Portfolios
Selecting attractive investment stocks is a very important and necessary task for an investor. However, it is not the only one, and it is not where investing should begin. The work of an investor should start with building their own investment portfolio.
To build an investment portfolio, an investor needs to:
- Define their investment goals (children’s education, a secured retirement, financial protection in case of job loss, and similar objectives).
- Based on their current financial situation (savings, income, expenses) and their investment goals, calculate the required return that will allow them to achieve those goals.
- Taking into account your age, personality, and risk tolerance, determine the level of risk that is acceptable for you.
- Form the proportions of asset classes in your portfolio that will allow you to achieve your goals: stocks, ETFs, REITs, bonds, gold.
- Fill each asset class with specific securities and instruments.