Balanced Investment Strategy A portfolio allocation and management method aimed at balancing risk and return. Such portfolios are generally divided equally between equities and fixed-income securities. Investopedia Says: Although the balanced investment strategy aims to balance risk and return it does carry more risk than those strategies aiming at capital preservation or current income. In other words, the balanced investment strategy is a somewhat aggressive strategy, and is suitable for those investors with a longer time horizon (generally over five years), and have some risk tolerance. Related Terms: Aggressive Investment Strategy Asset Class Breakdown Balanced Fund Current Income Defensive Investment Strategy Preservation Of Capital |