The Investing Pyramid

Invest Like You Eat
A balanced diet is the key to a healthy body. The USDA has long used the food pyramid to guide people in choosing the right combination of foods.

 

The key to successful investing is similar: Allocate your investments across a broad variety of asset classes. Don't load up on one type of investment to the exclusion of others.

Just as you can't survive for long on a diet of cheese or poultry alone, your portfolio cannot succeed with an allocation to any single asset class -- whether it be real estate, large-cap stocks, money market accounts, or anything else.

 

Diversify your investment portfolio as you do your diet, and you'll be able to eat better - and sleep better - for the rest of your life.