For instance, if you were to take a snapshot of your financial portfolio, what would it look like? Most financial advisors provide their clients with a pie chart, which assigns a color to each of your assets. That’s why we provide our clients with a much more powerful and insightful picture: a graph of their asset allocation over time. You can tie every data point on this graph to a specific moment, such as a major market disruption or a shift in investing strategy. In the asset allocation over time graph above, for example, you might notice the amount of stock in this hypothetical client’s portfolio has grown over time–while the amount of bonds has shrunk.

Source: Forbes December 05, 2016 14:37 UTC