In the opinion of Richard Cayne at Meyer International Ltd in Bangkok
Thailand, the right asset allocation is the key to a portfolio which
outperforms. Asset allocation lets you spread your investment into
different asset classes and therefore helps in reducing the risk of the
portfolio. Asset allocation is not only about choosing investments in
different asset classes but also those that are in different
geographical regions.
In fact, the concept of asset allocation emerged with the fact that
every investment has a different kind of cycle and associated risks and
therefore, investing in different securities will not only reduce the
risk but will also increase the opportunities of profit for an investor.
According to Richard Cayne Meyer Asset Management Ltd in Thailand,
deciding an asset allocation strategy is a very crucial and important
decision for every investor. The right kind of asset allocation strategy
will help you balance reduce the risks in your portfolio. During asset
allocation, the investor needs to allocate his assets into different
asset classes. Some of the most common but important asset classes
include stocks, bonds and alternative investments such as hedge funds.
Each asset class contains its own advantages. For example, stocks are
often considered as the investments that can bring maximum profit to the
investors but at the same time has highest volatility and downside risk
as well.
An experienced investor knows that information is key to being able
to make calculated decisions and financial consultancy firms can be a
wealth of information to them. For less experienced investors a
financial advisor can help the individual in choosing the right kind of
allocation for his assets as well as helping to define the investor’s
goals. Contacting a financial consultant is advantageous because he
takes complete care of the investor’s portfolio by checking the
investor’s risk tolerance level, investment capacity and by choosing the
appropriate asset classes for an investor. An experienced and
accomplished financial advisor very well understands that every investor
expects profit within a certain time frame and so a proper investment
strategy should be planned along with an asset allocation strategy. One
of the most important tasks for financial advisors is that they help the
investors in building a balance between the involved risks and expected
profit returns.
Richard Cayne Meyer International in Thailand says that the situation
and capacity of every individual investor is different from others and
therefore, a different financial investment strategy having its own
defined asset allocation strategy may be need. Markets and asset
classes do not move in tandem, what’s hot today may be cold tomorrow.
Spreading your investment dollars among different types of asset classes
and markets; stocks and bonds, domestic and foreign markets lets you
position yourself to seize opportunities as the performance cycle shifts
from one market or asset class to another.
Richard Cayne having lived in Tokyo Japan for over 15 years and at
Meyer Asset Management Ltd has ties with over 200 global financial
services firms. Richard is Managing Director of Meyer International Ltd
based in Bangkok Thailand and is the Asian based marketing arm for the
Meyer Group which is owned by Asia Wealth Group Holdings Ltd listed in
London UK.
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