Building a Diversified Portfolio
Diversification is key to managing risk and achieving long-term investment success.
Why Diversify?
Spreading investments across different assets reduces overall portfolio risk.
Asset Allocation
Divide your portfolio among:
- Stocks (60-70%)
- Bonds (20-30%)
- Cash and alternatives (10-20%)
Sector Diversification
Invest across different industries like technology, healthcare, finance, and consumer goods.
Geographic Diversification
Consider both domestic and international investments.