a dead end. It's time to get strategic.
