Are Sectors the New Factors?

When Markets Change, Diversification Evolves.

In this paper, we look inside the Holy Grail of diversification and see how it works in a world where financial markets are as complex as they are fast-paced.

As we will see, we should not take diversification for granted but instead be ready to identify, adapt and quickly exploit diversifying opportunities – like the ones offered from sectors and risk factors – as they arise.

What is needed, is to take a step further: from a well-known principle to a scientific and opportunity-driven approach to diversification to guide investment decision making. 

Inside:

  • The E=mc2 of Finance
  • The More The Merrier? Not Always
  • Opportunities Lie Between and Within Asset Classes
  • Why Sectors Matter
  • Not All Sectors Are Born Equal
  • Where do we go from here?
Other research papers:
SCIENTIFIC METHOD

COVID-19: How Artificial Intelligence Looks at It

The Diffusion of COVID-19

Figuring out the long term consequences of the new Coronavirus (aka COVID-19) is rather hard at the moment and the capital ma...

ARTIFICIAL INTELLIGENCE

The Right Call

🗺️ Would you travel without a map? — Of course, not.
As investing has become a tech challenge, investors, executives and managers are increas...