Your Investment Review Checklist
This is a guide to help you assess whether you should be reviewing your investments. It does not replace the need for financial advice.
- What are your investment goals?
Think about whether you need growth or income, and how much.
- Have you written your goals down?
A good move is also to involve your partner or some other trusted person.
- When will you need to start spending the money?
In general, the longer your investment period, the greater risks you can afford to take.
- How much can you afford to save?
This will be a key driver in whether your money grows.
Your knowledge and experience
- How experienced are you with investing money?
Inexperience can lead to mistakes with investing.
- How well do you understand investing money?
If you don't understand your investments, should you invest?
- What educational resources do you regularly consult to improve your knowledge? You must keep your knowledge up to date (even if you use an adviser).
- How much risk are you prepared to take?
This will determine your expectations of returns and fluctuation in your assets.
- How much risk do you need to take?
This question may make you reassess your goals or expectations.
- How much loss could you bear before you became worried?
This is particularly important as you get closer to needing to access your funds.
- Do you have a schedule of assets?
This is a vital tool to help you to analyse your assets.
- What is the spread of investments across different types of assets? If your assets are highly concentrated this generally increases risk.
- How do you decide in which areas to invest your assets? How do you make investment decisions?
- When was the last time you rebalanced your investments?
You need to ensure that your portfolio does not become riskier over time.
- How do you decide when to enter (and exit) the investment market?
- Do you understand the costs of your investments?
Look at product charges, investment charges, tax and adviser charges.
- Do you understand the tax on your investments? Tax will likely reduce your investment returns.
- When was the last time you reviewed your investments? If this was more than a year ago, you have probably left it too long.
- Last updated on .