Risk Parity

Let's take a look at a way to practically implement risk-parity in a portfolio. A traditional 60/40 mix of stocks and bonds can be leveraged one of three ways. First, through a traditional margin account with the investor being charged the broker call rate + or - an amount relative to their account size. Currently the rate at Fidelity...

Intro Reading

Three white papers by Bridgewater and PanAgora to introduce the blog and the topics of post modern portfolio theory and risk-parity... "Engineering Targeted Returns and Risks" - Bwater "The Biggest Mistake In Investing" - Bwater "Risk Parity Portfolios" - PanAgora