Asset Allocation | Risk Appetite

Resources is to make an asst categories you want to include in its investment portfolio. Each asset class has its own set of risks and potential rewards. Basis for a good investment in regional planning strategy for asset allocation begins.

Asset classes stocks, bonds, cash, bonds, commodities and money markets. They also include derivatives such as futures and options. You can also look into mutual funds, index funds and ETFs as the asset class at all, although most of the stocks.

Bonds, treasury bills, money markets, liquidity dollars and gold are the safest investments. There is less risk, but low performance. riskier investments, but those with a high yield potential are derivatives such as futures and options.

Inventories are at an intermediate point, although there are a variety of risks in one's actions. SmallCap, for example, are riskier than large caps. But small caps are the ones that have the greatest potential for growth.

Each asset class has a unique set of risks and rewards. Want to start here to discover how much of your portfolio you want to devote to each.