Should you invest in ICICI Prudential Asset Allocator fund?

Do not put all your eggs in one basket is an old adage amplifying the importance of diversification. Various asset classes perform differently during different time periods. Looking at this fact it is necessary for investors to diversify and rebalance their investment portfolio periodically. In this article I wish to discuss the importance of diversifying and rebalancing and the way to do it. 

What is diversification and rebalancing of your portfolio and why it is important 

Since various assets classes like equity, debt and gold perform differently during different time period and may see huge volatility as well as extended period of consolidation phase, it is prudent for retail investors to do an asset allocation for their portfolio and invest across various asset classes. The allocation may depend on age, risk appetite and consistency of income. Research has time and again shown that asset allocation is the key determinant in…

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