Another way to describe true diversification is correlation. We want to own asset classes that are not directly correlated. Unfortunately, even though a pie chart ... can help you overcome them.

Diversification isn’t exciting. It won’t make you feel like you’ve outsmarted the market, but it keeps you out of harm’s way.

But in such times, investors should not lose sight of timeless investment principles. The latest UBS-sponsored Global Investment Returns Yearbook, which charts market performance over the past 125 ...