Synopses & Reviews
The All-in One Guidebook for Understanding--and Profiting From--Today's Most Up-to-Date, Market-Proven Asset Allocation Strategies
All investing constitutes a trade-off between the returns you seek and the risks you are willing to take. Asset allocation involves the spreading of those risks in order to minimize their potential impact. Too often, however, even minor misuse of asset allocation principles can adversely affect portfolio performance--and lead advisors and investors to disregard the very tools they need to get their portfolios back on track.
The Art of Asset Allocation is today's most comprehensive and hands-on guidebook for using asset allocation principles to dramatically improve the performance of virtually any portfolio. Written by one of today's top asset allocation practitioners and experts, it provides you with:
- A comprehensive explanation of the asset allocation process
- Clear, readily graspable diagrams and illustrations
- Step-by-step guidelines for choosing the best asset allocation strategies
- Descriptions of the risks and rewards of all the major asset classes
- Insights into behavioral influences on investors' decision-making
- Analysis of important asset allocation rebalancing techniques
- Detailed matrices and worksheets for determining optimal asset allocations
Asset allocation can be used by anyone, regardless of background, to aim for successful returns and protect those returns in today's changing marketplace. Let The Art of Asset Allocation provide you with everything you need to make allocation a key part of your overall investment strategy, and reduce or eliminate costly shortfalls in both your short- and long-term portfolio performance.
"Unique in its coverage and innovativeness, The Art of Asset Allocation furnishes a comprehensive array of tools, charts, illustrations, matrices, worksheets, and practical guidance designed to illuminate: (i) the basic principles of asset allocation; (ii) the mechanics of asset allocation, (iii) the behavioral underpinnings of asset allocation; (iv) the essential characteristics of each of the 16 major asset classes; (v) a series of approaches to financial markets analysis; and (vi) matrices and worksheets designed to successfully carry out asset allocation on an ongoing basis..."--From the Foreword
Asset allocation has long been a popular tool among financial professionals for improving risk-adjusted return in all market environments. But new tools, asset classes, and approaches have profoundly transformed the allocation process, with critical implications for everyone from investors with relatively modest portfolios to high-asset individuals and professional advisors responsible for tens or hundreds of millions of dollars.
The Art of Asset Allocation details how you can use modern asset allocation concepts and tools to augment returns and control risks in every market climate--bull, bear, or non-trending. This all-encompassing book will provide you with the knowledge you need to most effectively employ modern asset allocation techniques, whether you are a newcomer to asset allocation and read the book from cover to cover or an experienced asset allocator seeking primarily to update your body of knowledge on the topic. In-depth treatment is given to all aspects of effective asset allocation, including:
- Basic meanings, principles, and pathways of asset allocation
- Dozens of clear and insightful charts and illustrations
- Mechanics and frameworks of asset allocation
- Analyzing assets' rates of return and the behavioral underpinnings of asset allocation
- Essential risk and reward characteristics of each of the 16 major asset classes
- A series of approaches to financial markets analysis and rebalancing
- Worksheets to profile the investor, the investment outlook, and potential investments
Successful long-term investment performance is rarely a matter of luck or timing. Rather, it is a function of thoughtfully and prudently choosing a portfolio of investments to minimize risk while maximizing return, and strategically and tactically rebalancing assets to reflect changing markets, the creation of new asset classes, and the global investment outlook. In a logical and straightforward way, The Art of Asset Allocation can show you how to use asset allocation to improve your portfolio performance, regardless of your investment time frame or portfolio size, in every market environment.
An accessible guide to portfolio-enhancing asset management in bull or bear markets
Asset allocation is a crucial and continually popular topic among investors of all types. The Art of Asset Allocation is a practical, hands-on guide that shows finance professionals and individual investors how to achieve an asset balance designed to thrive in a wide range of financial market environments. David Darst, author of the highly acclaimed The Complete Bond Book, provides a comprehensive framework for using asset allocation principles in bull, bear, or non-trending markets. This complete asset allocation guide contains:
- Differences between tactical and strategic asset allocation--and the advantages of each
- Effective tools for determining asset allocation strategies
- Asset class descriptions and historical risk and return statistics for all major asset classes
- Rebalancing guidelines
- Investor behavior analysis
- Practical financial worksheets, charts, and other illustrative tools
- An annotated guide to traditional and Internet-based information sources
An accessible guide to portfolio-enhancing asset management in bull or bear markets
Asset allocation is a crucial and continually popular topic among investors of all types. "The Art of Asset Allocation is a practical, hands-on guide that shows finance professionals and individual investors how to achieve an asset balance designed to thrive in a wide range of financial market environments. David Darst, author of the highly acclaimed "The Complete Bond Book, provides a comprehensive framework for using asset allocation principles in bull, bear, or non-trending markets. This complete asset allocation guide contains: Differences between tactical and strategic asset allocation--and the advantages of each Effective tools for determining asset allocation strategies Asset class descriptions and historical risk and return statistics for all major asset classes Rebalancing guidelines Investor behavior analysis Practical financial worksheets, charts, and other illustrative tools An annotated guide to traditional and Internet-based information sources
Aimed at both individual investors and financial advisors, this book presents: the tools of asset allocation; an understanding of the asset-allocation process; the specifics of asset-class characteristics; and step-by-step guidelines for implementing appropriate asset allocation strategies.
The fully revised classic on employing asset allocation techniques to grow real wealth
A global leader and preeminent expert in asset allocation, David Darst delivers his masterwork on the topic. In a fully updated and expanded second edition of The Art of Asset Allocation, Morgan Stanley's Chief Investment Strategist covers the historic market events, instruments, asset classes, and economic forces that investors need to be aware of as they create asset-building portfolios. He then explains how to use modern asset allocation concepts and tools to augment returns and control risks in a wide range of financial market environments. This completely revised edition shows how to achieve asset balance with the author's proven methods, decades of expertise, relevant charts, practical tools, and astute analyses.
Known as the king of asset allocation, Darst brings his expertise to bear to provide complete asset class descriptions, identifying historical risk, return, and correlation characteristics for all major asset classes. Using actual data, he explains the differences between tactical and strategic asset allocation, outlines clear rebalancing guidelines, and includes an annotated guide to both traditional and Internet-based information sources.
Praise for the first edition:
“You want to be a better investor, a better client, or a better advisor? DEVOUR THIS BOOK NOW!”-James J. Cramer
“David Darst is the expert on Asset Allocation. He has chosen to share his decades of practical experience in The Art of Asset Allocation, to the benefit of professional and individual investors alike.”-Seth A. Klarman
About the Author
David M. Darst is a Managing Director and the Chief Investment Strategist for Morgan Stanley's Global Wealth Management division, as well as a CFA charterholder and a member of the New York Society of Security Analysts. A highly sought-after international speaker, Darst is the author of Mastering the Art of Asset Allocation, The Complete Bond Book, and The Handbook of the Bond and Money Markets.