Most Filipino investors nowadays seem to be enamored with stocks as an investment option. This is not bad per se, but intelligent investors understand that a critical element of their overall investing strategy is portfolio diversification.
Diversification simply means investing in a variety of asset classes in order to reduce portfolio risk. Because asset classes have imperfectly correlated relationships, both in risk and return, investors gets to minimize their losses when they are diversified as compared to when they are not diversified.
Ayala Land Inc. (ALI) is offering a new type of bond that will give investors fixed income, plus a bonus credit if and when the investor decides to purchase an Ayala Land residential property.