Tips on beginning a sound investment portfolio
Image source: moneysense.com.ph First off, we’ve to mention that how you decide on allocating your assets for your portfolio today will be subjected to future economic fluctuations and redefined by possible alterations in your investment objectives. This means you’ve to regularly track your asset allocation and, when needed, spend time rebalancing. Having said that, you need to make your portfolio as financially sound as possible, based on good risk tolerance, asset allocation policy, and design. And knowing your personal investment goal is the key first step. Why are you investing to begin with? Is it to prepare for your kids’ college education? To buy a new car or house? You need to identify exactly which ones top your priority to better handle liquidity needs and time frames. Image source: flexscore.com Speaking of liquidity, which essentially means the speed by which you convert your investments into cash, decide on the portfolio content based on your need. F