Asset allocation is an investment strategy that involves spreading your investments across different asset classes in order to diversify your portfolio and reduce your overall risk.
While there is no guaranteed way to avoid losses, diversifying your investments can help to mitigate the impact of market volatility on your portfolio.
The asset classes you choose to invest in will depend on your investment goals and risk tolerance. Some common asset classes include Equities, Fixed income, cash, real estate, alternative investments, Gold, etc.
The key to successful asset allocation is to create a diversified portfolio that aligns with your investment goals and risk tolerance. By doing so, you can help to minimize the impact of market volatility on your portfolio.
