For long-term investment success, defining and maintaining your asset allocation is key. Diversification of funds into stocks, bonds, and other investments allows an appropriate level of risk for you as an investor while also ensuring that you’re not putting all your eggs in one basket. For instance, overconcentration in a single stock is something to watch out for because not all sectors prosper at the same time, which in turn can reduce portfolio risk. When selecting bonds, remember to look at styles, maturities, and sensitivity to inflation in order to understand how they will fit into your collection of assets. For more information on how to diversify your portfolio and strategies, read the full article HERE.