Choose a Portfolio
Investors can choose from three investment strategies for globally diversified portfolios: Low, Medium and High Risk. These strategies are commonly referred to as Income, Balanced and Growth.
Capital preservation and emphasis on annual cash returns, avoidance of risky assets.
||A balanced between the objectives of Income and Growth investment strategies.|
|Growth||Capital growth, little interest in cash returns, willing to accept portfolio losses in exchange for thepossibility of highter portfolio returns.|
Some asset categories are inherently more risky than others. There are only four asset categories:
Trade finance funds
Lowest risk. securities linked to physical assets producing cash in short-term transactions.
||Trade finance funds
|Lower risk. securities linked to physical assets producing cash in medium-term transactions.|
||Equity funds||Higher risk. securities linked to ownership of a business, sharing in risks and rewards ownership.|
|Alternative Investments||Commodity funds
Real estate funds
Special strategy funds
|highest risk. Outcome of investments is less predictable, more speculative.|
These investment strategies and their asset allocations are best illustrated as follows: