This is an official "cheat sheet" of the 4 cornerstones of investing by KAAG, a registered investment advisory firm here in Georgia.

1. The 4 Cornerstones of Investing
Sponsored by:
www.KAAG.co
Objective of 4 cornerstones:
To minimize & manager (not eliminate) risk in your
investment strategy.
Diversification
Knowledge
Consistency
Discipline

2. NOTE: These 4 cornerstones are in no particular order of importance;
they must work TOGETHER for its full effect.
1. Diversification- "Don't put all your eggs in one basket."
1. Why is this important? To limit uncontrollable market
forces for exposing you to risks in a sector, industry or
particular asset
2. How?-
1. Knowing your underlying asset allocation (including
what’s in your MFs, ETFs, and index funds)
2. Knowing your time horizon, goals, risk tolerance-
What is diverse for one person may not be the right
type of diversification for another.
2. Knowledge- "The No. 1 fastest way to lose money...is
to not know what you are investing in."
1. Why is this important? So you can make sure you are
diversified.
2. How?
1. Research your underlying assets (MFs, Index funds,
ETFs)
2. Rebalance quarterly- Don't "love it then leave it".
3. Consistency- "Have a plan then WORK THAT PLAN."
1. Why is this important? It takes the emotions out of our
decision making.
2. How? Dollar cost averaging but also coming up with your
investment strategy.
4. Discipline- "Following the crowd may lead you right off
a cliff."
1. Why is this important? To ensure that you invest NOW
for your future LATER
2. How? Automatic investments that lead to dollar cost
averaging (see it as any other “bill”).
Disclaimer: This is not an offer to purchase or sell securities. Please consult with an investment
professional and consider the risks before investing. KAAG is not liable for any representations
made or decisions made based on this information. This is for INFORMATIONAL PURPOSES
ONLY!