By Ken Faulkenberry
The purpose of asset allocation is to reduce volatility of the overall portfolio by holding different asset classes that are not correlated. Holding multiple uncorrelated assets means assets will be performing differently by rising and falling at different times. This helps smooth out returns; reducing volatility (risk) of the total portfolio.
A buy and [...]
Entries Tagged as 'portfolio management service'
Is Buy And Hold A Viable Strategy?
November 14th, 2009 · 3 Comments · Investment Planning, Online Investing For Dummies, Portfolio Management, Risk Management
Tags: AAAMP·active asset allocation strategy·Aggressive Growth·Arbor Asset Allocation Model Portfolio·Arbor Investment Planner·Asset Allocation·asset categories·asset classes·bear market·buy and hold·compounding·Diversification·Dividend Growth·Global Income·international growth·Investment Management·minimize risk·Online Investing For Dummies·portfolio management service·preserving capital·uncorrelated assets·undervalued assets
Asset Allocation: The Critical Element of Diversification
August 15th, 2009 · 15 Comments · Diversification, Investment Planning, Portfolio Management, Risk Management
By Ken Faulkenberry
Diversification is the single most critical element of investment management. How an investor allocates investment funds to different asset categories or groups is called asset allocation, and is the most important fundamental of diversification. Asset allocation involves dividing an investment portfolio on a percentage basis among different categories of securities (international stocks, domestic [...]
Tags: active asset allocation strategy·Asset Allocation·asset allocation investing·asset categories·asset classes·asset groups·bonds·conservative investment strategy·diversificatioin·domestic stocks·international stocks·investment allocation·Investment Management·model investment portfolio·passive asset allocaton·portfolio management service·Precious Metals·rebalancing·recommended asset allocation·Risk Management
