Diversification Investing For The Financially Challenged
The # 2 Mutual Fund is the best investment. check performance over 3,5,10 yrs fund vs. group- top 10% and top 10 funds. low expenses less than 1% management fees. avoid lousy performers. -allows advantage of the whole investment market: real estate, stocks, bonds, treasuries, mutual funds, and if adventurous, options. build a portfolio of securities from different asset classes. Bonds tend to do well when stocks don't. Treasuries are the securest investment around. The low-risk side should balance the high-risk side. -take advantage of a broad range of companies and industries available. Instead of being a niche investor who only invests in high-tech stocks, for instance, buy securities in the same asset class that are not affected by the same variables. Entertainment companies, utilities, grocery stores, and airlines, for example, are completely different businesses. -can be found even when investing in a small handful of companies; diversity is found by owning companies wi