Thursday, September 23, 2021

What should be my asset allocation in current markets? Financial Planning makes it simple

What should be your asset allocation as per current market conditions?
Lot of articles are written on this topic, and I would say this is baseless and the most confusing way to approach investing.

Why I say this is baseless and confusing approach?

A_Views on 'current market' are always individualistic (ask 10 different people and market views will be varied).
B_Truth is everyone will have 'view', but no one is definite.
C_Market by itself is ever changing.

The only right approach to define your asset alloaction is to be based on -

_Risk Profile
_Period of Investing (based on more stable defined milestones)

And, sticking to it, with regular re-balancing.

Keep it simple.
Investing is simple.
Investing decisions are simpler.

Happy Investing.
Happy Living your life.

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