Time-Referenced Investment Policies

Kaufhold, Kevin C.
April 2008
Journal of Financial Planning;Apr2008, Vol. 21 Issue 4, p54
Academic Journal
The article explores the changing nature of risk and return across three varying periods. It examines the theoretical and practical impacts of time upon investment composition. It presents an outline in crafting in-depth investment policies incorporating all relevant holding periods. It includes that relevant risk and return should be defined in pricing-related terms, diversification of assets is a critical and necessary factor, and allocation of assets is a vital part of any investment policy. It concludes that in long time frames, investment policies should ensure that consumption across an investor's entire life is protected and maximized.


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