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We're in the Green
Modern Portfolio Theory Defined

Modern Portfolio Theory (MPT) was introduced by Harry Markowitz with his paper "Portfolio Selection" which appeared in the 1952 Journal of Finance. Thirty-eight years later, he shared a Nobel Prize with Merton Miller and William Sharpe for what has become a broad theory for portfolio selection and corporate finance. Modern Portfolio Theory explores how risk averse investors construct portfolios in order to optimize market risk against expected returns. The theory quantifies the benefits of diversification. Out of a universe of risky assets, an efficient frontier of optimal portfolios can be constructed. Each portfolio on the efficient frontier offers the maximum possible expected return for a given level of risk. Investors should hold one of the optimal portfolios on the efficient frontier and adjust their total market risk by leveraging or deleveraging that portfolio with positions in the risk-free asset. In a highly simplified world, the market portfolio sits on the efficient frontier, and all investors hold that portfolio, leveraged or deleveraged with positions in the risk-free asset. Modern Portfolio Theory provides a broad context for understanding the interactions of systematic risk and reward. It has profoundly shaped how institutional portfolios are managed, and motivated the use of passive investment management techniques. The mathematics of MPT are used extensively in financial risk management.

If you bought a $1 lottery ticket and won $1,000 it would be very little risk for a great reward.  Great fun.	If you bought 1,000 tickets and won 1 dollar it would be virtually all risk with almost no reward.  No fun.
If you bought 1,000 1 dollar tickets and won 1,000 dollars you would at least get the reward in proportion to the risk.  In other words, the most you would lose is $1,000.	By subscribing to the principles of the Modern Portfolio Theory, Total Asset Performance is IN THE GREEN, earning more rewards with less risk!