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Help Manage Your Investments

Help Manage Your InvestmentsCheck boxes

For professionals, managing investments is all about mitigating risks, trying to create the best risk-adjusted returns, and generating positive investment outcomes over the long term. Achieving that is easier when you, the client helps manage the investments, and the best ways of being able to do that are:

  1. Educate Yourself About Investing
    To successfully manage your own investments, read professional opinions and read-up on investment strategies. In addition to having a wider view of investing and financial planning, specific information about shares & business helps you understand market trends & investment choices.
  2. Settle on a Long-Term Strategy
    One of the most common mistakes investors make is adopting a disjointed piecemeal approach, reacting to the popular moves of the moment. While short term gains are possible this way, the best investors start with a clearly articulated plan, supported by solid money management principles.
  3. Diversify Your Investment Portfolio
    Investments fluctuate, in terms of how they perform over time, sometimes with severe peaks and troughs. But it is tempting to place a high proportion of investments in areas that are doing especially well at any given time... with the result that far too much is exposed when things go wrong. This is one of the reasons why managed funds are so useful, the built in diversification across a large number of securities, or types of assets does help smooth out volatility, and protect against disastrous underperformance.
  4. Rebalance your Portfolio Periodically
    One of the best ways of smoothing out overall investment performance over the long term is to maintain the right balance of diversification. Typically for most investors some individual investments outperform others, leading to them taking on too big a role in your portfolio. Ultimately, if your portfolio becomes too reliant on a handful of big performers, you will be introducing a higher level of volatility risk, and reducing the benefits of the diversified approach.
  5. Think about Legacy Issues early
    If your strategy is well thought through and works well, and you live within your means, then there is a good chance your investments will outlive you. Being clear about how you want to handle your probable legacy is nearly as important as managing what you own during your lifetime. Basic estate planning is a beginning, such as maintaining an up-to-date will and designating an executor, with power of attorney, to administer your estate. However estate planning is more than just leaving instructions on what is supposed to happen after you are gone. Good estate planning will also help to drive maximum benefits from your great investment planning in your retirement years by minimizing tax and maximizing assistance and benefits from other sources.

Even with the help of professionals there are areas where you can help manage the investments to produce better results than by relying upon the professionals alone. And better results on the investments mean a better investment outcome and a better life.

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