Uncorrelated Bets Quote by Ray Dalio
““Making a handful of good uncorrelated bets that are balanced and leveraged well is the surest way of having a lot of upside without being exposed to unacceptable downside.””
About This Quote
Source Book: Principles: Life and Work by Ray Dalio, 2017
Diversify with a few well‑balanced, uncorrelated bets to capture upside while limiting risk.
In simple terms: Diversify smartly for upside, limit downside.
Make a few calculated, varied investments.
Themes
Mood
Type
When to use this quote
- stock investing
- venture capital
- personal finance
- business strategy
Key Concepts
Questions to Reflect On
- What uncorrelated opportunities do you overlook?
- How much leverage is acceptable for you?
Over‑diversification can dilute returns; leverage adds risk.