Should You Be Concerned About Correlations?
This article was originally published on ETFTrends.com.
By Salvatore Bruno via Iris.xyz. Correlation – how different asset classes behave relative to one another – is an important concept in portfolio construction and at the heart of Modern Portfolio Theory (MPT) as developed in the 1950s by Harry Markowitz. To put it simply, MPT describes the use of asset classes with varying levels of [...]