The following is my answer to a Quora question: “How should wealth be split between various account types for growth and security?”
You are talking about diversification.
Diversification is done to limit risk and exposure by spreading investments
across sectors, asset classes and geographic regions. There is no exact method because this is
dependent on many factors, such as your risk profile, your investment horizon,
your investment preference, and the factors unique to asset classes, sectors and
geopolitical considerations. As such, it
is impossible to explain exactly how.
You will need a financial consultant to go through that with you.
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