The easy way is to buy a diversified fund of funds that incorporates different asset classes into one portfolio.
In the OIDCX diversified fund, too, technology stocks are 13% of holdings, more than double the 6.2% for the category.
For employers, managing the costs of the plan and ensuring the plan has solid, diversified fund options is an obligation every employer takes on by offering a 401(k).
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In the hedge fund space we're both doing it ourselves as well as building diversified hedge fund portfolios for typically large global institutions.
With the average diversified equity fund in America returning 24% last year and the average bond fund earning 8.86%, generous fees may seem a reasonable price for expert stock-and bond-picking.
The largest holding, at 4.9%, is the Eaton Vance Tax-Managed Global Diversified Equity Income fund.
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And the average diversified American equity fund is down 41% for the year, according to Lipper.
By comparison, the average diversified stock mutual fund manager, according to Lipper, had a total return of 12.37% last year.
Finally, the asset class should be investible with low-cost index funds and ETFs, or a least a near-index type, broadly diversified actively managed fund.
Another Brown favorite: Fidelity Worldwide (FWWFX), a broadly diversified global growth fund that Brown describes as a fairly conservative fund with a decent long-term record of 16.7% per year on average over the last five years.
Since then, the fund has diversified its holdings into other sectors such as energy and resources.
Historically, adding a small-cap value index fund to a diversified equity portfolio has lowered portfolio risk and increased returns.
Their products are designed to track specific variables in the market while adhering to a broadly diversified and low-cost fund structure.
By avoiding the high fees of an actively managed fund, investors who buy a diversified portfolio of individual stocks are getting much of the same low cost advantage as index fund investors.
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The financial planner also set up a prudent, diversified investment portfolio to help Anne fund the coming decades.
Mutual funds offer an easy path to diversified foreign bond exposure, and fund managers are experienced enough to go beyond government bonds into attractive corporate issues, too.
Is the asset class available in a broadly diversified, liquid, low-cost fund?
In our diversified micro cap GAMCO Westwood Mighty Mites Fund (WEMMX), merger and acquisition activity has also been robust, with six announced acquisitions of holdings in the September quarter joining the seven announced in the first half of the year.
The San Francisco-born and Minneapolis-bred Buckingham has continued the tradition established by his late mentor and maintains a diversified portfolio of value stocks for the fund and for the newsletter, and has achieved the best investment performance of all newsletters tracked by the Hulbert Financial Digest for the past ten-, 15- and 20-year periods.
The PIMCO Total Return Exchange-Traded Fund (BOND) is a diversified portfolio of high quality bonds that is actively managed in an effort to maximize return in a risk-controlled framework.
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In our GAMCO Westwood SmallCap Equity Fund (WESCX), we hold a diversified portfolio of more than 200 small capitalization equities.
The PowerShares DB Agriculture Fund ( DBA) is based on the DBIQ Diversified Agriculture Index Excess Return, which tries to duplicate the performance of the entire agriculture sector.
Froehlich also recommends investors use well-diversified ETFs and mutual funds, such as the Hartford Global Health Fund.
This is the harsh reality of actively-managed fund results, and one more reason to own a diversified portfolio of low-cost index funds and ETFs.
This taxable fund would be a good addition to a medium to high-risk diversified account.
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Known as funds-of-funds, firms such as Financial Risk Management and Synergy Fund Management have received billions of dollars from investors in order to assemble diversified portfolios of underlying hedge funds.
Diversified and China funds continued to attract the bulk of the new money, but some fund groups dedicated to smaller markets such as Colombia, the Philippines and Vietnam also fared well.
One example, the iShares Global Inflation-Linked Bond Fund ( GTIP), seeks results that correspond to the BofA Merrill Lynch Global Diversified Inflation-Linked Index.
But diversified asset classes cost more to trade and involve higher management fees, expenses that eat into pension-fund returns.
The state pension fund now holds 19 hedge funds, but these were all specifically chosen to create a broader more diversified total portfolio with less total risk.
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