My simple rule of thumb is 10 % across 10
different asset types like Consumer staples, Consumer Discretionary, REIT, Utilities, Tech, Financials, Energy, Pharma, Industrials, Transportation, and couple more like MLPs, and BDCs that I wrote earlier.
Not exact matches
For a certain minority of investors, there are
different types of exotic
asset classes that can fit into an
asset allocation portfolio model, including things
like private equity and managed futures.
One way to lower your overall risk is by diversifying your portfolio, not just by investing in
different stocks, but by considering
different types of
assets like CDs or bonds.
They may be your more traditional
asset allocation
type of funds, where it's a blend of
different stocks and bonds, and maybe cash, things
like that.
A mutual fund is a
type of investment vehicle where money collected from various investors is pooled together for the purpose of investing in
different assets including bonds, stocks, and / or money market investments
like cash, gold, etc..
These instruments trade
like stocks and mimic the behavior of
different types of
assets (stocks, bonds, real estate or commodities).
For someone
like myself who has
different investment accounts and
different types of investments it's a bit of work to figure out what the current
asset allocation is and then rebalance it all.
You might also start branching out into
different types of investments,
like alternative
asset funds.
There are
different types of tokens that frequently serve as the digital equivalent to physical
assets like the gold or fiat currencies.