{"status":"ok","message-type":"work","message-version":"1.0.0","message":{"indexed":{"date-parts":[[2026,10,7]],"date-time":"2026-10-07T06:55:08Z","timestamp":1791356108774,"version":"4.3.1"},"posted":{"date-parts":[[2026]]},"group-title":"SSRN","reference-count":0,"publisher":"Elsevier BV","license":[{"start":{"date-parts":[[2026,1,1]],"date-time":"2026-01-01T00:00:00Z","timestamp":1767225600000},"content-version":"unspecified","delay-in-days":0,"URL":"https:\/\/www.uspto.gov\/ip-policy\/copyright-policy\/copyright-basics"}],"content-domain":{"domain":[],"crossmark-restriction":false},"short-container-title":[],"abstract":"<jats:p>Building on the axiomatic subgroup Gini decomposition of Heikkuri and Schief (2026), we reinterpret risky capital as a population partitioned by industry and derive a within-industry benchmark that depends only on industry weights and marginal Gini risk. Portfolio Gini splits into this benchmark and a signed across-industry residual that combines cross-industry hedging with industry-risk heterogeneity. Reweighting this residual changes both components. We study the component-weighted criterion alongside a convex hedging-only benchmark that isolates dependence shrinkage. Both criteria serve as partition-dependent risk regularizers. In controlled simulations that fix the realized mean, partial reweighting yields statistically detectable but economically small improvements that the hedging-only benchmark nearly matches, indicating that dependence shrinkage drives the effect. Sample-only cross-validation selects full weighting, with no improvement in risk-adjusted performance. The controlled gains identify a dependence-regularization effect.<\/jats:p>","DOI":"10.2139\/ssrn.7571140","type":"posted-content","created":{"date-parts":[[2026,10,7]],"date-time":"2026-10-07T06:43:41Z","timestamp":1791355421000},"source":"Crossref","is-referenced-by-count":0,"title":["Industry Risk Decomposition and Mean-Gini Portfolio Choice"],"prefix":"10.2139","author":[{"ORCID":"https:\/\/orcid.org\/0000-0001-9249-3727","authenticated-orcid":true,"given":"Bochuan","family":"Dai","sequence":"first","affiliation":[],"role":[{"vocabulary":"crossref","role":"author"}]},{"ORCID":"https:\/\/orcid.org\/0000-0001-7532-8412","authenticated-orcid":true,"given":"Yong","family":"Ma","sequence":"additional","affiliation":[],"role":[{"vocabulary":"crossref","role":"author"}]},{"given":"Xiang","family":"Shi","sequence":"additional","affiliation":[],"role":[{"vocabulary":"crossref","role":"author"}]}],"member":"78","container-title":[],"original-title":[],"deposited":{"date-parts":[[2026,10,7]],"date-time":"2026-10-07T06:43:41Z","timestamp":1791355421000},"score":1,"resource":{"primary":{"URL":"https:\/\/www.ssrn.com\/abstract=7571140"}},"subtitle":[],"short-title":[],"issued":{"date-parts":[[2026]]},"references-count":0,"URL":"https:\/\/doi.org\/10.2139\/ssrn.7571140","relation":{},"subject":[],"published":{"date-parts":[[2026]]},"subtype":"preprint"}}