Skip to Content

Vanguard's framework for constructing globally diversified portfolios

When building a portfolio to meet a specific objective, it is critical to select a combination of assets that offers the best chance for meeting that objective, subject to the investor’s constraints. A new Vanguard research paper reviews the decisions individual investors face when constructing a globally diversified portfolio. The paper discusses the importance of broad asset allocation and diversification within sub-asset classes before homing in on specific funds.

Vanguard’s framework for constructing globally diversified portfolios