Ex-Ante vs. Ex-Post Risk
Lewis Powell's - Consultant at Proteus - recent article featured on Canadian Investment Review.
Being compensated for taking risk is the foundation of investing — but that idea is being challenged more and more every day as expected returns on risky-asset classes continue to fall.
We know that exposing our assets to risk is necessary to earn the return required to meet the objectives of the investment portfolio. But are Committees and Boards ensuring compensation for exposing the assets to various risks is appropriate?
Read the rest of this article here.