One of the most difficult t… Read more “Developing an investment portfolio"

Identify your current personal financial situation
This includes your family situation, financial objective and target rate of return (The rate of return you will need on your entire investment portfolio to achieve your objectives).

Your financial plan document should contain not only the plan strategies but also all pertinent data relating to the development of the plan. While order and style of presentation may vary, the plan document should include at least the 13 essential elements described below. This does not necessarily mean your plan will be lengthy, as each area should be addressed so that it suits your personal situation.

There are three major schools of thought concerning investing in securities. Not all investors come to the market with the same purpose in mind. Some are speculators, willing to take big risks in the hope of making big profits. Some have definite goals in mind, such as providing funds for retirement or for their children’s education. The individual goals differ, and so do the theories about how to achieve those goals.

If you do not earn a profit, there is at least one investment that will help you drown your sorrows, investing in wine! Investment grade wine is a somewhat subjective term, but generally, these wines are great vintages from internationally recognized wineries. These wines are perceived to be the best, whether or not you may find them the best tasting wines of their type. On the plus side, wine is one of the few assets with a guarantee of increasing scarcity since the supply is literally consumed by drinkers.

There are varieties of risk exposures that we all face. Some are more significant than others are. Some are quite remote in the likelihood of their occurrence, but are nevertheless, very serious in consequences. The purpose of this Risk Management Memo is to arrange these exposures in a convenient format for your review and direction.