Simon Evan-Cook: Is diversification dead?

'Last two years particularly stark'

clock • 3 min read

At a time when investors are questioning the value of diversification, Simon Evan-Cook explores whether a varied approach pays off...

Diversification has taken quite a drubbing in recent years. This is coming from a Spurs fan, so you can rest assured I know a drubbing when I see one. That said, although it has not been a fantastic decade for diversification, it is the last two years that have been particularly stark. In a nutshell, holding anything other than America's largest companies or, in the bond world, the longest-duration, US-dollar denominated bonds, has been a largely pointless exercise since 2018. So it is fair to ask then, is diversification itself a waste of time? And a potentially expensive one at that...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Investment

Watch Professional Adviser's Working Lunch with Baillie Gifford - Unlocking Opportunities Beyond the US: Why now for the Baillie Gifford Managed Fund

Watch Professional Adviser's Working Lunch with Baillie Gifford - Unlocking Opportunities Beyond the US: Why now for the Baillie Gifford Managed Fund

Catch up on the discussion

Professional Adviser
clock 01 December 2025 • 1 min read
Partner Insight: UK small-cap opportunities are 'The best for more than 30 years', Downing's Judith MacKenzie says

Partner Insight: UK small-cap opportunities are 'The best for more than 30 years', Downing's Judith MacKenzie says

Growing interest in IPOs and a surge in pension fund interest put UK small-caps on course for strong growth.

Judith Mackenzie, Partner and Head of Downing Fund Managers
clock 01 December 2025 • 4 min read
'It's been frantic – in a good way': Orbis' Matt Spencer on maintaining momentum

'It's been frantic – in a good way': Orbis' Matt Spencer on maintaining momentum

Advisers in the UK are ‘exceptionally high quality’

Jenna Brown
clock 25 November 2025 • 8 min read