An old saying gone completely haywire...
You've heard the saying "don't put all your eggs in one basket," and while it's certainly applicable to investing there's a tremendous downside when people try to apply it to investment guidance.
Of course every investor should diversify their assets (what I call the proper asset allocation—that precise mixture of stocks, bonds, and cash, which seeks to balance performance with risk tolerance). In fact, too few investors are aware that your asset allocation accounts for about 90% of the variation in returns from your investments—making it the clear trademark for successful investing.
The irony is that many investors think one way to pursue diversification is through spreading their assets across a number of financial professionals. If your assets are being managed by a number of people, how likely is it that, when viewed together, you have the right asset allocation (and did I mention that it accounts for 90% of variation in your returns!)?
There is always a chance that in response you might consolidate your assets with someone else you've been doing business with. So why do I bring this to your attention? When I decided to become an independent financial professional, my motivation was that I would never allow the truth to cloud my judgment when it came to your best interests.
So there it is! If you would like to discuss other holdings, which should be incorporated into the asset allocation we have been using to manage your account, please feel free to call me.
By the way, there is another saying in the investment world, "Forget the bulls and the bears, simply be wary of the bum steers," and this article is offered with that thought in mind.