A Wealth of Common Sense · 6 November 2026 · Additional Read

Diversification & Drawdowns

Ben Carlson

A sharp market selloff reveals diversification's power: while tech and AI stocks cratered, the broader S&P 500 fell only 6% because uncorrelated sectors like materials, healthcare, and financials held steady. Index funds remain the simplest hedge against unpredictable boom-bust cycles.

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Topics: Venture Capital & Startups

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