Post Category → Core & Satellite

What is the best way to build a portfolio and how to manage it?

To build a portfolio, you need to have a detailed plan that outlines the types of asset classes and returns necessary to achieve your goals. Once you have developed a strategy, you can allocate your capital across a diversified portfolio and then manage it. Building an investment portfolio has two stages - portfolio construction and portfolio management.

To build a portfolio, you need to have a detailed plan that outlines the types of asset classes and returns necessary to achieve your goals. Once you have developed a strategy, you can allocate your capital across a diversified portfolio and then manage it. Building an investment portfolio has two stages – portfolio construction and… Continue reading →

One of the best ways to build a portfolio is with a core-satellite strategy.

A core-satellite strategy is a very popular approach to constructing a portfolio. The Investment strategy uses a mix of asset classes to create a diversified balance between long-term and short-term objectives. A core-satellite strategy is a great way to build an investment portfolio that can help to achieve the right risk-adjusted returns by blending both Active and Passive investing.

A core-satellite strategy is a very popular approach to constructing a portfolio. The Investment strategy uses a mix of asset classes to create a diversified balance between long-term and short-term objectives. A core-satellite strategy is a great way to build an investment portfolio that can help to achieve the right risk-adjusted returns by blending both… Continue reading →

Understanding the popular Active vs Passive investing debate is one of the best places to begin.

Active vs Passive investing refers to two different investment strategies used by investors. Active investing involves the practice of individual security selection and implements a “hands-on” approach to investing. The aim is to beat a certain benchmark or look for absolute returns. Passive investing looks to match a certain benchmark and is a “hands-off” approach, often with a long-term view involving very minimal activity.

Active vs Passive investing refers to two different investment strategies used by investors. Active investing involves the practice of individual security selection and implements a “hands-on” approach to investing. The aim is to beat a certain benchmark or look for absolute returns. Passive investing looks to match a certain benchmark and is a “hands-off” approach,… Continue reading →

What is the best practice for portfolio monitoring?

Investment monitoring is an ongoing process of evaluating the fundamentals of underlying businesses and the performance of your investment portfolio. A disciplined approach to portfolio monitoring is essential. It's not just about logging into your brokerage account and checking stock prices. It's about knowing what you own.

Investment monitoring is an ongoing process of evaluating the fundamentals of underlying businesses and the performance of your investment portfolio. A disciplined approach to portfolio monitoring is essential. It’s not just about logging into your brokerage account and checking stock prices. It’s about knowing what you own. TABLE OF CONTENTS: What is Portfolio Monitoring? Portfolio… Continue reading →

What is an Index Investor and how to become one?

An Index Investor follows an investment style that is based on a passively managed buy-and-hold strategy. This investment philosophy is built around the idea that the overall stock market is a great wealth creator long-term. Therefore, by investing in the market, you can gain from the benefit of these returns as opposed to selecting individual securities. An index fund or an ETF is an investment that tracks a particular market index.

An Index Investor follows an investment style that is based on a passively managed buy-and-hold strategy. This investment philosophy is built around the idea that the overall stock market is a great wealth creator long-term. Therefore, by investing in the market, you can gain from the benefit of these returns as opposed to selecting individual… Continue reading →

What is the best way to calculate Portfolio Turnover?

The Portfolio Turnover Ratio is a vital metric in portfolio management that indicates the frequency at which securities are bought and sold over a given period. The turnover rate of assets in a portfolio can provide insights into the investor, fund, or strategy type.

The Portfolio Turnover ratio explained. The Portfolio Turnover Ratio is a vital metric in portfolio management that indicates the frequency at which securities are bought and sold over a given period. The turnover rate of assets in a portfolio can provide insights into the investor, fund, or strategy type. Although private investors may not be… Continue reading →

A simple way to Calculate Portfolio Returns.

There is a multitude of portfolio, investment, and financial management software available. In my personal experience, I still after 15 years prefer to use excel for practically everything to do with investments. I have tried a lot of different subscription and software services, but I have tailored my own systems to reflect my own process and how I manage my wealth.

Calculate Portfolio Returns explained. This is a simple formula to calculate portfolio returns. I prefer to use it annually however you can use the formula monthly measuring performance depending how active you are.   There is a multitude of portfolio, investment, and financial management software available. In my personal experience, I still after 15 years… Continue reading →