Many investors tend to focus on selecting the right stock to buy and choosing the perfect time to buy and sell. But some experts say these factors are a sure-fire way to damage portfolio performance.
According to Roger Ibbotson, chairman and founder of Ibbotson Associates and a professor in the practice of finance at the Yale School of Management, what really drives performance over the long term is asset allocation - the assignment of money to different categories of assets, such as large- and small-cap funds, international funds, bonds and cash...