If there’s one thing that we’ve learned from more than 60 years of academic research on portfolio construction, it’s that diversifying your investments is a very good idea. Having a diversified portfolio not only reduces risk, but it can also improve your expected returns. What’s more, it gives you a smoother ride towards your investment goals.
Continue reading “What’s the best way to diversify your investments?”Live for today plan for tomorrow
Living a happy and fulfilled life is largely about finding the right balance. We all know, for instance, that maintaining a healthy weight entails eating less and exercising more, but life would be boring if we never overindulged; and occasionally skipping that weekend run and curling up with a book instead won’t do you any harm.
Continue reading “Live for today plan for tomorrow”The risk equation
Ask an economist to define risk when it comes to investment and they will most likely reply that it depends. Of course, there are complex mathematical models that attempt to quantify risk, but these on their own are never likely to be enough.
Continue reading “The risk equation”What if
As Financial advisors we run various scenarios with our clients called “What If’s”. This is to plan for a number of situations such as:
- Retiring early
- Changing career
- Moving property
- Investing excess monies
- Financial shock