jgrusewski a9a1c3c511 test: diversification maxed in base-6; more streams dilute (they're beta-repackaging) ...

What to do with diversification? Tested sqrt(N) lever: base-6 vs expanded-12 (+REITs/TIPS/HY/intl/
EM/vol-premium). Expanded WORSE (+1.20->+1.04, 2022 +0.1->-1.4): candidates are equity/bond-beta in
disguise -> concentrate not diversify. Trust layer manages edge-health not redundancy. Genuine
uncorrelated net-positive streams are scarce; base-6 already spans the distinct premia. Diversification
is maxed in the deployable book; the lever is capital, not more streams.

Co-Authored-By: Claude Opus 4.8 (1M context) <noreply@anthropic.com>

2026-06-07 20:50:27 +02:00

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