Asset Allocation
Asset allocation is an approach to help manage investment risk. It does not guarantee against investment loss. The idea behind asset allocation is to offset any losses from one class with gains in another, and thus, reduce the overall risk of the portfolio.
Long-Term Focus
Long-term investors are generally rewarded. Getting invested and, more importantly, staying invested allows an investor to participate in compounding over time.
There have always been good reasons NOT to invest but the market, although it has had some poor years, has risen more often than it has fallen.
Time In the Market
Don't try to time the market. Missing even one month in the market can impact longer-term performance. Large and frequent allocation changes, sometimes resulting from knee-jerk reactions, are often detrimental. The old adage rings true: Time in the market is more important than timing the market.
Downside Protection
Protection of capital is an important factor in successful investing. Focusing on downside-protection, even at the expense of some upside participation, is important.