The art of having a healthy investment portfolio is not having all your eggs in one basket. Portfolio diversity helps spread the risks and increase the rewards. Diversity in where and how you invest are both important. Sage Rutty Advisors supply their clients with the keys to unlock the right financial planning strategy, opening doors to the best investment track leading to a well-planned financial future.
One of the ways to create diversity in your portfolio is asset allocation. Asset allocation is the studied implementation of an investment strategy that attempts to balance risk versus reward by adjusting the percentage of each asset in an investment portfolio according to the investor's individual needs and concerns.
Asset allocation performance varies in different market and economic conditions. A fund that holds more than one asset class is called an asset allocation fund. An asset class is a group of economic resources sharing similar characteristics, such as return and riskiness. According to Wikipedia, asset classes are typically divided into two groups: traditional assets and alternative assets.
Traditional Assets:
- stocks
- bonds
- cash
Alternative Assets:
- Commodities: precious metals, nonferrous metals, agriculture, energy, others.
- Commercial or residential real estate (also REITs)
- Collectibles such as art, coins, or stamps
- Insurance products (annuity, life settlements, catastrophe bonds, personal life insurance products, etc.)
- Derivatives such as long-short or market neutral strategies, options, collateralized debt, and futures
- Foreign currency
- Venture capital
- Private equity
- Distressed securities
Finding a financial advisor that can find the right investment balance for your portfolio is what Sage Rutty does best. We have a group of financial teams that understand the client’s financial needs and can suggest a top-notch, custom investment strategy that minimizes risks and maximizes results.
We invite you to explore our website and review our financial advisor teams. You can also learn more about our advisors by attending one of their free seminars, which gives you an opportunity to get to know them in a stress-free, sales-free, no obligation environment. You can find Sage Rutty’s Financial Workshops’ calendar of events online.
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