ASSET CLASSES

191112_Warren Buffet shadow quite.jpg

Asset Classes

  • Yes, you can invest in more than just stocks

  • The four main classes are equities, derivatives, fixed income, and alternatives

  • Classification can differ with the source - there is no true breakdown

  • Grey area exists between classes,  to find out where read more below

Asset Classes

  • Yes, you can invest in more than just stocks

  • The four main classes are equities, derivatives, fixed income, and alternatives

  • Classification can differ with the source - there is no true breakdown

  • Grey area exists between classes,  to find out where read more below

Why Should I Care?

  • Different Asset Classes carry different risk profiles

  • Some Asset Classes perform better than others depending on the economic cycle and market conditions

  • The best portfolio holds a range of Asset Classes

  • Assets of a class can be packaged to form new products

ASSET CLASSES BREAKDOWN
 
ETFication breaks down asset classes into four major categories: Equities, Fixed Income (synonymous with bonds), Derivatives, and Alternative Assets. However, there is no consensus method for doing so. 

 

            Other resources may tell you the same, that there are three classes, nine, or anywhere in between. 

DIVING DEEPER INTO ALT ASSETS
There are many more categories...

Description about article...

ALT

ASSETS

 

Alternative Assets are described as everything but stocks, bonds, and cash

Description about article...

DERIVATIVES

Derivatives are contracts between two parties to buy, sell, or exchange an underlying asset 

Description about article...

FIXED INCOME

Fixed Income refers to securities that pay out fixed interest or dividends until maturity

Description about article...

EQUITY

Equity measures how much ownership someone has over a company or asset

Account Types

Saving for the future? Learn how different account types such as Roth IRA and 401Ks will enable you to have more financial freedom

Structured Products are pre-packaged investment strategies that include a wide variety of asset classes.
READ MORE

Product Types

Learn about the power of Exchange-Traded Funds (ETFs) and Mutual Funds (MF) and how they can impact your portfolio

money-banknotes-on-transparent-backgroun
shep_04.png
Account Types refer to the various tools one can use to invest their money or save for their future. 
 
READ MORE