Asset allocation is simply allocating
your assets to a variety of investments to protect against
volatility or market downturns. An example would be
to allocate money to large cap stocks, small cap stocks,
a growth mutual fund, and an international fund.
Different types of investments increase or decrease
in price at different times. Some investments are highly
volatile (experience large price swings during the year),
while others are much less volatile, (experience smaller
price swings during the year). Possessing a variety
of investments will help to protect you against market
downturns and volatile investments, (if you choose to
place volatile investments in your portfolio).
A variety of investments will help
to balance the value of your portfolio. As some investments
occasionally go down or remain constant, others may
go up. This up and down act will help to balance the
value of your overall portfolio. Understanding market
downturns and volatility will enable you to hold your
Contact a LPL Investment
Consultant to go over your options for Asset Allocation.
* Asset allocation cannot guarantee a profit or protect against loss.
Financial Advisors of LPL Financial are Registered Representatives with, and Securities, Advisory Services and Insurance Products are offered through LPL Financial and its affiliates, Member FINRA/SIPC. LPL Financial is not a registered broker/dealer. Investments are: Not FDIC insured, may lose value, are not bank guaranteed, and are not obligations of LPL Financial. LPL Branch Office located at 1311 Carolina Ave, Washington, North Carolina 27889. Investment Advisory Services offered through LPL Financial, a SEC Registered Investment Advisor
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