Ten Years After the long view show why diversification is overrated and asset allocation is so hard

摘要

My first Unconventional Wisdom column appeared 10 years ago. It advise that investors give a wide berth to CEOs of dubious reputation, of which the cigar-puffing Ronald Perelman was offered as an example. Well, I did warn you. Perelman's flagship, Revlon, then traded for USD29.05 a share. In the intervening decade, largely due to Perelman's incautious borrowing, the cosmetics company plunged to USD1.49 - a decline of 95 percent.