Winston Feng

Most investors naturally gravitate toward funds that advertise the highest returns. However, impressive numbers alone can be misleading if they are accompanied by excessive volatility. To truly understand a fund’s success, it’s essential to evaluate how efficiently it generates profit relative to the risk it takes. This concept—known as risk-adjusted performance—provides a clearer, more realistic view of a fund’s value. Additionally, this approach highlights whether a fund’s gains stem from sound management or share market luck. A fund that earns 8% with moderate volatility may be far superior to one that earns 12% with high volatility. By factoring in both reward and stability, investors make more intelligent, more sustainable decisions that protect capital while fostering steady growth. Why Traditional Metrics Fall Short Conventional measures such as annual returns or cumulative growth paint only part of the picture. They fail to capture the extent of the uncertainty a fund faces in...

Building wealth takes time, patience, and the right investment strategy. One of the most important parts of investing is learning how to balance your portfolio for steady growth. A well-balanced portfolio helps protect your money during market downturns while still giving you a chance to grow your wealth over time. This article will guide you through the steps to build and maintain a balanced investment portfolio that supports long-term success. What Is a Balanced Portfolio? A balanced portfolio is a mix of different types of investments, called asset classes. These usually include stocks, bonds, and cash. Each of these assets behaves differently in the market. When one performs poorly, another may perform better, helping to even out your overall returns. Stocks represent ownership in a company and offer higher growth potential but come with more risk. Bonds are loans to governments or companies and provide a more stable income with less risk. Cash or cash equivalents include savin...

  In the unpredictable world of finance, market volatility is a constant companion. It refers to the rapid and significant fluctuations in asset prices, driven by economic data , investor sentiment, geopolitical events, or shifts in global demand. While some view volatility as a threat, others see it as an opportunity. The real challenge for investors lies in understanding how to navigate these turbulent markets and adjust their strategies to safeguard capital while seizing profitable moments. What Drives Market Volatility Market volatility can arise from various sources. Economic indicators such as inflation, interest rates, and employment data often play significant roles. When inflation rises or central banks change monetary policy, investors react swiftly, causing price swings. Similarly, global events — wars, pandemics, or political elections — inject uncertainty, shaking investor confidence and fueling erratic market behavior. Another major factor is investor psychology. Mark...