Portfolio Review –
Today is the perfect time to review your portfolio. If you have not been monitoring your portfolio on a regular basis, now is the time to resolve to do so in the future. It will help you understand whether you are on course to meeting your goals, or whether you need to change your strategy or tactics.
To start with , let us restrict ourselves to equity portfolio review . Portfolio review can be based on macro factors or based on micro factors.
Here are, 6 questions you need to answer while reviewing your portfolio
1. Does my equity portfolio adequately diversified.
2. Do the current macros justify my current exposure to equities.
3. Does my equity portfolio fit into my overall financial plan.
4. Portfolio performance versus the benchmark.
5. Are the returns commensurate with the risk.
6. Portfolio that will create the alpha for you in future.