Asset allocation — meaning explained

Asset allocation: How you split money between types of investments.

What it means

The mix of stocks, bonds and cash you choose drives most of your long-term result — far more than which individual stock you buy.

Category

Strategy — part of the free InvestED Academy investing glossary for teens.

See it in action

Practise with real prices and fake money in the market simulator, or start the free course at module one.