March Madness Portfolio Challenge: Round 2 Leaderboard

So, Round 2 is in the books, and my beloved Wisconsin Badgers are once again through to the Sweet 16.  Post. Over.

Oh, alright.  I guess I’ll update everyone on the leaderboard since all the second round games have passed.  But before I get to that, let’s quickly revisit our hypothesis on concentrated versus diversified portfolios.  In our Round 1 recap, we wrote:

“The HHI index is a measure of portfolio concentration.  We’ve included it because one of our hypotheses entering the Portfolio Challenge was that concentrated portfolios would find their way to the top and the bottom of our rankings.  Lo and behold, after just the first round, we see this pattern (though weakly) starting to emerge.”

We also showed the accompanying chart:

Leaderboard HHI Round 1 LineBut in the second round, something interesting happened.  Namely, while we continue to see our barbells manifest, the diversified approaches seem to have uniformly moved up the rankings.  As you can see above, with some exceptions, there were a mass of diversified entries ranking between 15-32.

But as we see below, as of the end of the second round, the diversified “peloton” has closed the gap, and now largely holds ranks between 7-23.

Leaderboard HHI Round 2 LineOur current leader is Laura B, with 6.166 points and a remaining exposure of 100%.  So, if your favorite team is out of it, and you’re looking for something to root for, her downfall would require the following teams to lose: Virginia (20%), Oklahoma (20%), Oregon (20%), Villanova (20%) and Texas A&M (20%).  Though, considering Texas A&M is still in it, her entry kinda feels like a “portfolio of destiny.”

Anyways, here’s the rest of the leaderboard.  See everyone after the Sweet 16!

RankNameScoreRemaining Exposure

1Laura B6.166100.00%
2David V5.648680.00%
3Ryan K5.509175.00%
4Mike D5.457550.00%
5Corey H5.232877.92%
6Dan A5.038140.00%
7Mike P4.652375.00%
8Mike S4.525968.00%
9Jagdeep M (Concentrated)4.362450.00%
10Gordon N4.180958.00%
11Benchmark – Rank Seed Weight4.169570.00%
12David G4.149763.32%
13Matt Z4.140779.21%
14Al G4.103956.00%
15Jagdeep M4.034349.50%
16Benchmark – Concentrated (Top 2 Seeds per Region)4.031175.00%
17Jug M3.996649.50%
18Trevor S3.93445.00%
19Benchmark – GMP3.931857.57%
20Michael L3.90967.50%
21Guy L3.891449.90%
22Mack C3.852672.94%
23Jaime P3.761853.02%
24James H3.723860.04%
25Josh A3.627250.00%
26Panos K3.569150.00%
27Andrew B3.363243.41%
28Benchmark – Rank Weight3.315737.87%
29Eli R3.309144.50%
30Ben S3.174125.26%
31Jeff S3.141465.00%
32David B3.132941.00%
33Benchmark – 12-Seeds2.9340.00%
34Carmen M2.851455.00%
35Anthony M2.828863.00%
36Benchmark – Equal Weight2.824425.00%
37Sharon P2.734450.00%
38Scott P2.667152.50%
39Theo R2.58456.00%
40Benchmark – Hot Hand (Power Conference Champs)2.455350.00%