The document provides information on designing an effective investment portfolio. It discusses challenges like market volatility and the influence of financial media. The key is focusing on an investor's financial and life goals in order to build a prudent portfolio. Academics research suggests including both stocks and short-term bonds for diversification and considering small and value stocks for higher expected returns. Rebalancing is important to manage risk and avoid portfolio drift. The summary emphasizes maintaining a long-term perspective despite short-term market fluctuations in order to achieve investment goals.