Why is it so important?

An investment portfolio review is important for several reasons:

• Performance Evaluation: It helps you assess how well your investments are performing relative to your financial goals. By analyzing the returns generated by each asset in your portfolio, you can determine if adjustments are needed to improve performance.
• Risk Management: Regularly reviewing your portfolio allows you to evaluate if your investments are appropriately diversified to manage risk. It helps ensure that you are not overly exposed to any single asset or market, which can help protect your portfolio from significant losses during market downturns.
• Alignment with Goals: Your financial objectives may change over time due to factors like age, income, risk tolerance, or life events. A portfolio review helps you ensure that your investment strategy continues to align with your current goals and circumstances.
• Opportunity Identification: Through a portfolio review, you can identify new investment opportunities or asset classes that could enhance your portfolio's performance or better match your risk profile.

• Cost Efficiency: Reviewing your portfolio enables you to identify investments with high fees or underperformance, allowing you to make changes that can potentially reduce costs and improve overall returns.
• Compliance and Regulations: For institutional investors or those bound by regulatory requirements, regular portfolio reviews are essential to ensure compliance with investment guidelines and regulations.

Overall, conducting regular investment portfolio reviews can help you make informed decisions, optimize your investment mix, and ultimately work towards achieving your financial goals effectively.

Why is Rebalancing important for you ?

The primary objective of portfolio rebalancing is to establish better risk control, and ensure that your portfolio isn’t singularly dependent on the success or failure of a particular investment, asset class, or fund type.

Rebalancing works as a risk-minimising strategy for you as an investor. It allows you to line up your investment with your goals by periodically rebalancing your portfolio. If your risk tolerance or your investment strategies change, then you can rebalance the weight of the asset class in your portfolio by reassessing and devising a new asset allocation.