Problems, problems, problems. That’s all that appears to be ahead for global stock markets.
That’s certainly what much of the media would have investors believe – and perhaps one of the reasons that despite all-time highs in markets, investors feel unhappy.
The real problem for investors is not market uncertainty – that will always be with us. Instead, it is the pervasive negative noise about investment markets – which lures investors into believing that their best bet is to react to the news as it comes.
It’s not, of course. To have the greatest chance of achieving your most important goals, your best bet is to have a well-considered strategic plan.
In this piece, we discuss the essential ingredient in a successful strategic plan: asset allocation. We start by explain its importance, and then discuss the key elements we consider in allocating assets in a portfolio.