Re:All the Texts on Financial Engineering You Could Ever Want
by steveplace on Thursday February 26, 2009 @12:46PM
(#496134)
Some are valuable, others are stark reminders of how much hubris exsited before the financial collapse.
Example: here's one from Goldman Sachs which is essentially a sales pitch for adding Mortgage Backed Securities to a portfolio: http://bit.ly/N4dMb
A quote from that: We believe investors have the opportunity to significantly improve their risk/return profile by strategically
allocating a portion of their portfolio to the MBS/securitized sector for two important reasons:
1) the historically attractive risk/return profile of the securitized sector and attractive yield opportunities
relative to Treasuries and 2) the diversification benefits from introducing new sources of risk and
potential return to the portfolio.
Example: here's one from Goldman Sachs which is essentially a sales pitch for adding Mortgage Backed Securities to a portfolio: http://bit.ly/N4dMb
A quote from that: We believe investors have the opportunity to significantly improve their risk/return profile by strategically allocating a portion of their portfolio to the MBS/securitized sector for two important reasons: 1) the historically attractive risk/return profile of the securitized sector and attractive yield opportunities relative to Treasuries and 2) the diversification benefits from introducing new sources of risk and potential return to the portfolio.