Adequate is not enough; considering power law returns as a simple subcategory of performance factors misses their full expression.
These asymmetric distributions are not just a factor but the fundamental condition that makes decision quality and the upper limit of ROI so critical, and neglects exploiting this truth that leaves asymmetry unexploited.
Ignoring this fundamental hierarchy is leaving money on the table, especially in a market where international arbitrage and flows are essential.
For example, resource allocation that does not recognize the primacy of power law returns could dilute investments in medium-yield assets rather than concentrate capital on asymmetric co-investment opportunities targeted by Stock Connect.