Investment Performance: Why consistency is king, Part 5

Why keep pounding the math to show that big up years and down years kill long-term performance? Because it is tied to another dirty word: diversification.
Done properly, diversification lowers the volatility of returns and increased long-term performance.
Why does volatility matter
What factors INCREASE portfolio volatility? It’s what the typical investor does: all eggs in one basket, and marketing timing.

Why Volatility & Diversification Matters

Stewart Partners explain:
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