Re:Maybe Warren Buffett Is Warning Us About Something
by JauntTrooper on Wednesday August 28, 2019 @11:06AM
(#20820504)
+1 for A Random Walk Down a Wall Street.
It was assigned to me at Princeton in my intro to finance class and was formative to my financial education. It’s also very readable.
I am now a CFA charterholder working in finance, and I still love that book.
Asset allocation is one of the few levers to control risk that you have. The more you have in safe assets (bonds and cash) the less likely to lose money in a downturn. Nothing's free, however, and that stability will cost you long term growth. Only you can figure out what level of risk you can love with (are you ok losing 10% during a downturn? 25%? 50%?). An advisor can help but you need to look in your heart of hearts and determine the number.
If you don't want to educate yourself or need a helping hand, get a fee based financial planner. Last I looked (years ago) was a couple thousand bucks to have a financial assessment. Ouch. But cheap compared to the 1% of assets the other kind of financial planners take annually. More on that here:
https://www.napfa.org/financial-planning/what-is-fee-only-ad...