History
Diversification is mentioned in the Bible, in the book of Ecclesiastes which was written in approximately 935 B.C.:
- But divide your investments among many places,
- for you do not know what risks might lie ahead.
Diversification is also mentioned in the Talmud. The formula given there is to split one's assets into thirds: one third in business (buying and selling things), one third kept liquid (e.g. gold coins), and one third in land (real estate).
Diversification is mentioned in Shakespeare (Merchant of Venice):
- My ventures are not in one bottom trusted,
- Nor to one place; nor is my whole estate
- Upon the fortune of this present year:
- Therefore, my merchandise makes me not sad.
The modern understanding of diversification dates back to the work of Harry Markowitz in the 1950s.
Read more about this topic: Diversification (finance)
Famous quotes containing the word history:
“All objects, all phases of culture are alive. They have voices. They speak of their history and interrelatedness. And they are all talking at once!”
—Camille Paglia (b. 1947)
“Properly speaking, history is nothing but the crimes and misfortunes of the human race.”
—Pierre Bayle (1647–1706)
“You that would judge me do not judge alone
This book or that, come to this hallowed place
Where my friends’ portraits hang and look thereon;
Ireland’s history in their lineaments trace;
Think where man’s glory most begins and ends
And say my glory was I had such friends.”
—William Butler Yeats (1865–1939)