3 Quick Points to Simplify Asset Allocation

Learn about balancing risk and reward in your portfolio

Tunji Onigbanjo
DataDrivenInvestor
Published in
3 min readFeb 10, 2021

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Photo by JOSHUA COLEMAN on Unsplash

When it comes to investing, asset allocation is important to consider. Asset allocation is an investment strategy that aims to balance risks and rewards in your portfolio. The main asset classes you should be familiar with are equities, fixed income, real estate, commodities, cryptocurrencies, and cash. In taking a look at your portfolio, your asset allocation boils down to your risk tolerance and the goals you have laid out for yourself. When it comes to breaking down how much asset allocation should matter to you, the following 3 points will help to simplify it:

1. The Main Asset Classes

2. Asset Allocation Helps Solidify Your Investment Plan

3. A Website That Helps Simplify Asset Allocation

Note: I am not a financial advisor. I do not know your financial situation. I am sharing this information for educational purposes only.

1. The Main Asset Classes

As stated earlier, when it comes to asset allocation, the main asset classes to consider are equities, fixed income, real estate, commodities, cryptocurrencies, and cash. When it comes to equities, this includes securities such as stocks, real estate…

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