When it comes to building wealth, it is key to create a diversified portfolio within your risk tolerance. There are multiple ways to weigh in on what risk tolerance is applicable to you and what investments may be suitable for you and your financial situation. Whether you are an employee or an employer, it is important to implement tax reduction strategies to help preserve wealth.
Disclosure: Diversification seeks to reduce the volatility of a portfolio by investing in a variety of asset classes. There is no guarantee that a diversified portfolio will outperform a non-diversified portfolio in any given market environment. No investment strategy, such as asset allocation, can guarantee a profit or protect against loss in periods of declining values.