Comments on: Asset Allocation: An Important Part of All Financial Plans http://genxfinance.com/2009/03/18/asset-allocation-an-important-part-of-all-financial-plans/ Helping a unique generation achieve financial independence. Fri, 19 Mar 2010 18:02:11 +0000 http://wordpress.org/?v=2.9.1 hourly 1 By: Congress Is Investigating Target Date Funds - Should You? : Generation X Finance http://genxfinance.com/2009/03/18/asset-allocation-an-important-part-of-all-financial-plans/#comment-119767 Congress Is Investigating Target Date Funds - Should You? : Generation X Finance Mon, 04 May 2009 13:52:52 +0000 http://genxfinance.com/?p=1456#comment-119767 [...] The second option you have is to take the bull by the horns.  Forget about using these funds until uniform standards are put in place.  If you know what kind of risk you are willing to take simply mix and match your funds to suit your own needs. [...] [...] The second option you have is to take the bull by the horns.  Forget about using these funds until uniform standards are put in place.  If you know what kind of risk you are willing to take simply mix and match your funds to suit your own needs. [...]

]]> By: » Weekly Roundup - Witless Edition http://genxfinance.com/2009/03/18/asset-allocation-an-important-part-of-all-financial-plans/#comment-113484 » Weekly Roundup - Witless Edition Thu, 26 Mar 2009 03:50:23 +0000 http://genxfinance.com/?p=1456#comment-113484 [...] Asset Allocation: An Important Part of All Financial Plans [...] [...] Asset Allocation: An Important Part of All Financial Plans [...]

]]> By: Weekly Dividend Investing Roundup - March 21, 2009 | The Dividend Guy Blog http://genxfinance.com/2009/03/18/asset-allocation-an-important-part-of-all-financial-plans/#comment-112257 Weekly Dividend Investing Roundup - March 21, 2009 | The Dividend Guy Blog Sat, 21 Mar 2009 11:01:32 +0000 http://genxfinance.com/?p=1456#comment-112257 [...] It says so here too [...] [...] It says so here too [...]

]]> By: Chris http://genxfinance.com/2009/03/18/asset-allocation-an-important-part-of-all-financial-plans/#comment-111449 Chris Wed, 18 Mar 2009 18:23:57 +0000 http://genxfinance.com/?p=1456#comment-111449 Funny how most people are buy-and-holders when times are good and traders when times are bad.. I don't think buy-and-hold is dead, though I do feel expected returns needs to be adjusted down. People need to realize that the brunt of their retirement is going to come from personal earnings and savings. Investment returns will likely be much less than the often touted 10-11%. Diversification needs to be revisited, as well. I don't believe modern portfolio theory and the efficient frontier are completely out the window, but we need to appreciate the fact that a bunch of different pieces of paper is still just that, pieces of paper. True diversification will come from owning real investment property and other alternative investments to complement a stock and bond portfolio. The only thing that's gone up in the past 18 months is correlation. JMHO Funny how most people are buy-and-holders when times are good and traders when times are bad.. I don’t think buy-and-hold is dead, though I do feel expected returns needs to be adjusted down. People need to realize that the brunt of their retirement is going to come from personal earnings and savings. Investment returns will likely be much less than the often touted 10-11%.

Diversification needs to be revisited, as well. I don’t believe modern portfolio theory and the efficient frontier are completely out the window, but we need to appreciate the fact that a bunch of different pieces of paper is still just that, pieces of paper. True diversification will come from owning real investment property and other alternative investments to complement a stock and bond portfolio. The only thing that’s gone up in the past 18 months is correlation. JMHO

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