A type of investment strategy that divides up a portfolio's assets according to a person's objectives, risk tolerance, and investment horizon in order to balance risk and reward. Equities, fixed-income, and cash and equivalents, the three primary asset classes, each have a unique level of risk and return, and as a result, each will perform differently over time, providing capital diversification and various degrees of risk protection.
Blog | Investment Articles and News for Traders and Investors