This is a summary of links featured on Quantocracy on Tuesday, 08/02/2022. To see our most recent links, visit the Quant Mashup. Read on readers!
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The Effective Number of Bets: Measuring Portfolio Diversification [Portfolio Optimizer]Many different measures of portfolio diversification have been developed in the financial literature, from asset weights-based diversification measures like the Herfindahl Index1 to risk-based diversification measures like the Diversification Ratio of Choueifaty and Coignard2 to other more complex diversification measures. Because each of these measures usually provides information about a