Risk Parity Radio Episode 7: How To Construct A Risk Parity Style Portfolio From Basic Principles
23 snips
Aug 13, 2020 AI Snips
Chapters
Transcript
Episode notes
DIY Risk Parity
- Implement Risk Parity principles in your own retirement or drawdown portfolio.
- Consider how professionals construct and manage these portfolios.
Varied Approaches
- Professional Risk Parity portfolios vary in strategy and results.
- Some are conservative, others aggressive, leading to diverse outcomes.
March Drawdowns
- Many Risk Parity portfolios saw a maximum drawdown of 17-20% in March.
- Wealthfront's version, however, dropped over 42% due to complex strategies.