The benefits of portfolio diversification
The U.S. stock market remains in the hunt for all-time highs. The only problem is that as stocks continue to rise, underlying fundamentals are increasingly deteriorating. This presents a meaningful downside risk for stock investors regardless of the amount of Fed money printing. A focus on broad portfolio diversification helps protect against this risk. One such alternative allocation example is particularly timely today.
For how long?
The S&P 500 is continuing its charge to a new record. At the open on Thursday, the benchmark index rose to within three and