Take the example of the financial economist and Nobel laureate Harry Markowitz, one of the founders of modern portfolio theory. When asked about how he allocated his retirement account, he confessed: “I should have computed the historic covariances of the asset classes and drawn an efficient frontier. Instead … I split my contributions fifty-fifty between bonds and equities.
— Cass Sunstein and Richard Thaler: Nudge: Improving Decisions about Health, Wealth and Happiness
The fix is in.(via rickwebb)