Nearly every investment category had poor performance during 2008. As a result, many people, including experts, began to call for the end of asset allocation as a key investment strategy. Asset allocation, in its simplest form, is the investments world's equivalent of saying, "Don't put your eggs in one basket." More specifically, asset allocation is about ensuring that you have your money invested in various asset categories (e.g., stock, bonds, cash-equivalents) in such a manner that they represent your true risk profile.
Learn more about asset allocation, including links to online calculators that will help you develop asset allocations of your own.
