The Case for Diversification in Canada

Being appropriately diversified and allocated (per your risk tolerance and risk capacity) would have afforded better results over the most recent market panic.

Ian Tam, CFA 14 June, 2021 | 1:02AM
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Diversification Suitcase 

In a handful of articles and a landscape report written by my colleagues, Morningstar touts the fact that in investing, diversification is the only free lunch. What does this mean and what’s free about it?   

First, let’s understand what it means to be diversified. 

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About Author

Ian Tam, CFA  is Director of Investment Research at Morningstar Canada. 

 

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