The only time the dollar amount really matters is after you've accumulated several million dollars. At that point, your asset allocation (AA) becomes much less important.
For example, suppose you have a $5 million portfolio and spend $100,000 per year. Even keeping the entire portfolio in CDs is enough to meet your spending needs.
The only meaningful way to compare, learn about, and discuss investment strategies is by evaluating their performance or, better yet, their risk-adjusted returns.
I posted other comments too.
Asset Allocations - Percentages vs Dollar Amount
Members talk about allocation percentages all the time on here. What is overlooked in my opinion is the actual value vs a percentage. If someone has 80% equities with a $3m portfolio = $2.4m in stocks If someone had 40% equities with $10m = $4m in stocks I understand percentages will be an...
www.early-retirement.org
Asset Allocations - Percentages vs Dollar Amount
AA is expressed in percentages because the point of the AA is to manage risk level of the portfolio. It doesn't matter how much money is involved. An 80/20 portfolio has a different risk level than a 30/70 portfolio. Once you're retired, and maybe before that, you may choose to adjust your AA...
www.early-retirement.org
