An investor who builds a diverse portfolio is like an acrobat walking on a rope. If you focus too much on high risk investments, you risk losing everything and falling rope in the abyss.

On the other hand, if you invest only in sustainable wealth, you will stay in place, but you will not make any progress or profit. Key to InvestmentAs in walking a coercion, it is to require a balance between the two extremes.

You need to remember that investment is an art, not a reflex reaction, so time to invest disciplined with a diversion It comes before diversification becomes a necessity. From my experience, to the time the average investor “reacts” to the market, the damage is already done.

Here, as in most cases, the best protection is an attack, and a well -diversified portfolio combined with an investment horizon of more than five years can resist most shocks. I will tell you what strategy I have developed for myself.

Where are the wind blowing?

I have a habit – every quarter, I update for myself a list of main trends that are growing, investments that can jump as soon as possible. Next, I follow these Specific trends and all projects that move in these directions. Maybe there will be a golden goose between them. Today, sustainable investment, green energy and industries supported by artificial intelligence and digital transformation are among the trends that are gaining popularity.

However, let me remind you that it is worth updating this list at least once in a quarter to make sure that some of the sectors have not lost their importance because of political, economic and other reasons.

For example, the same green energy is constantly criticized for its high cost and inefficiency, so one morning we can wake up in a world where solar panels are seen as impractical or outdated.

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Put eggs in different businesses

A well -diversified portfolio is not just a split between risk and stabilitybut also between sectors, industries and regions. This gives you the opportunity to gain profits in the main markets while limiting the risks associated with economic downturn.

Now, as I said earlier, the theme of artificial intelligence is increasing, so the demand for semiconductor has increased significantly. However, when investing in this business, remember that a problem in the supply chain can dramatically reduce the prices of goods.

Sharing investments between sectors such as technology, health care and energy, you can gain profits in the new trends without exposing your portfolio to excessive risks of industry.

It is also worth considering the region in which the business is located. For example, developing markets can provide higher growth potential, but also be more volatile.

Not just once

If you think you can join a varied portfolio once and continue sitting in a pile of money for the rest of your days, then I have bad news for you. Over time, due to market fluctuationsAsset allocation – the percentage of your investments in different types of sectors or businesses – will change.

To maintain the allocation of your chosen wealth, it is important to re -rebalance periodically, redistributing some of your portfolio profits in other parts of it that may not have done so well. By “setting” your wallet, you will be able to adhere to the world tactic of “buy cheap, sell expensive”.

I often hear from financial advisers that it is worth doing such a reallocation once a year, but I personally do it more often, at least once every six months. First of all, I have great pleasure to analyze my assets. Second, increases the accuracy and mobility of my portfolio. Third, this allows me to adhere to the strategy I initially chose.

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Be aware of yourself

First of all, each of those who make up an investment portfolio must examine themselves and honestly answer some questions. The main thing is: How are you? A person can be brave and aggressiveAnother can be polite and charming. All your character traits will be reflected in strategy.

In addition, when forming a portfolio, you need to calculate approximately the time frame: After which time do you expect to win? For example, a Mike Tyson type investor will not wait 20 years to earn a profit; He wants everything here and now! Another option is if you have already started thinking about saving money for retirement. Then long -term planning is suitable for you.

There are no fair and wrong preferences here; There is only what suits you by nature. If you are a gambling, you can invest in those startups that promise fast market entry and fast profits. Of course, such companies should also be checked in advance. Otherwise, it will be an investment, but only a loss of money. If you are melancholy with a heart, investing in large and sustainable companies is more suitable for you.