Asset allocation is the selection and blending of investments to help you achieve the greatest return while managing your level of risk.
Asset allocation is more than just diversification. It is looking at a wide variety of investment choices from several categories and then developing a diverse portfolio of stocks, bonds and money market instruments. The process of determining which mix of assets to hold in your portfolio is based upon your specific financial goals. The asset allocation that works best for you at any given point in your life will depend largely on your time horizon and your ability to tolerate risk.
Asset allocation works because it balances opportunity with risk. Successful financial planning requires more than luck or timing. It demands a disciplined approach that accounts for your goals and how these goals change throughout your life.
For more information on Asset Allocation/Diversification
, contact Tory Meiborg
or Donna Sanders
. They can be reached in Cedar Rapids at (319) 364-3041 or Iowa City at (319) 339-4884. Additionally, feel free to use our Contact Us