My changes include 50% of my cash allocation (25% of account) into international/global funds. I think that global markets, Eurpoe particularly, has bottomed in 2012 an will start a new bull market. I expect it to outperform the US markets in the next year.
My other change was to reallocate more cash into small cap funds. I took about 10% of cash (5%) of account and placed it into small cap value and growth funds. Small cap indexes recently broke out to all time highs. While there might be some short term pull-back, I think that small caps might lead and outperform the large cap indexes.
That's all for now. I still have some cash that I will use to buy on a 5-10% dip in major indexes this year.
~JP
