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The document discusses the concept of time diversification in investing, contrasting short-term and long-term investment horizons. It argues that while riskless assets may be preferred for short-term goals, longer horizons allow for greater risk-taking due to the likelihood of offsetting poor returns. Critics of time diversification contend that while the probability of losing money decreases over time, the potential magnitude of losses increases, challenging the rationale for favoring risky investments ove

Author

Juliano Vieira

Language

EN