Building a well-balanced, diversified portfolio involves including assets with varying correlations. The U.S. dollar (USD), with its weak or negative correlations to other assets, can be a valuable addition to investors’ portfolios. This graphic, created in partnership with OANDA, illustrates the USD’s correlations with other assets and indices. This insight can provide assistance for evaluating the role of USD in investment portfolios.
Which Assets Are Most Correlated to the USD? →“Learn by doing — with small amounts of money, or even on platforms where you don’t actually have to use real money,” said Friedman. “As you get more engaged and more educated, you can start to take more risks ... and then get more confidence.”
Investing is a foundational element of wealth creation →1. Have a long-term goal in mind when investing 2. Make sure to diversify your investment portfolio 3. Try the practice of dollar-cost averaging 4. Hire a financial professional to work with
Investing is not one of the areas of life where it makes sense to involve your emotions →This graphic shows the share of U.S. households’ finances invested in public stocks over time, based on data from the Federal Reserve.
Share of U.S. households’ finances invested in public stocks over time →While the stock market is riddled with uncertainty, certain tried-and-true principles can help investors boost their chances for long-term success
10 tips for successful long-term investing that can help you prevent mistakes and hopefully generate some profits →A fundamental investing strategy that distributes investment funds among multiple asset classes is diversification.
What Is Diversification? Definition as Investing Strategy →← Curating the web to find the most interesting and helpful information about your money.