Asset Allocation is the process of balancing risk versus reward. Asset Allocation is an investment strategy to diversify one’s portfolio across a wide range of different asset classes. With Asset Allocation, you can spread your investment across multiple channels, such as several geographical regions, bonds, cash, real estate, private equity, commodities, and industries. The aim is to minimize the risk of all the investments falling simultaneously, by diversifying across uncorrelated instruments. When your assets are allocated correctly, you get the best possible compound returns on your investments. Subsequently, if the value of one asset class declines significantly, the impact on the portfolio overall is minimal. The perfect asset allocation portfolio truly depends on your time horizon and your ability to tolerate risk.
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Financial Planning | Tax Saving Strategies | Elderly Long-Term Care | Asset Protection | Retirement Planning | Life Insurance | Estate Planning | Disability Income Insurance | Investment Strategies | Annuities | College Funding | Financial Advisor
Our website is a financial data and news portal, discussion forum and content aggregator. Bibi Financial is not a broker/dealer, we are not an investment advisor, we have no access to non-public information about publicly traded companies, and this is not a place for the giving or receiving of financial advice, advice concerning investment decisions or tax or legal advice. We are not regulated by the Financial Services Authority. We are an educational forum for analyzing, learning & discussing general and generic information related to stocks, investments, and strategies. No content on the site constitutes - or should be understood as constituting - a recommendation to enter into any securities transactions or to engage in any of the investment strategies presented in our site content. We do not provide personalized recommendations or views as to whether a stock or investment approach is suited to the financial needs of a specific individual.
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