Evidence to support clinical decision making
The research presented in the two papers on asset allocation and its importance for investment portfolios suggest that an adequate portfolio should be spread across multiple asset classes, with each investor’s strategy varying based upon their individual circumstances such as age, goals and objectives of their investments. Li and colleagues. The paper by Li and co. Volz & Kugler (2002) determined that diversification is important regardless of the investors situation; however, having a well balanced combination of stocks, bonds and cash will provide higher returns over time while still mitigating risks associated with investing.
An appropriate allocation of assets can maximize return and manage risk according to age, financial goals or personal wealth. Although there is not one definitive answer when it comes to what an ideal portfolio should look like since every person’s needs are different; research has shown that carefully analyzing one’s individualized situation and spreading out investments across multiple assets provides a better chance at success in the long run than simply investing all funds into one type of security/asset class alone–adding stability during times uncertainty preserving wealth whatever may come light hope courage faith knowledge true peace harmony understanding win day hearts minds.