PT  - JOURNAL ARTICLE
AU  - Renato Staub
TI  - Asset Allocation vs. Security Selection—Baseball with Pitchers Only?
AID  - 10.3905/joi.2006.650141
DP  - 2006 Aug 31
TA  - The Journal of Investing
PG  - 35--42
VI  - 15
IP  - 3
4099  - https://pm-research.com/content/15/3/35.short
4100  - https://pm-research.com/content/15/3/35.full
AB  - What investment decision is more important, asset allocation or security selection? In spite of its persistence, this question is misdirected. Like pitchers and hitters in baseball, asset allocation and security selection assume different and complementary roles in portfolio management. Consequently, they are both important, but their relevance is not directly comparable, as the applicable measures of success are different. However, their importance may vary according to the given market environment. Effective investment managers understand well which investment decision becomes more crucial in a particular situation.TOPICS: Performance measurement, risk management