Your Portfolio Deserves Better Than Financial Fast Food

2025-06-29

The Art of Diversification Explained Simply (and Deliciously).

When it comes to investing, there’s a rule as old as time: don’t put everything in one place. Successful investors know this, and yet, even the wealthiest portfolios can sometimes be unbalanced. To help you see things more clearly, imagine your portfolio… like a well-stocked plate.

A balanced plate contains fruits or vegetables, protein, carbohydrates, and—for the lucky ones—a little dessert. Each element has its function, just as each asset class plays a specific role in your investment strategy. Liquidity is like your fresh fruits or vegetables: always there, always accessible. It’s your bank accounts, term deposits, or money market funds. They don’t yield much, but they provide protection, reassurance, and allow you to quickly seize an opportunity… or cope with an unexpected event.

Bonds and structured notes are your protein: stable, nourishing, less flashy, but essential. They provide a regular income and limit portfolio volatility. Value stocks are comparable to complex carbohydrates like brown rice or sweet potatoes: they provide sustained energy. These are mature companies with a good dividend history, which grow more slowly, but reliably.

Then come growth stocks and speculative stocks—the sweet treats. A bit riskier, but sometimes very profitable. Think technology stocks, innovation, or small-cap stocks. To be consumed in moderation.

Finally, private investments—such as real estate, private equity, or unlisted companies—are the spices or rare ingredients on your plate: less liquid, less visible, but capable of adding unique wealth to your portfolio and income. The key is not to have everything—it’s to have the right balance. Too much cash, and your capital sits idle. Too much speculative growth, and your portfolio becomes unstable. Like in good Quebec cuisine, balance is the foundation of success.

Of course, not all dishes are created equal. Everyone has their own tastes, needs… and above all, risk tolerance. Some people thrive on spicy food; others prefer milder fare. The same is true for portfolios. Your objectives, your investment horizon, and your sensitivity to volatility should guide the composition of your financial portfolio. There’s no single recipe, but rather personalized balances for each investor profile.

And just like with a good meal, sometimes it’s best to rely on a chef. In financial matters, that’s the advisor’s role: to transform your ingredients into a dish that’s as balanced as it is delicious. So the next time you look at your portfolio, ask yourself: “Am I just eating sugar… or am I actually nourishing myself?” »

Disclaimer: This article was prepared by Lionel Dossou and Yacob Nour, who are portfolio Wealth Advisors for iA Private Wealth Inc., in collaboration with Fabien Major, also a Wealth Advisor.