Investment Strategies Guides
Explore proven investment strategies. Learn about dollar-cost averaging, diversification, asset allocation, and growth vs. value investing.
All Investment Strategies Guides
Growth vs Value Investing: Which Has Performed Better?
Growth investing and value investing have traded the lead for decades. This guide puts real numbers behind the debate — showing how $10,000 split between growth and value indexes performed from 2014 through 2025, why growth dominated the 2010s, why value roared back in 2022, and how blending both styles has historically smoothed the ride.
Asset Allocation by Age: Model Portfolios That Work
Asset allocation — how you divide your money between stocks, bonds, and cash — determines roughly 90% of your portfolio's long-term performance. This guide follows three hypothetical investors at ages 25, 45, and 65 to show how the same $10,000 grows differently depending on the allocation, then covers model portfolios, rebalancing, and when to adjust your mix.
Portfolio Diversification: $10K Example That Reduces Risk
Diversification means spreading your money so that no single bad pick can wreck your portfolio. This guide puts a number on it: in 2022, a $10,000 all-in-Tesla portfolio lost 65%, while a 5-ETF diversified portfolio lost only about 15%. We break down the math, show the diversification curve, and explain why 20-30 uncorrelated holdings capture most of the benefit.
Dollar Cost Averaging: $100/Month Real Example
A step-by-step dollar cost averaging example investing $100/month into SPY for 12 months. See exactly how many shares you buy each month, why you get more when prices drop, and how your average cost compares to lump-sum investing.
Frequently Asked Questions
Dollar-cost averaging into diversified index funds is widely considered a solid starting strategy. It reduces the impact of market timing, provides broad diversification, and requires minimal active management.
Growth investing focuses on companies expected to grow faster than average (often at higher valuations), while value investing seeks companies trading below their intrinsic worth. Both approaches have historically produced strong long-term returns.
Diversification is one of the most important risk management tools. By spreading investments across different asset classes, sectors, and geographies, you reduce the impact of any single investment's poor performance on your overall portfolio.