🧭 Chapter 7: Portfolio Building

🎯 In this chapter

Goals, asset allocation, rebalancing and behaviour.

Units in this chapter

1. Goals and Time Horizon - Learn goal-based investing, why an emergency fund comes first, and why term and health insurance precede investing.
2. Asset Allocation - Understand the core idea of asset allocation, matching it to risk profile, and illustrative allocations by life stage.
3. Diversification and Rebalancing - Understand fund overlap, over-diversification, and the main methods used to rebalance a portfolio over time.
4. Investor Behaviour - Understand loss aversion, herding, FOMO and overconfidence, and how to stay disciplined during market crashes.

📖 How to read

Go in order. Every new term is explained the first time it appears, and each unit ends with a keywords table.