Building Your Portfolio with Experts

When it comes to your financial goals, it’s best to be diversified. Your investment portfolio should include stocks, bonds, real estate and maybe a small allocation to cryptocurrencies or alternatives. This can help you manage risk and potentially mitigate the impact of a downturn. It’s also important to remember that your personal risk tolerance may change over time. If you’re close to retirement, for example, you may be able to tolerate more market volatility because you have plenty of time to recover from losses.

Building Your Portfolio with Experts you’re not sure where to start, many experts have created portfolios they would — and do often — implement for themselves or their families. They’re straightforward, easy to understand and historically have delivered solid performance.

To create your own simple, yet robust, investment portfolio, start by determining your personal risk tolerance and your investment objectives. Then use a stock or bond screener to shortlist potential investments that meet those criteria. Finally, invest according to your asset allocation, which is the way you split up the proportion of funds, bonds and stocks in your portfolio.

Protecting Your Wealth with Strategy: How to Minimize Risk and Maximize Return

It’s also a good idea to add alternative assets such as real estate and commodities, which can offer diversification, growth or both. You can also pursue growth through broadly diversified all-market equity funds, which offer lower fees and a more streamlined approach than actively managed funds. And don’t forget to have some cash in your portfolio for routine or unexpected expenses.