For example, IBM, MSFT, AAPL are a grouping of stocks. Asset classes and asset class categories are often mixed together.
• Equities – Stocks
• Bonds – Fixed Income
• Cash
• Real Estate – Investment and Portfolios
• Crypto Currencies (Non ICO’s)
Historically, the three main asset classes have been equities (stocks), fixed income (bonds), and cash equivalent or money market instruments. Currently, real estate, commodities, futures, other financial derivatives, and even cryptocurrencies are now being included in what is termed as a traditional asset. Investment assets include both tangible and intangible instruments which investors buy and sell for the purposes of generating additional income on either a short- or a long-term basis.
A mixture of asset classes has long been seen as they predominant way to diversify and mitigate risk when looking to create a portfolio that offers long term growth potential or dividend investment strategies.
Learn more about the asset classes we recommend.