Diversification is famously the only free lunch in investing. But when asset correlations shift, that meal might come with an unexpected bill. Economic cycles, inflation surprises, and market crises can all rewrite the rules when you least expect it.

And in today’s Dumb Question of the Week: Can adding an asset with negative expected returns ever be good for your portfolio?

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This podcast is for informational and entertainment purposes and is not financial advice. We do not provide recommendations or endorse any decision to buy, sell or hold any security. We cannot be held responsible for any actions listeners may take and investors are encouraged to seek independent financial advice.

Copyright 2023 Many Happy Returns

When the Free Lunch Bites Back: Navigating Changing Asset Correlations

Many Happy Returns

When the Free Lunch Bites Back: Navigating Changing Asset Correlations