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  2. Asset allocation - Wikipedia

    en.wikipedia.org/wiki/Asset_allocation

    Example investment portfolio with a diverse asset allocation. Asset allocation is the 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 risk tolerance, goals and investment time frame. [1]

  3. Performance attribution - Wikipedia

    en.wikipedia.org/wiki/Performance_attribution

    Stock selection is the value added by decisions within each sector of the portfolio. In this case, the superior stock selection in the equity sector added 1.40% to the portfolio's return [(5% − 3%) × 70%]. Interaction captures the value added that is not attributable solely to the asset allocation and stock selection decisions.

  4. Tactical asset allocation - Wikipedia

    en.wikipedia.org/wiki/Tactical_asset_allocation

    Unlike stock picking, in which the investor predicts which individual stocks will perform well, tactical asset allocation involves only judgments of the future return of complete markets or sectors. As such, some practitioners perceive it as a natural supplement to mutual fund investing, including passive management investing.

  5. 70/30 vs. 80/20 Asset Allocation: Which Is Better? - AOL

    www.aol.com/70-30-vs-80-20-183231693.html

    Choosing the right asset allocation matters for managing portfolio risk and reaching investment goals. One of the simplest strategies for setting asset allocation is to use a percentage split ...

  6. How to Achieve Optimal Asset Allocation: A Guide to Building ...

    www.aol.com/finance/achieve-optimal-asset...

    An asset allocation is a financial road map that shows you where to put your money based on your own investment objectives, risk tolerance and time horizon.

  7. The Asset Allocation Pragmatist - AOL

    www.aol.com/news/2013-11-27-the-asset-allocation...

    Adding an array of asset classes to your stock allocation can sometimes provide ballast for your portfolio, similar to how a keel keeps a sailboat afloat. Diversification can also reduce the ...

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