Personal Finance Buzz

When determining an individual asset allocation policy, risk tolerance shouldn't necessarily always take top priority.

The One Asset Allocation System is designed to help you see how different asset mixes may be appropriate for investors in different circumstances. Use the sliders to enter the required information, and the One Asset Allocation system will provide a target allocation.

Asset allocation is an important concept to understand in investing. However, like so many things related to money, determining your own asset allocation is a personal exercise, and one that doesn’t mean the same thing for every person

Asset Allocation Calculator offers a tool to help you determine the optimal asset allocation mix for your investment portfolio.
From the web page:
It is the mix of different types of securities that will mostly determine whether you will reach your goals. Answer these four questions and we’ll provide an asset allocation to shoot for in your portfolio. And if you’re lacking in any areas, we provide fund recommendations to help you fix your mix.

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Emperical studies show price movements of asset categories are correlated with the direction of the inflation trends, not the absolute number at any given time.

What is asset allocation? It’s the mixture and distribution of different asset classes - typically stocks, bonds, and cash – in a portfolio.