Stocks in companies in the 30 or so “emerging” markets are dominated by Asia (predominantly Taiwan and Korea) at over 50%, Latin America (20%), Africa and the Middle East (20%) and some smaller European countries are, collectively, considered an asset class. An investment in emerging markets as part of your asset allocation strategy, is important [...]
Monthly Archives: December 2009
Asset Allocation 101 According to David Swensen of Yale
Thursday, December 10, 2009
In David Swensen’s “Unconventional Success” he covers asset allocation 101 touching on the topic of diversification and the importance of rebalancing, especially for beginners.
The following paraphrases from David Swensen’s “Unconventional Success,” There are core and non-core asset classes. Core asset classes have 3 critical characteristics:
1) they give basic, valuable differentiable characteristics to an investment portfolio. [...]
Asset Class Description: US Treasury Bonds
Thursday, December 10, 2009
Perhaps the most core asset class any investor needs for diversification in an ETF portfolio are US Treasury Bonds. Owners of treasuries have an investment in a portion of the public debt of the United States of America — backed by its full faith and credit. There is no risk of not getting repaid [...]
