Diversifying risks - page 9

[Evgeny Belyaev]

Алексей Тарабанов:

Buy cashless.

Thank you Cap.

[Edgar Akhmadeev]

Is there any website with an overview of which currencies and what proportions of reserves are held by different central banks? Or something equally useful. To calculate your portfolio wisely (both cash and electronic). This is becoming more and more relevant...

[multiplicator]

Vitalii Ananev:

If you think about it. Gold, the euro and the rouble are all tied to the dollar. The dollar goes down everything else goes up. The dollar rises, everything else falls. Diversification is when your portfolio consists of instruments that do not correlate with each other or this correlation is insignificant. For example, equities in the energy sector and industrial equities plus equities from the banking sector plus government bonds and gold.

If you buy shares in VTB and Sberbank, it does not mean that you have diversified. But a portfolio of shares in Uber, Avtovaz and Gasprom is already diversified, because these companies are from different sectors of the economy - banks, the car industry and the energy sector.

Cross-sector portfolioing saves from a crisis within one sector.
Portfolioing between countries saves from the crisis within one country.
portfolioing between galaxies has not yet been invented).