Optimal portfolios over time are like the most successful long-term eating regimens: They include a lot of variety. That’s because investments move in cycles. When some types are rising, others fall. By combining them into a diversified portfolio, you can capture the gains of stronger performers while cushioning losses from those temporarily out of favor. So, while a diversified portfolio doesn’t guarantee a profit, it does help you reduce volatility.
Stocks, Bonds and Cash
These are the three basic food groups of a good portfolio. But just as eating only iceberg lettuce isn’t healthy, an equities diet of nothing but large-cap stocks may not be the best approach for the health of your portfolio. That’s why true diversification means more than owning stocks, bonds and cash. It also means spreading your investment dollars within these broad asset classes.

Everything you need for a diversified portfolio Northern Funds can help you spread your investment dollars between — and within — the broad asset classes of stocks, bonds and cash. And that’s what it takes to build a balanced portfolio.
What's the Best Mix for You?
To develop — and implement — a well-diversified portfolio for your time horizon, income needs and risk tolerance, contact your financial advisor or call 800/595-9111.












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