Most traditional investment strategies are simply a series of short-term speculative bets strung together and called ‘investing’. Research has shown that these active-management strategies are generally promoted by overconfident fund managers, stockbrokers or property spruikers, who often place their interests ahead of yours.
At Alman Partners our strategies for successful investing include:
- Diversification – we don’t believe in putting all your eggs in one basket;
- Avoiding wealth destroying emotions – we help you understand the ups and downs of the market, so you become confident, in-control investors;
- Minimising Risk – we implement “Asset Class Investment” portfolios for our clients and ourselves.
Asset Class Investment works because:
- It is a secure way to invest your nest egg, so that you have a high probability of achieving your goals;
- It is a disciplined and structured approach, so that we are not guessing with your money;
- It is founded on academic research, designed to capture every competitive edge we can in volatile markets.
Broad diversification overcomes specific risk. In other words do not put all of your eggs in one basket.
Avoid wealth destroying emotions
The greatest destroyer of wealth is ‘YOU.’
People are not wired for successful investing. Why? Because we are emotional beings. We want to buy when things are good, which generally means prices are high, and left to our own devices many panic and sell when things are volatile and the outlook looks bad.
Emotion of Investing