At Keel and Long, our goal is to actualize your financial goals. With decades of combined experience, we give your financial resources the same treatment we give our own. You can trust us to help you with financial planning, portfolio management, and 401k plan services, among other services. Because we use a fee-only model, we have minimal conflict of interest when thinking about your finances. Our clients are always our first priority.
Whether you are just starting to learn about investments and financial planning or you are seasoned pro, you have likely heard of portfolio diversification. Portfolio diversification is a management strategy that blends different investments in a single portfolio. The idea behind diversification is that a variety of investments will yield a higher return for the risk you are willing to tolerate.
How do we diversify your portfolio? We implement portfolios based on Modern Portfolio Theory and its iterations while considering your time horizon and risk tolerance.
- We will not put all your money in one stock or one sector. We research to find stocks with solid fundamentals from different sectors.
- No one stock will comprise more than 5% of your portfolio.
- We encourage you to keep building your portfolio. If you are still in the accumulation phase, add to your investments on a regular basis. With dollar-cost averaging, you invest money on a regular basis.
- Using this strategy, you’ll buy more shares when prices are low, and fewer when prices are high.
- We will watch market conditions but realize trying to time the market is a fool’s game. We will tweak the portfolio to reflect the expectation of the market but not move in and out based on fear or exuberance.
- We offer Fee only Financial planning and portfolio management. We utilize stocks, ETFs and occasionally mutual funds to invest in different asset classes such as large caps, small-caps , mid-caps, REITS, commodities, international assets and various bond funds. Unlike many other firms, we are not compensated from any investments in your portfolio nor do we charge trade fees. Also unlike many others we are held to a fiduciary responsibility to you throughout our relationship with you including during the portfolio implementation.
Why should you diversify? Diversification helps investors to not “put all of their eggs in one basket.” The idea is that if one stock, sector, or asset class slumps, others may rise. This is especially true if the securities or assets held are not closely correlated with one another. In general, diversification reduces the portfolio’s overall risk without sacrificing its expected return.
If you are ready to discuss your investment options, we would love to help you get started. Schedule a free consultation with us at Keel and Long today! We’re happy to talk more about portfolio diversification with you, and we’d love to manage your investment portfolio for you. Let us know how we can help!