"The first rule is not to lose money. The second rule is not to forget the first rule. – Warren Buffet"
| Percentage Loss | Gain Needed to Break Even |
|---|---|
| -8% | 9% |
| -20% | 25% |
| -33% | 50% |
| -50% | 100% |
| -75% | 300% |
We couldn't agree more. Avoid catastrophic losses is the key to strong long-term results.
Downside risk management is the cornerstone that differentiates CAIA from that of other portfolio managers.