The pundents are alreading weighing in on their predictions for the assets and asset classes that will perform well in 2007. Well-respected names in money management circles have different opinions regarding the best places to invest money in 2007. Some say small cap domsetic stocks are the place to be. Others explain that solid large cap bellweather holdings should do well.
It is hard to ignore developing countries like China, who posted spectacular gains in 2006. It is even harder to imagine China as an "emerging" powerhouse. In my humble opinion they have been a powerhouse for years.
The secret to investing success in 2007 is broad portfolio diversification and an unemotional commitment to asset allocation. The simple fact is that it would take a very accurate crystal ball to predict the markets that will excel. If investors can prudentently spread money across asset classes and even international borders, and not give in to fear or greed, their chances of success greatly improve!
Mark Diehl, CFP, ChFC is the author of The Wealth Management Manual and is the Chief Investment Officer of Preferred Wealth Management, LLC, a fee-only Registered Investment Advisor. He can be reached at 800-304-1232 or online at http://www.advisor90.com
