The Art of Asset Allocation : Asset Allocation Principles and Investment Strategies for any Market

Rating:
Summary: Too many generalities and not enough useful information
Review: This is a well written book which is easy to read. However, if you wish to learn how to allocate your capital among the many different asset classes, this book is a great disappointment. After reading all the 396 pages, I still do not know how to allocate my savings. The author lists and explains well what the principal asset classes are, but when it comes to the question how to actually allocate the given capital, the ultimate advice seems to boil down to the empty statement "according to your own personal preferences". Asset allocation is indeed an art and not a science. It depends on a very large number of factors which the author explains well. Evaluating these factors is ultimately left to intuition. The whole process is described using a lofty language like "Self-Awareness, management of feelings, motivation, empathy, confidence, intentionality, self-control" (page 199).
The greatest deficiency of the book is however the emphasis on diversification among financial assets (stocks, bonds, commodities). Farmland, precious metals and other alternative assets are mentioned but not treated fully. Furthermore, no attention is given to the fact that maintaining and rebalancing a portfolio of various assets is expensive (in terms of transaction costs and life-time involved). To sum up: I regret having bought this book.

Rating:
Summary: Practical and Insightful Guide to Allocation Strategies
Review: Timely tome on navigating through the thicket of investment options in unsettled and uncertain times. Author does a masterful job of presenting a wide array of investment options and strategies, simplifying the underlying complexity with easy to understand prose. Brings an experienced eye to individual and institutional investment strategies, and illustrates them with "out of the box" thinking and style. Very worthwhile addition to an investment library.

Rating:
Summary: Practical and Insightful Guide to Allocation Strategies
Review: Timely tome on navigating through the thicket of investment options in unsettled and uncertain times. Author does a masterful job of presenting a wide array of investment options and strategies, simplifying the underlying complexity with easy to understand prose. Brings an experienced eye to individual and institutional investment strategies, and illustrates them with "out of the box" thinking and style. Very worthwhile addition to an investment library.