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Investment Pyramid

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Investment Pyramid
An investment strategy in which an investor diversifies the risk of his/her portfolio while also leaving the possibility for a large return. One does this by putting most of the investor's money in low risk investment vehicles; this forms the "base" of the pyramid. One then puts a moderate amount of money in medium risk investments, and finally forms the "top" of the pyramid by placing a small amount of money in high risk, speculative investments. See also: GARP.


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Let us all hope that the Maktoum family do continue to have the ability and interest to continue their massive investments in our industry and that we can find a few other serious investors to broaden the top of the racing investment pyramid.
However, if you have around $50,000USD to invest for a good ten years, then you might want to try and build an investment pyramid with global equity funds at the bottom, European funds in the middle, and emerging market funds at the top.
But in essence, the two alleged frauds were the same and so were others emerging across the country, as investment pyramids collapse from New York to Florida and Georgia to Pennsylvania.
 
 
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