How Millionaires Invest in Stocks

According to Tiger 21, an investment club whose members have a minimum of $10 million to invest, millionaires like to keep their stock buying simple. While many think that these multimillionaires invest in exotic offshore hedge funds, the reality is their portfolios are far more boring—so much so that you can replicate it.

According to Tiger 21's annual member survey, the typical portfolio consists of 23 percent real estate, 23 percent equity, 15 percent private equity, 13 percent fixed income, 13 percent cash and 11 percent in other types of investments. For the equity portion, individual stock picking still remains the most popular way to investment in the stock market, but this is losing ground to Exchange Traded Funds (ETFs).

Learn more at Bankrate.com's Wealth Blog.

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