What is an Idiosyncratic Whisk?

In financial theory, idiosyncratic risk is the risk that is specific to any given security.  Since it is possible to diversify all risks that are not correlated to the broadly diversified market, financial theory would predict that you cannot earn profits by taking on idiosyncratic risk - you can only profit from exposure to undiversifiable risk.

I mentioned that I might someday start a hedge fund called the "Idiosyncratic Risk Fund" to a professor that I admire.  He told me that I'd be laughed out of the industry.  Of course he was right.  But, of course, that is what I am doing.

Financial theorists look at the full range of investing opportunities, and rightly conclude that the securities with excessive specific risks do not, on average, produce higher returns.  But, for the speculator, if the good eggs can be separated from the bad eggs, these are the types of securities that will amplify the results of your work, good or bad.

Of course, markets are generally very efficient.  For example, there are thousands of bonds and bond derivatives that trade every day, moving by the minute.  Their prices are all interlinked by a broad set of factors related to time, inflation, credit risk, etc.  Yet, it is nearly impossible to find a sufficiently mispriced security in this teeming throng of moving prices to make arbitrage excessively profitable.

The image of the idiosyncratic whisk brought to my mind what the theorist might see  - the broad set of investable securities as a giant bowl of scrambled eggs.  The speculator takes each bowl, one by one, and says, most of the time, "Yep, scrambled."  "Yep, scrambled."  "Yep, scrambled."  But, with much discipline and a clear eye, occasionally, you can stick the whisk in and say, "Hmm, lookie here.  A yolk."


  1. I Want To Appreciate Dr OLIHA for his great deeds, I Was Diagnosed With type 2 Herpes Virus Last year, And I Was Looking For Solution To Be Cured Luckily I Saw Testimonies On How Dr OLIHA Cure Herpes Virus I Decided To Contact Dr OLIHA I Contacted Him He Prepared A Herbal Medicine Portion And Sent It To Me, I Started The Herbal Medicine For My Health. He Gave Me Step By Step Instructions On How To Apply It, When I Applied It As Instructed, I Was Cured Of This Deadly Herpes Within 2 weeks, I Am Now Herpes Negative. My Brother And Sister I No That There Are So Many People That Have The Same Herpes Virus Please contact Dr OLIHA To Help You Too, And Help Me To Thank Dr OLIHA For Cure Me, I’m Cured By Dr. OLIHA Herbal Medicine, His Contact Email:{oliha.miraclemedicine@gmail.com} or visit his website is https://olihamiraclemedicine.webs.com/  or  Cell Whatsapp Number +2349038382931 thank you

  2. I'm here to testify about what DR. OYAGU did for me. I have been suffering from (GENITAL HERPES VIRUS) disease for the past 2 years and had constant pain and inching, especially in my private part. During the first year, I had faith in God that i would be cured someday. This disease started circulating all over my body and I have been taking treatment from my doctor, few weeks ago I came across a testimony of Shayla Bosschart on the internet testifying about a Man called DR. OYAGU on how he cured her from 7 years HSV 2. And she also gave the email address of this man, advise anybody to contact him for help on any kind of diseases that he would be of help, so I emailed him telling him about my (HSV 2) he told me not to worry that I was going to be cured!! Well, I never doubted him I have faith he can cure me too,, DR. OYAGU prepared and sent me Healing Soap, roots and herbs which I took. In the first one week, I started experiencing changes all over me, after two weeks of using his Roots/ Herbs, Oil and Soap, I was totally cured. no more inching , pain on me anymore as DR. OYAGU assured me. After some time I went to my doctor to do another test behold the result came out negative. So friends my advise is if you have such disease or know anyone who suffers from it or any other disease like HPV, HBV, HIV, ALS, HBP, CANCER etc. you can contact DR. OYAGU for help via email} oyaguherbalhome@gmail.com visit his website https://oyaguspellcaster.wixsite.com/oyaguherbalhome whatsapp him through his mobile} +2348101755322. , Thanks once again DR. OYAGU for making me a happy woman again.