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Reinvest Wisely So Your Family Will Love You: Enigmatic Fine Art Returns, Messi & Sports Financing

Pirates of Finance

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The Importance of Diversifying Risk

The argument I always hear that I hate is like, you should be paid for taking a risk over the risk free rate. What Chris brought up, right, right, what Chris brought up is no, it's actually like a non diversifiable risk. And so this is an example where you have producers, manufacturers, real players are able to cross their risk and then by doing so, there should be no risk premium to that because they're both diversifying their insured risks. That lowers cost of capital or allows them to create a more profitable business.

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