None
CA
Discount brokerages should report concentration risk
['Harvey Naglie']
Investment Executive
In recent years however, the run-up of technology stocks with exposure to the AI trade have produced a concentration risk that too few investors appreciate.
But these firms should do more to ensure clients understand concentration risk at a time when — in the U.S. at least — investors are facing a level of concentration not seen since the mid-1960s.
No discount broker in Canada shows their client the kind of overlap that exists between the three ETFs referenced above.
The guidance points approvingly to real-time disclosure — information delivered on the order screen, while the client is still deciding whether to press the button.
Put the number on the order screen before the order fills.