A portfolio to withstand any financial crisis

One of the big questions investors face right now is: are we facing inflation or deflation? It's not an easy one to answer. So you should build a diversified portfolio that offers plenty of upside, but which hedges against a worst-case scenario. Here, Cris Sholto Heaton picks a basket of assets for a balanced portfolio, and explains how Asia fits into that.

I get many thought-provoking emails from readers. Recently, a number of you have asked how my views on Asia fit into a wider investment context. Are we facing deflation or inflation? Could there be another big crisis, perhaps caused by the break-up of the euro?

These questions aren't easy to answer so much depends on the action taken by governments and central banks across the world. So investors should try to build a diversified portfolio. One that offers plenty of upside, but which also hedges for the worst-case scenario.

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Cris Sholto Heaton

Cris Sholto Heaton is an investment analyst and writer who has been contributing to MoneyWeek since 2006 and was managing editor of the magazine between 2016 and 2018. He is especially interested in international investing, believing many investors still focus too much on their home markets and that it pays to take advantage of all the opportunities the world offers. He often writes about Asian equities, international income and global asset allocation.

Cris began his career in financial services consultancy at PwC and Lane Clark & Peacock, before an abrupt change of direction into oil, gas and energy at Petroleum Economist and Platts and subsequently into investment research and writing. In addition to his articles for MoneyWeek, he also works with a number of asset managers, consultancies and financial information providers.

He holds the Chartered Financial Analyst designation and the Investment Management Certificate, as well as degrees in finance and mathematics. He has also studied acting, film-making and photography, and strongly suspects that an awareness of what makes a compelling story is just as important for understanding markets as any amount of qualifications.