The Situation

The Decision Above All Others

Asset allocation is how you divide your portfolio between major asset classes: stocks (growth, higher volatility), bonds (stability, lower return), and cash equivalents (liquidity, minimal return). The mix you choose determines both your expected return and your exposure to volatility — and therefore your ability to stay invested.

Picking the right stocks matters less than getting the allocation right . One decision compounds for decades. The other requires constant work.

— Worthune Decision Framework

• You have investments but aren't sure whether your stock/bond split is appropriate for your situation
• You've never explicitly decided on an asset allocation — it evolved from individual investment decisions
• You're not sure how allocation should change as your timeline shortens or life circumstances change