What is the Importance of a Diversified Portfolio?

Research has shown that forex traders or investors with diversified portfolios usually see more consistent and stable returns on their investments than those who just trade or invest in one financial instrument. Your portfolio risk is significantly reduced by simultaneously trading and or investing in several different markets.

When it comes to achieving a sustainable forex trading or investment success, portfolio diversification is the key to a successful career. All successful forex traders or investors build diversified portfolios to reduce risk, increase profit margin and consistently produce incremental profit share for all stakeholders.

A balanced diversified portfolio will include but not limited to real property, stocks, forex, commodities, cash and some other financial derivatives. It may take time to diversify your portfolio. Depending on your starting capital, you may have to trade or invest in one industrial sector and diversify to others with generated profit.

Some economist or financial experts suggest standardized traditional diversified portfolio which requires you to spread your initial starting capital evenly among desired asset classes. In other words, if you start with �50,000, invest �10,000 each in real property, stocks, forex, commodities and cash interest bearing savings account.

It may interest you to know that you can still have a balanced portfolio within any desired industrial sector or financial instrument. The key is not to put all your eggs in one basket; develop a short, medium and long time trading or investment strategy in the same asset class to create maximum financial momentum.

For instance, Tuesday 07 October 2014 makes it five weeks and two days since we started trading by putting all our �50,000 in a forex portfolio account. EUR/USD currently has seven open positions and still in a deficit. AUD/USD and NZD/USD are also in deficits with eight open positions each.

If you have invested all your money in only these three currency pairs (EUR/USD, AUD/USD and NZD/USD), your portfolio account equity balance will still be in a deficit. Trading started with buying and selling twenty currency pairs simultaneously using the harmonic arbitrage sequence table to create a diversified portfolio.

Today at 0900 hour GMT Tuesday 07 October 2014, we have doubled our starting capital of �50,000 in 22 trading days. Current equity value stands at �103,693.94; use-able margin at �99,928.44 and use-able margin percentage at 96.37%. Pending orders stands at thirty three and open positions at fifty one.

With a community forex trading group of one thousand members at �50 each, you can join ten groups thereby creating a diversified investment portfolio with just �500. If we can double �50,000 in 22 trading days, doubling every �50,000 in one year is guaranteed using the harmonic arbitrage sequence trading table.

A twelve year investment plan will compound �50 every year into gross revenue of �204,800. Your �500 investment will therefore yield $2,048,000 in twelve years. Even if only one out of the ten forex trading investment group you joined succeeds, you will still be profitable.

Open your free online marketing review account today. Using the chronological sequence to online business success, we will assist you to raise business, trading, personal or emergency funds for any purpose. Our standardized process flow provides you the platform to succeed with mathematical precision.

No business can survive without steadfast consumer traffic and consistent inflow of cash. We present you a unique sustainable funding and consumer traffic solutions. On a platter of gold, we offer the Goose that lays the Golden Egg; this will provide you dependable, incremental, sustainable monthly residual income.