A Trend-Following Strategy for Portfolio Diversification

OpinioPro Selection
By November 23, 2022 08:25

A Trend-Following Strategy for Portfolio Diversification

An object in motion, Isaac Newton postulated, continues in motion unless acted on by another force. That law of classical physics has its analog in the realm of financial markets. Crowd psychology and pricing dynamics create observable momentum in returns, prices tending to continue in one direction until a catalyst shifts sentiment. This phenomenon has been observed over centuries and across assets, cultures, and time zones.i The utilization of this tendency by practitioners is called …

OpinioPro Selection
By November 23, 2022 08:25

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