Don’t let the bloopers scorch your portfolio

Monday, April 24, 2017|Managing Investment Risk|
  • Don't Let The Bloopers Scorch Your Portfolio

I’m a big fan of taking ample time to get acquainted with how the bloopers of investing can scorch your portfolio. Savvy investors know not to fall in love with their stocks.

This is the best time in the investing cycle to ensure you’re making the right moves. Most markets are hovering near their highs.

Your investing road may have been a roller coaster chuck full of twists and turns. Much can still easily go amiss without you even trying.

As you know, just because stock prices are high….. does not necessarily imply that your portfolio composition is healthy.

Experienced investors value the exercise of reviewing what works. More importantly, what has not worked and continues not to work.

The moves you don’t want to entertain are known as “bloopers” of investing. Some hurt you more than others in the grand scheme of things.

Here is my summary of must avoid bloopers:

  • Not knowing the portfolio expectations.
  • Not saving enough to achieve personal goals.
  • Not establishing asset mix targets.
  • Not designing a sensible investment plan.
  • Not appreciating all the risks incurred.
  • Not having sufficient diversification.
  • Not dealing with emotional attachments to investments.
  • Not cutting the portfolio losses soon enough.
  • Not conducting regular portfolio reviews.
  • Not rebalancing the asset mix at all.

Guiding your nest egg is an investing marathon measured in decades. It requires your total patience, discipline and clear game plan to succeed

Make sure you don’t latch onto one or more blooper. If you have, begin a close scrutiny of your nest egg.

Avoid the scorching that bloopers can deliver. It’s not difficult to make some moves that improve your portfolio direction.

About Adrian Mastracci, Discretionary Portfolio Manager, B.E.E., MBA  My expertise in the investment and financial advisory profession began in 1972. I graduated with the Bachelor of Electrical Engineering from General Motors Institute in 1971. I then attended the University of British Columbia, graduating with the MBA in 1972. I have attained the “Discretionary Portfolio Manager” professional designation. I am committed to offering clients the highest standard of personal service by providing prompt, courteous and professional attention. My advice is objective, unbiased and without conflicts of interest. I’m part of a team that delivers comprehensive services and best value in managing client wealth.

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