July 31, 2018
In our previous post, we discussed the Sharpe Ratio as a way to measure risk within one's portfolio. If you have not read our post, we highly recommend familiarizing yourself with the important (and perhaps over sensationalized) statistic that we, as well as many others throughout the investment community, use.
July 8, 2018
If you've ever landed on our site, or any of the other volatility trading sites, you're probably interested in investments that are riskier than government T-bills. These government T-bills are considered risk free investments; there are no interest payments and there is considered to be no default risk associated with the bills because they are backed by the government. As investors, we are seeking the highest possible return in exchange for the lowest amount of risk possible. Percentage returns on investments are easily understandable to the layman investor; however, measuring risk in your portfolio may be less comprehensible to some. So how do we measure risk?