The Average Company Doesn’t Matter
Investing is about capturing the outliers, Baillie Gifford’s Tom Slater says. In a study of long term buy-and-hold strategies, he found that more than 50 per cent of returns were driven by just three companies in the portfolio. But how do you find these outliers?
APG Sees More Dispersion in Investor Returns Ahead
The rise of alternative data sets is likely to create a wider dispersion of investors’ returns as the wide range of available data will lead investors to take more varying approaches than they have done so in the past, according to APG Asset Management. Until recently, most financial strategies have relied on a handful of […]
The Biggest Risk in Investing is Trying to Avoid It: Grantham
Asset managers don’t take enough risk when implementing their best ideas, according to veteran investor and GMO co-founder Jeremy Grantham. “By far the biggest risk in the long run is to try and avoid risk, to try and hedge everything out,” Grantham says. “Forget it. You’ve got to learn to take some risk and hit […]