OCR Text |
Show I 8A Sun Advocate Price, Utah Tuesday September 24, 2002 Now and then in Carbon County r v uncial advisor can be valuable : BY: JOHN FORD Financial adviser . Ifyoure like many investors whp participated in the boom market of the 901, tips cm hot investments may have tempted In the recent post, we all s ,r I r - f. in helping you examine your situation and determine a suit- . able asset combination. Quantification. Does asset allocation really make a difference? History tells us that your Su. stories of people who. returns are greatly influenced struck it rich day trading or by. by how you allocate your intiming the market, but with vestments among asset classes. today1! increased market vola-- In fact,! respected study, "Do- terminants of Portfolio Perfortility people who try to implement there strategKsnu actu- mance, (Brinson, Hood and ally be hurting their portfolios' Beebower, Financial Analysts 1 t' g 4-- i . - .i'r i .V.l-A-- - '3 e 1991) Journal, showed that 91 percent of a May-Jun- how should you think about investing in a turbulent' portfolio1! performance can be market? The answer for many .traced to its investment allocasuccessful investors has been to tion strategy. Asset allocations over- take direction from a strategy called "asset allocation. The whelming influence on your returns means you can prob- -' following are some of the of this investment strat- ably worry less about: . When to invest Because egy: Diversification. One of the youve set a fixed allocation of rndst appealing benefits of as-- , specific investments, market set allocation is the direction it timing should be less of a tempgives us in diversifying our port- - tation. However, if yout finan- folios, tying your fortunes to a dal situation dianges and you single high flying company may deckle to buy or sell securities,, be tempting but recent hkory rely mi your asset allocation model to help restructure your has shown us die danger in dof stocks since that so; go portfolia. up ing What fobuy or sell. Again,'1 fast may plummet just as rapidly. setting your asset allocation Asset allocation diversifies and maintaining it helps keep your investments into many you from randomfy buying or classes - so one investments selling securities according to -. offmarket buzz. You purchase be may performance poor set by anothers rise andor ' more of (me investment if it anothers stability. This can fails below your allocation or help lower your investment sell another if it expands be-- ' yond its set percentage. In piost ; portfolios volatility. Customization. Asset allocases, rebalancing reinforces a ll cation lets you spreadyour dolhigh discipline, best way to start your lars across stores, bonds and cash according to your particu- asset allocation strategy is to lar goals, time frame, risk tol- work with a financial advisor erance and financial resources. who can help you examine your who situation and create a portfolio For example, has jurf started her career might thats likely to achieve your choose a relatively aggressive objectives while allowing you stockbond mix. Her main ob- to sleep at night. Once youve jective is capital growth, and she set your various investment ak1 is less concerned about occa- -. locations, invest your money ' sional market downturns. Con- - , accordingly. You can allocate vendy, an individual in late re- your investments all at once or tirement miU hold a you can make changes gradustockfandcash mix to empha-siz- e ally (over six months or ayear), current incomeand mini- whichever is most comfortable mize the risk of nuyor setbacks for ybu.'Once invested, re: in the market (These two ex- check your portfolios asset and conpercenulgesc amples are relatively simple most asset allocation models sider rebalancing when your ! ' incorporate' many more asset goals change, your risk toler-- 1 tes . -- j The difference in what ms end what is now is often amazing. In the early days of motor cars the midland trail as it ran westward through Cat Canyon ms considered an excellent road. Today there are many people who would not take anything but a four wheel drive on the road as it appears in the early 1900s. In comparison the other photo take in August from nearly the same vantage point shows how far we have come. low-se- 1 a25-year-o- ld now you can have it all. 20-70-- The Total Value Plans from Verizon Wireless include all the minutes you need, plus nationwide long distance all at an affordable price. Act now to take advantage of this great value from America's 1 Wireless Carrier. classes.) - , ance shifts or whenever you fed it is necessary. Asset allocation may sound complex, but its really a smart way to make investing simpler and more dBeptive, hdpingyqu to avoid panic and remain pa; .tient during these times ofW creased market volatility. Many of us might have : thought of ourselves as aggressive investors until the recent downturn in the market Now many investors will seek to choose portfolios thatfaQ some- .. j , where between these two examples. A knowledgeable fi-- MK- J . . . St', C2 mmw ' , ..it l.'J . ... f; s ; ' t S ' WiLi2vevgfMtnuit. V . f? . . ' - jCik Wh'Jos-.fpaMtaakt- . . ' Kctwcrki'.:! TixjfS apply. Eariy rpr.ftt-s- ; f(-- 1 .1, J i- " v p - If you or a loved one uied the diet dnigt Redux. Pondimin &r ts few at 3 " or motidu, the FDA idviiei that " V V V Dizzineaa V Fainting ,v i Fatigue Chext V Alert Cellular, la Located At: bifsrwwtien: V ptouireorpain Swelling of the handiand anidei ' Some injuria are focal and may take Kl3vir S)m ' Thi may bcjrour There is no obligation to sign a an to Call today. Because ail that you hold dear may be at mice. . Qiiaa on results of our reliability studies and network Unused allowances lost Requires COMA equipment Service and promotions not available In all areas. Limited time offer. MsMc to MsMto: For calls on our netwprk within your local mobile to mobile aim me rats ea. Can forwarding, voice mail calls torrony Prepay customers excluded. Lana astoees calls- use allowanoe I minutes. WdHs8d pwHMM we M--F Weekends ir-0- we Sst-IIpm Saw. 02oS Verizon Wireless. - Q . , . Bit RpmO rag 0 kit opportunity . 435-S3- 7' Best network claim retourca Can afford you piece of mind that coma with knowing for sure to be acseencd locrily before the . .. January 3deadlinr, and todaim a put of die 4 billion dollar settlement. nicioui:-- - . T Frunlca and brief Encouraged by your physician Performed by ipcdally mined techs uiing cutting edge equipment Backed by the finot medical and legal V Mce, V V CELLULAR 0J ate you get in echocaidiognm to test for emetging heart ind lung injuries. Many teriouriyinjuied people hm no qmptoaH at aU, while ochen experience: Authorized Agent Me AttemeytntLdwyrtil beofiering&ee ediocaidiogtaint in Price. Fen-Ph- en venzonwireiess 694 In eariy October ZSexarrd- - Dean ' i, - . MMdtor up saves lives! fpo |