Strategic Asset Allocation Basics

Investment Management and Portfolio Theory · 4:56

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Lyrics

[Verse 1]
When you're planning for the future, got your goals in sight
Need a roadmap for investing, gotta get it right
That's your Investment Policy Statement, your guiding light
Shows your risk tolerance and timeline, keeps your portfolio tight

[Chorus]
Strategic Asset Allocation, set your weights and hold them strong
Stocks and bonds and real estate, where does each belong
Policy weights for the long run, IPS will guide the way
Diversify across the classes, that's how winners play

[Verse 2]
Start by looking at your objectives, what you want to gain
Growth or income or preservation, through the sun and rain
Then you set your target portions, percentages that stay
Sixty stocks and forty bonds, or whatever fits your way

[Chorus]
Strategic Asset Allocation, set your weights and hold them strong
Stocks and bonds and real estate, where does each belong
Policy weights for the long run, IPS will guide the way
Diversify across the classes, that's how winners play

[Bridge]
Don't chase every market movement, don't react to fear
Stick to your strategic targets, year after year
When one asset class grows larger, time to rebalance back
Keep those policy weights steady, stay on the right track

[Verse 3]
Young investors might choose growth stocks, higher risk for more return
Conservative folks near retirement, safer paths they'll learn
Your strategic allocation reflects your personal needs
Plant these policy weight foundations, watch your portfolio succeed

[Chorus]
Strategic Asset Allocation, set your weights and hold them strong
Stocks and bonds and real estate, where does each belong
Policy weights for the long run, IPS will guide the way
Diversify across the classes, that's how winners play

[Outro]
Set your targets, stick with patience
Strategic thinking wins the race
Asset allocation basics
Put your portfolio in place

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