A Quote by Robert J. Shiller
Diversify, because that helps reduce risk. And you can diversify outside the United States. Some people would never invest in Europe - I think that's a mistake.
Related Quotes
If you invest and don't diversify, you're literally throwing out money. People don't realize that diversification is beneficial even if it reduces your return. Why? Because it reduces your risk even more. Therefore, if you diversify and then use margin to increase your leverage to a risk level equivalent to that of a nondiversified position, your return will probably be greater.
There are only a few things investors can do to counteract risk: diversify adequately, hedge when appropriate, and invest with a margin of safety. It is a precisely because we do not and cannot know all the risks of an investment that we strive to invest at a discount. The bargain element helps to provide a cushion for when things go wrong.
I think there are two challenges - and one challenge is how to diversify the workforce in the technology industry, and the other challenge is how to diversify the people who are starting companies.
Optimization tells us precisely how to diversify the portfolio, whether I should have 12% in semiconductors or 4% in biotech, etc., and it literally tells me how to diversify not only the industry groups but the stocks.
The U.K. needs to diversify - to become the technological as well as the financial centre of Europe.
If you diversify, control your risk, and go with the trend, it just has to work.
I never thought I would have an opportunity to act in the United States, and continue to expand my career outside of Europe. To be honest, my reality is bigger than I would have ever dared to dream.
Some people think we will see a nuclear explosion in Europe or the United States within the next 10 years. Will it happen? Sure, it's possible. But I think we can greatly diminish that risk. The only way you can do that is through cooperation, and it has to be global.
In Europe, you have very different situation than you do in the United States. In Europe, it's very segregated. And you have the diasporas in Belgium that I saw. And they're being radicalized because they're not assimilated with the culture. I don't think we have that same situation in the United States.
The ideals and the values of the United States inspired the entire world. I don't think any of us can say that our standing in the world now, the way children around the world look at the United States, is the same. And part of what we need to do is to send a message to the world that we are going to invest in issues like education, we are going to invest in issues that relate to how ordinary people are able to live out their dreams. And that is something that I'm going to be committed to as president of the United States.
Some people make a career out of doing one thing, but I wanted to diversify my body of work.
My view is that one should diversify broadly across different fund investments. However, it's tough for investors to try to pick the appropriate risk level that they should manage their funds at. Having a personal adviser would be helpful.
Unemployment is higher in Europe than in the United States and primarily concentrated in immigrant minority populations, so people are worried about what's going to happen and if American-style ghettos are emerging in Europe. There are some of the problems there that America sees associated with the lack of economic inclusion - family breakdown, gang behavior, and racial tensions. I get the sense that in Europe they are much more concerned about these issues than in the United States.
I think that if a United States of Europe were to be formed, it would be in our interests to fight for it, as all our old traditions would remain in such a united Europe, whereas if we were to start now as part of the Russian Empire, everything that had ever been in Germany would disappear.
Portfolio theory, as used by most financial planners, recommends that you diversify with a balance of stocks and bonds and cash that's suitable to your risk tolerance.
Unlike in the 1980s and 1990s, this time the Japanese are going to be more circumspect and invest in their end markets, which would include Europe and the United States.
Related Authors
Adam Smith Quotes
Scottish
Economist
Alan Greenspan Quotes
American
Economist
Benjamin Graham Quotes
American
Economist
Friedrich August von Hayek Quotes
Austrian
Economist
John Kenneth Galbraith Quotes
American
Economist
John Maynard Keynes Quotes
English
Economist
Joseph Stiglitz Quotes
American
Economist
Ludwig von Mises Quotes
Austrian
Economist
Milton Friedman Quotes
American
Economist
Muhammad Yunus Quotes
Bangladeshi
Economist
Murray Rothbard Quotes
American
Economist
Paul Krugman Quotes
American
Economist
Richard Thaler Quotes
American
Economist
Robert Reich Quotes
American
Economist
Thomas Sowell Quotes
American
Economist
Walter E. Williams Quotes
American
Economist