As we all know, market conditions can change rapidly which is why it is important to review the assets in your financial portfolio from time to time. Performing regular checkups to review your financial strategy, asset allocation and holdings can help you meet your future goals.
The goal of a financial portfolio checkup is to make sure your investments align with your goals. You may be saving toward your goals and need to strategically put your money to work, or you could be living off of your financial portfolio and need to pay close attention to income potential of your holdings.
If you haven’t reviewed your financial portfolio lately, there is a possibility that your investment mix has become too aggressive. Often times, this possibility can add risk to your financial portfolio which may not align with your plan. In addition, any major life changes you have experienced could change the way you want your money to be invested. Whether you are just starting off in your career and want to be more aggressive, or you are nearing retirement and want to protect your assets against market volatility by creating a more balanced financial portfolio, revisiting your strategy is critical.
Here is a list of action items to consider reviewing during your portfolio checkup:
Review or Create Your Financial Plan to generate income or build your savings. You could establish an automated savings or withdrawal program which can help ensure that your savings or cash flow aligns your priorities and your plan.
Schedule your next portfolio review within the year to ensure your finances are on track and everything is working well for you.
Review your investment strategy by updating your overall investment mix to reflect any major life changes and make adjustments as necessary.
Target areas to rebalance. If your allocation to any asset class has drifted away from your target, you may want to act to get it back into balance. Some investors choose to reallocate back to their target mix periodically, such as every 3, 6, or 12 months.
Review your holdings. Consider whether your stock and fund holdings still make sense for your investment strategy and meet your expectations. Look for holdings to replace, trim, or increase, keeping in mind the costs and potential tax implications of a change.
Review any concentrated positions. You may want to review your holdings if any individual stock or bond position have become too large a part of your financial portfolio. Keep your overall asset allocation and taxes in mind when considering any changes.
Stay on track. Successful investing can start with laying out clear goals and, over time, making sure your performance is on track to meet those goals.
Look for red flags. Keep an eye on holdings that are significantly under- or over performing their asset class benchmarks.
Of course, we are more than happy to review your financial accounts with you and make any necessary recommendations to help ensure you meet your goals. If you wish to meet with one of our Financial Advisors in our Denver office, please give us a call today at 303-741-9772, or contact us on our website by clicking here.
Important Disclosure Information
Please remember that past performance may not be indicative of future results. Different types of investments involve varying degrees of risk, and there can be no assurance that the future performance of any specific investment, investment strategy, or product (including the investments and/or investment strategies recommended or undertaken by Dechtman Wealth Management, LLC [“DWM”]), or any non-investment related content, made reference to directly or indirectly in this blog will be profitable, equal any corresponding indicated historical performance level(s), be suitable for your portfolio or individual situation, or prove successful. Due to various factors, including changing market conditions and/or applicable laws, the content may no longer be reflective of current opinions or positions. Moreover, you should not assume that any discussion or information contained in this blog serves as the receipt of, or as a substitute for, personalized investment advice from DWM. To the extent that a reader has any questions regarding the applicability of any specific issue discussed above to his/her individual situation, he/she is encouraged to consult with the professional advisor of his/her choosing. DWM is neither a law firm nor a certified public accounting firm and no portion of the blog content should be construed as legal or accounting advice. A copy of the DWM’s current written disclosure Brochure discussing our advisory services and fees is available for review upon request or at www.dechtmanwealth.com.
Please Note: DWM does not make any representations or warranties as to the accuracy, timeliness, suitability, completeness, or relevance of any information prepared by any unaffiliated third party, whether linked to DWM’s web site or blog or incorporated herein, and takes no responsibility for any such content. All such information is provided solely for convenience purposes only and all users thereof should be guided accordingly.
Please Remember: If you are a DWM client, please contact DWM, in writing, if there are any changes in your personal/financial situation or investment objectives for the purpose of reviewing/evaluating/revising our previous recommendations and/or services, or if you would like to impose, add, or to modify any reasonable restrictions to our investment advisory services. Unless, and until, you notify us, in writing, to the contrary, we shall continue to provide services as we do currently.
Please Also Remember to advise us if you have not been receiving account statements (at least quarterly) from the account custodian.
"*" indicates required fields