What Is Rebalancing? When you diversify your portfolio, you will arrive at your target asset allocation, a defined set of proportions for each asset class. The main asset classes that typically make up allocations are stocks and bonds but you may include other...
What Is Diversification? Diversification is the practice of spreading money across different types of investments to reduce risk and maximize your investments. You’ve likely heard the phrase, “Don’t put all your eggs in one basket.” This illustrates the concept of...
