Built to Last
Helping clients experience a smoother ride over their investment journey offers two important benefits: the ability to remain committed to their long-term strategy during challenging market environments, and a higher ending value for the portfolio.
Volatility can have a large impact on an investor’s portfolio:
-In the example on the right, Portfolios A and B both start with the same hypothetical investment of $1,000,000.00 and end with an average hypothetical rate of return of 5%.
-Portfolio A experiences less overall volatility while Portfolio B experiences more overall volatility in the form of standard deviation.
After 25 years, the portfolio that experienced less overall volatility, Portfolio A, earned an additional 6.7%—over $215,000 more than Portfolio B.
At CommonFinancialSense.com, we strive to build portfolios grounded in three core principles: meaningful diversification, personalized risk management and opportunistic asset allocation.
We believe that this approach to investing can help generate portfolios that stand up to short-term volatility so that clients can remain within their risk comfort zone and condent in their long-term plan.
Contact your Investment Consultant today to learn how we can help your investments navigate through volatility. info@commonfinancialsense.com
