In Praise of Diversity
“You will always hate something in your portfolio. Really, really hate it”. James Osbourne (Bason Asset Management) October 2014. We often get communications from advisors telling us that they have clients who have concerns with regard to one (or more) of their holdings in EBI Portfolios, which for whatever reason are doing badly at that point. What follows is an attempt to explain why the portfolio is diversified and how (and why) this methodology works.Looking at the One Year chart for EBI 100 (Home Bias) it is not hard to spot the outlier; Global Property has lagged badly in the last year (and indeed over two years as well).