Diversifying your financial portfolio is the best way to ensure you are protected in all kinds of economies. That means your investments in the stock market should be diversified, but it also means your money should be working for you in several different sectors. Easily accessible savings or money market accounts, stocks, bonds, retirement accounts and real estate are all important to have in your repertoire. Finding the proper balance is key. This piece from CNN.com explores the risks of avoiding risks. When you keep a large percentage of your net worth in the bank rather than investing it, you miss out on returns that could mean a much more comfortable retirement. It's worth the read. Please feel free to contact me if you would like to discuss your own financial portfolio and whether it is setting you up for the future.