Diversify, diversify, diversify has long been a Wall Street mantra.
A key strategy called asset allocation helps achieve this investment goal.
A person's hard-earned financial savings are distributed among a variety of investment options, such as bonds, equities and mutual funds.
This approach helps reduce exposure to risk and the chances of a financial meltdown.
How does asset allocation work? Here is a quick list of Web sites with useful details on asset allocation:
Bankrate.com
www.bankrate.com/brm/news/dollardiva/20000615a.asp
How to develop an investment strategy and allocate appropriately.
Invest1to1.com
www.invest1to1.com/invest1to1/planning/allocation/rebalancing.html
Tips and insights.
InvestorGuide.com
www.investorguide.com/iguinvestportfolio.html
Good overview of asset allocation principles, portfolio development and risks.
Oppenheimer Funds
www.oppenheimerfunds.com/investors/education/assetAllocation.jhtml
Provides good information and examples of how asset allocation works.
SmartMoney.com
www.smartmoney.com/oneasset/
Features asset allocation worksheet to set up a target portfolio allocation.
- Compiled by Chuck Myers
