All eggs in one basket

Diversification – the only free lunch in investment?

Diversification – the only free lunch in investment

The above chart shows the “ups and downs” of different assets classes between 2005 – 2018.  Also included is an “equally weighted” or diversified portfolio (the white one) which is an equal blend of the twelve asset classes. The diversified portfolio is never in the top three but also never in the bottom four of returns.  At TKV we use quality risk profiling tools to design diversified portfolios to meet the specific needs of our investors.  Our focus is to help our clients reduce the downside risk of a “non-diversified” portfolio.

Call us on 01384 671947 for a complimentary review of your investment portfolio.

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The value of your investment can go down as well as up and you may not get back the full amount you invested.

About the author: Tim Veiro