Webinar: How to Mitigate Investment Risk with Deep Diversification

Diversification is a battle cry for many investors and financial planners.

Join our next Webinar on How to Mitigate Investment Risk with Deep Diversification.

Presenter: Dr Laura Rusu, CEO & Founder, LENSELL

Thursday, October 14, 2021 from 12:00 PM – 1:00 PM AEDT

Deep diversification is critical in building efficient portfolios by giving investors the flexibility to tailor their portfolios to their own risk and return preferences. Taken individually, each security in a portfolio has an expected return and a risk (volatility of returns). By combining securities in a way that is consistent with the Modern Portfolio Theory, investors can control the total level of risk they are prepared to take, for the return they expect to obtain from the portfolio.

While portfolio estimated return is easy to calculate, portfolio risk is much more complex and difficult to compute manually even by professional investors.

Historically, money managers have employed various methods to introduce a degree of diversification and to find “efficient portfolios”, like using the ‘60/40 rule’ or the ‘risk parity rule’.

This webinar will explain why the traditional methods are no longer sufficient and will provide practical examples of using deep diversification to find efficient portfolios through analysing several scenarios.

The concepts of Minimum Risk Portfolio and Optimal Portfolio will be also explained and exemplified.

If you are looking to learn more about portfolio risk, diversification, Modern Portfolio Theory and Efficient Frontier Theory, and understand how all these concepts can help you manage your investment portfolio, this webinar is for you.