If you have money to invest and you know exactly which markets you want to invest in, how do you determine how to divide your investment? Different people have their own strategies such as those that will follow in this series.
Experiment with the portfolio diversification that you feel most suited to.

NOTE: If you’re investing a small amount of money in one stock, be aware of the commission you’ll have to pay. E*Trade charges $12.99 per purchase and sale of shares in a company. If you invest $100 in one stock through E*Trade, you won’t be profiting until the value exceeds $125.98 ($100 invested + $12.99 purchase commission + $12.99 sales commission).

Investment Strategy #1
Bonds, Cash, and Stock at 100 (Eric Sacher)
Take your age, and subtract it from 100. Your age equals the percent of investment money Sacher believes you should keep in cash and bonds. The remainder is the percentage devoted to stocks. He believes that as you age, you should minimize your exposure to stocks since their more volatile and risky than bonds.