The most important decision you make is what percent of your portfolio is in stocks (higher risk and anticipated return) vs bonds (lower risk and anticipated return). That decision depends on each person's circumstances. Once we mutually determine that mix, we believe in purchasing broadly diversified, low-fee mutual funds to provide your exposure to stocks or bonds. Over long periods, diversification should reduce risk compared to owning only a small number of individual stocks or bonds. Finally, we believe in keeping a long-term focus for any investing that serves with long-term goals. Typically, we would only recommend stock for that portion of your portfolio which has a long-term horizon.