Like most investors, you'll find that as times change,
so do your investment needs. Starting a family,
preparing for your children's education, and planning
for your own retirement each require a different
weighting of stocks, bonds, and cash.
In addition to these life stages, you'll also be faced
with changes in the market as the years go by. Your
best chance for long-term success is to create a
diversified portfolio. This guide shares some classic
ways to build that portfolio either from scratch or
by remodeling what you already have.
So where do you begin?
Stocks, bonds, and cash investments. Large, small,
and international company stocks. The choices
may seem overwhelming, but they're really not. It's
actually easier than you think to create a diversified
portfolio. You just need to do a few things right. This
booklet will walk you through setting up a diversified
portfolio step by step. In no time, you'll be able to
put your asset mix into perspective.
Julie and Brian Johnson are in their early 30s
and are fairly new to investing. They knew
they didn't have the time or expertise to
invest in individual stocks, so they chose to
invest in mutual funds instead. They learned
enough online to create what they thought
were diversified portfolios for each of their
IRAs.
