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"We think we have good diversification".
"Moving to 20percentt would be a significant increase and a good diversification," Ms. Rinaldi says.
"With 40 to 50 investable countries, each with different economic conditions," he said, "you really get good diversification benefits".
For both sides, travelling across the Atlantic is a "good diversification strategy," says Mr De la Madrid.
What distinguishes a good diversification strategy, Messrs Hausmann, Rodrik and Sabel argue, is not the ability to pick winners; it is the guts to let losers go.
"If you've traditionally been in a business where you're subject to the ups and downs of interest rates, this is a good diversification away from that," said Scott Edgar, who helps manage $750 million of assets at Sife Trust Fund, which owns U.S. Bancorp shares.
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Asked about favorite stocks, Ms. Seitz cited American Electric Power, -- a Columbus, Ohio, holding company yielding 6.93 percent with an energy-trading operation, good fuel diversification and the scale to be a major supplier.
A new hospital has opened, and Mr Goodman predicts a boom in "medical tourism", as boomers come for new hips while their families have fun on the Strip.Las Vegas has never been much good at diversification.
For bonds, 80% should be placed in Europe, with the remainder allocated to high-yield corporate bonds with good international diversification, including emerging-market bonds.
Spending newfound riches on sports: paid $130 million for pro hockey's Washington Capitals and a stake in Washington Sports & Entertainment, which owns pro basketball's Washington Wizards and the MCI Center in D.C. "It was a good personal diversification strategy".
In most cases, the lure of hedge funds is that they do not move in line with the stock market, so they can be a good means of diversification.
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