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Bob Elliott - The Hedge Fund ETF

Opto Sessions – Invest in the Next Big Idea

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Is There a Criteria for Diversification in ETFs?

There are a number of actually regulatory constraints that typically enforce diversification so that we can't have, for instance, more than 20 or 25% of a position in the same or economically similar securities. There's also, frankly, common place risk control requirements around FAR. So ensuring that you're constantly doing tests to ensure that there aren't undue risks of substantial loss in terms of the portfolio. Those are all the sort of normal type of processes that you do as part of running money,. Just to make sure that your overall portfolio is within constraints. The reality is that this is a super diversified portfolio. There's a lot of, we have 30 positions on, there's some longs

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