Investment Strategy
Definition of 'Investment Strategy'An investor's plan of attack to guide their investment decisions based on individual goals, risk tolerance and future needs for capital. The components of most investment strategies include asset allocation, buy and sell guidelines, and risk guidelines. |
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Investopedia explains 'Investment Strategy'Investment strategies can differ greatly from a rapid growth strategy where an investor focuses on capital appreciation to a safety strategy where the focus is on wealth protection. The most important part of an investment strategy is that it aligns with the individual's goals and is closely followed by the investor. |
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Articles Of Interest
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4 Steps To Building A Profitable Portfolio
This is a step-by-step approach to determining, achieving and maintaining optimal asset allocation. -
The Key To High Returns Is A Disciplined Strategy
Learn about different investment strategies and how to pick the right one for you. -
Why You Shouldn't Manage Your Friends' Money
Your pals may like your returns, but it isn't wise for you to manage their money. -
The Importance Of Diversification
Without this risk-reduction technique, your chance of loss will be unnecessarily high. -
Style Drift Can Hurt Mutual Fund Returns
Small, gradual changes in a portfolio manager's stated strategies can be a big risk for investors. -
4 Steps To Creating A Better Investment Strategy
Make your trading safer and more streamlined by following these simple guidelines. -
Investing With A Purpose
Setting goals is the first step in determining which investment vehicles are right for you. -
Create Your Own Trading Strategies
Do-it-yourself trading can be very rewarding - both psychologically and for your wallet. -
Matching Investing Risk Tolerance To Personality
Understanding risk tolerance is crucial to the advisor/client relationship and any good investment policy statement. -
The Leverage Cliff: Watch Your Step
Understanding your risk tolerance level can save you a lot of grief and financial instability in the future.
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