089 - 3 Principles and 3 Practices - Nick Murray
Maven Money Personal Finance Podcast
00:00
The Three Principles of Investment Management
The three practices include asset allocation, diversification and discipline. Asset allocation is the long term mix of stocks,. the great companies of this world, and bonds which will determine the portfolio's return. Diversification is the spreading of risk slash reward and volatility within an assec class. Re balance is a forced way to deplore your capital into out of favor, low priced, high potential sectors. The final practice is something called re balancing - taking the portfolio back to its desired long term composition.
Transcript
Play full episode
