Every investor aims to obtain good results through their investment process. But at times people are unable to achieve the same. So, they implement several tactics for this. However, not all of them are helpful and hence, they do not deliver the desired results too. Whenever you are facing a similar situation, make sure to get in touch with the most competent financial advisor.
We are a financial advising firm that offers excellent services to our customers. Our wide range of financial services are loved by our customers and they always look forward to taking valuable guidance from us. Your portfolio is very valuable and therefore, you need to take the best foot forward. Have a look at what we have to offer in our website.
Meanwhile, check out the ways we advise that will help you to make your investment portfolio a better one! Choosing the best investment plan with high returns in India is not sufficient. You need to consider other things too while aiming to make your portfolio a strong one. We will discuss them below.
Some effective ways to make your investment portfolio a stronger one
You need to spend a lot of time ensuring that your portfolio is a stronger one so that it can withstand the different conditions of the financial market. The steps mentioned below are helpful.
Assessment of risk-taking ability
The first thing that you need to do is a risk assessment. Every investor falls under some category or the other mainly aggressive, conservative or balanced investor. You may have a great life and have the potential to invest heavily, but you still need to understand your risk-taking ability. Your capability to handle loss is another factor that determines your risk-taking ability.
A risk assessment will ensure that you select the best financial schemes that you can handle on the long-run and whose benefits will satisfy your investment. This will make your portfolio a rather strong one. There are many ways to assess your risk-taking capacity. You may contact a competent financial advisor for this purpose.
We engage in this process and carry it off in the best possible way. Your risk appetite can also be evaluated through the tenure of your desired investment schemes. You will get the best Risk-Based Fund Recommendation in Wealthclock.
Systematic Investment Plans
After evaluating your risk profile, the next thing that will help you to make your portfolio a stronger one is if you go for systematic investment plans. Wealthclock Advisors always recommend them over the lump sum investments for long-term goals.
The best thing about them is that they work beautifully during volatile market phases and thereby, this is the reason behind their immense popularity among long-term investors. Your SIP returns will always be better than any other schemes. This is because they operate for a longer period of time and thus have the chance and potential to deliver superior results.
We at Wealthclock will always advise this step if you wish to strengthen your investment portfolio. They are safe investments with high returns in India.
Diversification
This is an excellent step that you can take towards achieving a strong investment portfolio. The best thing about Mutual Fund Investment Plans in India is that they diversify across instruments/stocks. So, the best step that you can take in this regard is diversifying across asset classes as well as fund investment styles.
This will help you considerably reduce risk and ensure that your portfolio is not easily affected by negative outcomes. We at Wealthclock, always advise this step to our customers. We believe in the power of diversification.
Some other ways to ensure an effective portfolio
Rebalancing
Asset allocation will not alone help. You need to engage in rebalancing too. The ratio will transform as your investment grows. So, this is when you should engage in the rebalancing process. A yearly review along with rebalancing of the asset that has helped those assets that have fallen will greatly help.
Wealthclock Advisors offers excellent financial advising services and covers a broad range of subjects. Starting from financial planning to goal setting, you can always count on us for your financial needs.
Careful reviewing
You need to carefully review your ongoing investment schemes. Like for e.g if you own both large-cap and mid-cap funds and the former underperformed the latter then the reason behind this could be simply a not-so fruitful year for the large-cap stocks. So, it is imperative that you compare with that fund's own benchmark as well as similar category funds.
Also, you as an investor need to stop expecting your fund to rise to the top of the performance charts every year. Even if they slip a bit, don't the decision of leaving them hastily.
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