Asset Allocation

Individual Life Insurance

Asset allocation involves dividing an investment portfolio among different asset categories, such as stocks, bonds, and cash. The process of determining which mix of assets to hold in your portfolio is very personal. The asset allocation that works best for you at any given point in your life will depend largely on your time horizon and your ability to tolerate risk.

Diversification does not guarantee a profit nor protect against a loss in a declining market.

“Asset allocation is a terrific way to diversify your holdings and reduce risk. Asset allocation takes advantage of the fact that when it comes to risk and reward, things like stocks, bonds and certificates all behave differently.”-Richard Scott

To explore asset allocation further, contact Insurance Planning Group at 610-254-0611 today.

Investment Options


Stock is ownership. Simple as that. Buy a share of Microsoft and you acquire a tiny sliver of the software giant. You own a piece of every desk, contract, trademark in the place. Better yet, you own a slice of every dollar of profit that comes through the door.

Stock ownership gives you both upside and downside potential but rarely gives you much control.

How is stock valued? The stock market is a daily reflection on the value of the companies that trade there. Earnings are the supreme measure of value as far as the market is concerned.


Technically speaking, a bond is a loan and you are the lender. Who’s the borrower? Usually it’s the U.S. government, a state, a local municipality or a big company like General Motors. All of these entities need money to operate – so they borrow capital from the public by insuring bonds.

Bonds are known as “fixed income” investments. When you buy a bond, the price you pay is known as “face value.” Once you buy it, the issuer promises to pay your back on a particular day, known as the “maturity date,” at a predetermined rate of interest called the “coupon.”


Issued through banks, certificates provide guaranteed interest and principal. The bank assures the interest rate fluctuation. At the end of a defined certificate period, you get your money bank.