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> stock in one or more competitor companies Be careful with this... if we're talking about diversifying your risk, there's a good chance that the stock values
by InitialLastName 5y ago
> stock in one or more competitor companies
Be careful with this... if we're talking about diversifying your risk, there's a good chance that the stock values of your employer and of its competition in the same industry are positively correlated modulo some market events. Better to buy stock that is likely to be independent of the industry that derives your primary salary.
- sanderjd 5y agoSure. I'm just speaking hypothetically. It might have been better to say "uncorrelated" rather than "competitors".