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A comment on Save like a pessimist, invest like an optimist. Parent comment

Re:Save like a pessimist, invest like an optimist by Def_Os on Saturday November 14, 2020 @06:08PM (#25096544)
But increased leverage doesn't mean your risk-adjusted returns are any better.
[ Parent | on HN ]
Re:Save like a pessimist, invest like an optimist by smabie on Saturday November 14, 2020 @10:10PM (#25097887)
You can't eat on risk adjusted returns alone! gotta make that chedder

But leverage necessarily decreases your risk adjusted return assuming non zero volatility of the strategy. This is called "volatility drag."

[ Parent | on HN ]