portfolio variance
1 statements across 1 episodes · 1 bullish · 0 bearish · 1 people on the record · first statement Aug 5, 2024 by Todd Simkin · across every show →
Everything said about portfolio variance, oldest first
Aug 5, 2024 positive
Simkin: Uncorrelated businesses scale profit linearly and variance sublinearly
“Our businesses being uncorrelated means that over the long run, I expect my profits to increase by the expected value of each of these businesses, but my variance, my standard deviation only to go up by the square root of the number of Businesses or exposures …”