When creating a stock portfolio, it is always best to have your investment objectives in mind. But this article is geared towards those people who are relatively young and are willing to take a loss in order to reach higher returns later on. Normally, these aggressive portfolios have anywhere from 90 to 100 percent invested in individual equities. Be aware that this portfolio is only for discretionary money and your IRA should be left to more conservative or fixed income measures.

Here is an example of an allocation of what a possible aggressive portfolio should look like. First off, put about 20 percent in small cap companies. Most small caps have room to grow just remember to research each stock carefully and be sure to look at the fundamentals. Next, put about 25 percent in types of growth stocks, then put about another 20 percent of your portfolio in developed international stocks, and finally 10 percent in something more conservative or secure like something along the lines of bonds.

One thing you have to remember is with an aggressive portfolio, as with any investing, is to be patient. No one ever became a millionaire over night; try to keep that in mind. Don’t let commission costs get you down either, If a company looks sound to you and the fundamentals are solid, buy it, most likely you’ll make up for commissions later on .