2. The capital market environment factors that affect the risk-return status of various assets and their correlation, including international economic situation, domestic economic situation and development trend, inflation, interest rate changes, economic cycle fluctuations, supervision, etc.
3. The problem of matching the liquidity characteristics of assets with the liquidity requirements of investors.
4. Investment period. When investors choose between assets with different maturities (such as bonds), they need to consider the arrangement of investment duration.
5. Tax considerations. Tax results are of great significance to investment decision-making, because the performance of any investment strategy is evaluated by its after-tax income.
Extended data:
Main types of asset allocation
1, constant mixing strategy
Maintain a fixed proportion of all kinds of assets in the portfolio. Assuming that the return on assets and investors' preferences have not changed much, the allocation ratio of the optimal portfolio remains unchanged. Constant mixed strategy is suitable for investors with stable risk tolerance. If the stock market price is fluctuating, the constant mixing strategy may be better than the buy-and-hold strategy.
2. Portfolio insurance
On the premise of investing some funds in risk-free assets to ensure the lowest portfolio value, invest the remaining funds in risk assets and adjust the ratio of risk assets to risk-free assets with the changes of the market, while not giving up the appreciation potential of assets. When the portfolio value rises due to the rising rate of return on risky assets, the investment proportion of risky assets also increases.
3. Buy and hold strategy
After determining the appropriate asset allocation ratio and constructing a certain investment portfolio, the investment portfolio will be maintained without changing the asset allocation status within an appropriate holding period, such as 3-5 years. Buy-and-hold strategy is a negative long-term rebalancing method, which is suitable for investors with long-term planning level and satisfied with strategic asset allocation.
Baidu encyclopedia-asset allocation