The Global Market Portfolio
The most broadly diversified portfolio an investor can have is the Global Market Portfolio. It includes all available asset classes across the global investable universe. The chart below shows the relative size of each asset class.
Enter your text here...
Model Portfolio #1
The chart below shows how an investor could emulate the GMP using ETFs.
But how practical is it to invest in this way? Consider two thoughts. First, you can't get a more diversified portfolio than this. You are exposed to virtually every investable asset class in the world.
Model #2- The Modified Global Market Portfolio
The next model incorporates modifications that make the portfolio more robust, and more realistic for investors. It adds to equity exposure, and lowers bond exposure. The returns should be higher than Model 1, without a significant increase in volatility.
Model #3- The Conservative Income Portfolio
Model #4- The Moderate Growth & Income Portfolio
Model #5- The Aggressive Growth Portfolio
These model portfolios are not recommendations for the way you should allocate your funds. Each investor has a unique combination of goals, risk profile, time frame, and financial resources. Always consult your financial advisor before you invest in any model portfolio.
The Global Market Portfolio
