oneboy

kingstongal Wrote:
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> Breadth
> refers to the number of stocks covered. If you
> increase the universe of stocks covered, you will
> be increasing breadth but not necessarily IC.

No. Breadth refers to the independent investment decisions taken, not stocks covered, so if you
- buy all retails stocks since you think the sector as a whole will do well, it counts as one breath.
- cover all retail stocks, but is constrained by not allowed to short stocks --> your breath is limited since you know certain stocks will go down in your coverage, but you can't short it --> not count as breadth.