Asset allocation
I think the stock is still not the lowest yet. Bad time is yet to come due to bad economy and higher inflation.
Some investors still keep add the equity portfolio to capitalise on the bull run, this is quite risky to expose their portfolio. For those who fear losses will stop their financial goals and end up lost of correct investment mindsets. This is important as to not to let market noise or emotional biases get in the way of their financial goal or fund decisions.
My thought is never keep all eggs in the same basket. Diversification of the portfolio is a must!!![]()
Asset allocation is an investment strategy that involves dividing the portfolio among different asset classes like cash, equity, gold and bonds. Follow a 12:20:80 asset allocation strategy to divide the assets in the right proportions among equities, debt, bonds, and gold to maximize the hance of achieving financial goals and also to reduce the investment risk. It is significant to understand how best to diversify our money or fund portfolio during uncertain times especially a bad time like now or soon-to be.
12: The safe money
In order to prepare for bad time or emergencies, investors need to secure our portfolio and plan a sound financial backup for themselves. The money should keep up with their consumption pattern and not to take on additional risks to earn higher returns.
80:20 equity-gold allocation
The investors need to allocate at least 20% portfolio to gold. Gold portfolio or commodity have the risk-reducing and portfolio diversifying characteristics. It can be gold fund or ETFs. If gold is added to a portfolio, it can lower the risks and boost the overall returns. Usually the nflation affects the returns of stocks and bonds, but it will not affect the commodities like gold.
The remaining of 80% of their portfolio must be in a diversified equity portfolio. It must be free from any style bias or sector influence or add a unique value to the portfolio. Stocks are the ones that carry significant risk with high returns, stock markets are highly volatile in a shorter span, however in the long term, stocks generate good returns also. In order to profit from stocks, investors need to be long term players.
When investors have a combination of assets in the right proportion for their portfolio (even in a bad market or lowest trend), the investor will have better assurance of the risk-adjusted returns over the long term. With the proper asset allocation, this is to secure their portfolios from sudden market crashes.
$Apple (AAPL.US)$
$AMC Entertainment (AMC.US)$
$Global X Metal Securities Australia (GOLD.AU)$
$Grab Holdings (GRAB.US)$
Some investors still keep add the equity portfolio to capitalise on the bull run, this is quite risky to expose their portfolio. For those who fear losses will stop their financial goals and end up lost of correct investment mindsets. This is important as to not to let market noise or emotional biases get in the way of their financial goal or fund decisions.
My thought is never keep all eggs in the same basket. Diversification of the portfolio is a must!!
Asset allocation is an investment strategy that involves dividing the portfolio among different asset classes like cash, equity, gold and bonds. Follow a 12:20:80 asset allocation strategy to divide the assets in the right proportions among equities, debt, bonds, and gold to maximize the hance of achieving financial goals and also to reduce the investment risk. It is significant to understand how best to diversify our money or fund portfolio during uncertain times especially a bad time like now or soon-to be.
12: The safe money
In order to prepare for bad time or emergencies, investors need to secure our portfolio and plan a sound financial backup for themselves. The money should keep up with their consumption pattern and not to take on additional risks to earn higher returns.
80:20 equity-gold allocation
The investors need to allocate at least 20% portfolio to gold. Gold portfolio or commodity have the risk-reducing and portfolio diversifying characteristics. It can be gold fund or ETFs. If gold is added to a portfolio, it can lower the risks and boost the overall returns. Usually the nflation affects the returns of stocks and bonds, but it will not affect the commodities like gold.
The remaining of 80% of their portfolio must be in a diversified equity portfolio. It must be free from any style bias or sector influence or add a unique value to the portfolio. Stocks are the ones that carry significant risk with high returns, stock markets are highly volatile in a shorter span, however in the long term, stocks generate good returns also. In order to profit from stocks, investors need to be long term players.
When investors have a combination of assets in the right proportion for their portfolio (even in a bad market or lowest trend), the investor will have better assurance of the risk-adjusted returns over the long term. With the proper asset allocation, this is to secure their portfolios from sudden market crashes.
$Apple (AAPL.US)$
$AMC Entertainment (AMC.US)$
$Global X Metal Securities Australia (GOLD.AU)$
$Grab Holdings (GRAB.US)$
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Jonathan Parcus : i am feeling that fe