Famed Nobel Laureate and Portfolio Theorist Offers Sound Investment Advice for Managing Investments in the Current Financial Crisis

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Index Funds Advisors (ifa.com) announces that Nobel Laureate Harry Markowitz has become an academic consultant to the firm which was recently named among the fastest-growing in its category. Through the company's comprehensive ifa.com website, the Irvine-based firm has established itself as a leading provider of investor education, with reams of stock market risk and return data.

Index Funds Advisors (ifa.com) announces that Nobel Laureate Harry Markowitz has become an academic consultant to the firm which was recently named among the fastest-growing in its category. Through the company's comprehensive website, the Irvine-based firm has established itself as a leading provider of investor education, with reams of stock market risk and return data.

"We are honored to have Dr. Harry Markowitz become part of the IFA team," says Index Funds Advisors (IFA) president and founder, Mark T. Hebner. As the recipient of the 1990 Nobel Prize in Economics, Dr. Markowitz is best known as the father of Modern Portfolio Theory, which explains the impact of stock market risk, correlation and diversification on an investment portfolio's expected return. "There is no better person to educate investors about stock market risks and expected returns than Harry Markowitz," Hebner said. "At a time when increased market volatility finds investors stressed and worried, Dr. Markowitz's insightful commentary can serve as an invaluable tool to help every investor understand the risks and expected returns of their investments", Hebner added.

"I am pleased to assist Index Funds Advisors in advancing the education of investors," Dr. Markowitz stated. "It is crucial that individual investors understand that they should think in terms of "the portfolio as a whole" rather than the choosing of individual securities (e.g., "hot tips"). In choosing a portfolio they should seek broad diversification, and balance their equity (stock) positions with more stable bond and "cash" positions. Further, they should understand that equities--and corporate bonds also--involve risk; that markets inevitably fluctuate; and their portfolio should be such that they are willing to ride out the bad as well as the good times. Otherwise, they will buy when the market is high and seemingly going higher; and will sell when the market is low and seems to be going lower: In other words, they will buy high and sell low, opposite to the advice to buy low and sell high," the finance legend added.

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Dr. Harry Markowitz is a professor of portfolio theory at Rady School of Management at University of California, San Diego . He is also the recipient of the 1989 John von Neumann Theory Prize, and is the author of Portfolio Selection: Efficient Diversification of Investments, as well as numerous academic papers and journal articles.

Index Funds Advisors (IFA) is a fee-only independent financial advisor, registered with the U.S. Securities and Exchange Commission (SEC). IFA provides investment advice to high-net-worth individuals, foundations, 401(k) plans and endowments. IFA is headquartered in Irvine, California, with branch offices in Westlake Village, California, Madison, Wisconsin and New York, New York, with regional representatives in San Diego and Monrovia, California and Naples, Florida.

To learn more visit ifa.com

For more information on Mark Hebner's Video visit the Worried about your Investments page

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