Wealthy investors are focused on long term allocations and optimal portfolio mix, according to the Dow Jones Wealth Management Advisory Council, a group of top wealth managers, and its recent WealthTrends survey.
The Council believes focusing on opportunities in liabilities instead of in assets and making tactical allocations for the long term are the winning strategies. Aided by their advisors, many high-net-worth clients are making minor adjustments to their lifestyles, while all are keeping their portfolios diversified. Council members are advising clients to forgo risky investments and focus on simple financial instruments going forward. Deleveraging across all sectors has been identified as one of the chief processes that will need to take place in the coming year.