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Chinese Models Power 60% of US Corporate AI Use

True diversification across all 11 economic sectors plus bonds, alternatives, and cash protects portfolios. Total market index funds and annual rebalancing are key strategies.

SourceHacker News AIAuthor: mgh2

Real diversification means spreading investments across all 11 economic sectors plus bonds, alternatives, and cash so no single bet can sink the portfolio.

Different sectors perform at different times, so a diversified portfolio captures upswings while smoothing the brutal drawdowns that wipe out concentrated bets.

Total market index funds offer the simplest path to diversification, and annual rebalancing is what keeps the structure working over time.