Can asset allocation be practiced within Fund-Track ?
Fund-Track identifies those mutual funds that are currently performing and trending well. As explained previously, depending upon the economic conditions present, funds of the same “fund type” (within the same industrial sectors/asset classes or regions around the world) tend to move up and down the ranks together, and can be observed often. If you are utilizing multi-fund portfolio and want to diversify your assets it is suggested that when it comes time to “Buy” a fund, you consider selecting a recommended “buy” fund that is of a different “fund type” then those you are already holding. The Down Side – Although this approach would most probably serve to mitigate risk should one sector or region take a sudden tumble, it might also compromise returns and result more frequent trading then normal. When looking for funds within different “fund-types” one will have to select ones not ranked the highest and thus have less to fall in the ranks before they trigger a “Sell”. Another suggestion
