I like looking at pie graphs as I can see clearly how my assets are allocated.

You can do this with a spreadsheet, create a formula, input information about your assets and choose the pie graph feature and you get a good overall picture of how your assets are placed.

Asset allocation is a great idea. It’s important to have a balanced portfolio so that if one sector is struggling, another will hopefully pick up the slack. Diversification is a must for all your income streams.

Because if all your eggs are in one basket, you’re in for a lot of trouble.

We all hear about diversification and, it’s critical nature is borne out when we look at the events of the last 2 years of the economic downturn (well, that’s a euphemism, if ever there was one!)