Portfolio diversification – Simon Taylor's Blog

6 Jun 2026

Key finance concepts: the benefits of diversification

by Simon Taylor | posted in: Key finance concepts | 0

The two foundational concepts in financial economics are: i) risk and return tend to go together, which we explore here; and ii) diversification is a good thing. * The old European proverb, don’t put all your eggs in one basket, captures the benefits … Continued

13 Jul 2023

You can’t insure against climate change

by Simon Taylor | posted in: China, Energy, International affairs | 0

Climate change involves systemic risk, so it’s not possible to insure against, or diversify away the risk. * Over the years I have sometimes heard investors talk of insuring their portfolios against climate change risks. A group of students once … Continued

Simon is Management Practice Professor of Finance at Cambridge Judge Business School. From 2008-2018 he was the first Director of the University of Cambridge Master of Finance (MFin) degree, and was later the first Director of the University's Global Executive MBA. An economist and former equities analyst at JPMorgan and Citigroup, he teaches on financial markets and institutions, infrastructure finance and the world financial system. He is a Fellow in Management at St Catharine's College, Cambridge, where he is a member of the investment committee, and a research associate of the Cambridge Energy Policy Research Group, where he specialises in nuclear finance.

Simon's faculty profile at Cambridge Judge Business School >

The Global Executive MBA >