The end of the year is generally a good time to take stock of things because new year, new start, right?
So how should you go about it? Here's a step-by-step guide to help you through your portfolio assessment.First, look at the basics. Take stock of what you have accomplished in the year. You can then assess if your current portfolio balance and expected contributions over your time horizon will still put you on track to achieving your financial goals.
If you feel that your current asset mix is not serving you, you might want to revise it while taking into consideration your financial circumstances and the market dynamics. With the current market volatility, you may need to put some of these plans on hold, or adjust your financial goals. This can help to boost your portfolio performance while reducing the risk that comes with an overconcentration of any particular asset class.It is essential to review your portfolio regularly, if not biannually then at least annually. No matter how conservative your portfolio is, it is never truly safe from market conditions.