Having all our eggs in one basket is unlikely to prove a successful long term investment strategy. For the most part, a balanced portfolio, responding to individual risk tolerance, is a better bet in laying solid foundations that will protect our wealth over time.

The risk-averse investor has limited options these days, with deposit rates down around 3% before tax. Tracker bonds and with-profits bonds offer a half-way house between low yielding deposits and pure equity funds, where the risk takers will absorb the shocks and tremors of this volatile environment. Many are comfortable with a mix and match approach.