How Does Diversification Really Work? (Video)

“The important thing about an investment philosophy is that you have one you can stick with.”
-David Booth, Founder and Executive Chairman, Dimensional Fund Advisors

There are many factors to consider when deciding to invest in the financial markets. To start, it’s important to think about your personal situation: the years you have left until retirement, and how much risk you’re willing to take with your money.

But it’s also crucial to have a long-term, disciplined strategy in place — and that’s where diversification comes into play. When investing for retirement, a diversified portfolio helps spread your overall risk, keeps you out of the guessing game and can protect your hard-earned savings against market turbulence.

Diversification is an extremely important component of our investment philosophy, which is why we’ve dedicated the next video in our Big Future, Little Steps series to the concept. Watch the video above to learn more about diversification and find out how it can benefit your retirement savings strategy.

Want to Learn More?

Debating between a Roth versus a traditional 401(k) plan? How can you decide which option is right for you and your retirement goals? Discover the differences in the second segment of our Big Future, Little Steps series.

Wipfli Financial Advisors, LLC (“Wipfli Financial”) is an investment advisor registered with the U.S. Securities and Exchange Commission (SEC) under the Investment Advisers Act of 1940. Wipfli Financial is a proud affiliate of Wipfli LLP, a national accounting and consulting firm. Information pertaining to Wipfli Financial’s management, operations, services and fees is set forth in Wipfli Financial’s current Form ADV Part 2A brochure, copies of which are available upon request at no cost or at www.adviserinfo.sec.gov. Wipfli Financial does not provide tax, accounting or legal services. The views expressed by the author are the author’s alone and do not necessarily represent the views of Wipfli Financial or its affiliates. The information contained in any third-party resource cited herein is not owned or controlled by Wipfli Financial, and Wipfli Financial does not guarantee the accuracy or reliability of any information that may be found in such resources. Links to any third-party resource are provided as a courtesy for reference only and are not intended to be, and do not act as, an endorsement by Wipfli Financial of the third party or any of its content or use of its content. The standard information provided in this blog is for general purposes only and should not be construed as, or used as a substitute for, financial, investment or other professional advice. If you have questions regarding your financial situation, you should consult your financial planner, investment advisor, attorney or other professional.
OneBite Editorial Staff
OneBite Editorial Staff

OneBite® is a Top 50 Financial Advisor Blog powered by Hewins Financial Advisors. Founded in 2011, the digital magazine is dedicated to providing intelligent, in-depth coverage and analysis of the top financial and economic issues facing investors today.

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How Does Diversification Really Work? (Video)

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