The idea of spreading your investments into many asset classes that rise and fall independently throughout market cycles has been considered a safe and sure move to make sure your assets are protected. So if any one basket falls, the other basket should keep your portfolio intact. That sounds good, but then there was 2008 to date, that keeps us all of wondering what to do. But using the financial crises to conclude that diversification is pointless because stocks, bonds, and other assets will move in tandem forevermore is a misreading of recent history.

As economic conditions improve, regions are recovering at different paces. It is a good idea to maintain a global perspective, not just the US or hot emerging markets for a big score. Make sure your portfolio will benefit from extraordinary changes in the world.

Make sure you are paying attention to prices. Consider investing in attractive proceed areas like beaten down blue chips that under performed in the S&P in 2009.

Review your objectives and time horizons. Are you buying a home in the next five years, saving for college or is retirement your goal. Review your portfolio with a focus. Remember that lowering volatility through diversification can actually improve your return.

Conveniently located in Central New York state, Ann Wolfson Associates is a financial planning and consulting firm dedicated to helping individuals, families and organizations reach their financial goals. If you have questions about this article or if you would like to become a client of Ann Wolfson Associates, please call (315)449-4730.