Unshakeable: Your Financial Freedom Playbook

by Anthony Robbins

But most of us can’t afford to diversify by owning a slew of houses or apartments. That’s one reason why I like to invest in publicly traded real estate investment trusts (REITs).

You get to benefit from any appreciation in the price of the underlying property, while also receiving a healthy stream of current income.

Master Limited Partnerships.

we sometimes recommend MLPs because they pay out a lot of income in a tax-efficient way.

but they can be great for an investor who is over 50 and has a large, taxable account.

“Gold gets dug out of the ground in Africa, or someplace. Then we melt it down, dig another hole, bury it again, and pay people to stand around guarding it. It has no utility. Anyone watching from Mars would be scratching their head.”

Historically, stocks, bonds, energy commodities, and real estate have outperformed gold.

As I see it, hedge funds are handmade for suckers or for speculators looking to roll the dice on a big bet.

These are principles we live by at Creative Planning, and I’m confident that they’ll serve you well through sunny days and storms!

The moral: never bet your future on one country or one asset class.

Use Index Funds for the Core of Your Portfolio.

For other parts of your portfolio, there are more sophisticated options to consider, as we will discuss later.

have an appropriate amount of income-producing investments such as bonds, REITs, MLPs, and dividend-paying stocks.

I’m a big believer in “rebalancing,” which entails bringing your portfolio back to your original asset allocation on a regular basis—say, once a year.

One benefit of rebalancing, says Malkiel, is that it “makes you do the opposite,” forcing you to buy assets when they’re out of favor and undervalued. You’ll profit richly when they recover.