Did you know that Harvard has a 37 billion dollar endowment? That is a crazy amount of money. And to be clear, that’s billion with a capital ‘B.’ Let’s examine what the pros do, the Ivy Portfolio, and you can replicate it.
Asset allocation is simple. Buy 2,000 shares of Tesla, 5,000 shares of Amazon, and put the rest in the hot stock tip you got last week. Now, sit back, relax, and watch your portfolio grow forever. That’s obviously incorrect, but wouldn’t it be nice if it were that simple? But, contrary to popular opinion, asset allocation isn’t that complicated.