End of year investment review

It has certainly been an interesting and challenging year because of COVID- 19. With the roll- out of vaccines, things are starting to look promising as we continue to find ways to rise above the challenges brought on by the pandemic.

As we approach the end of 2021 and the festive season begins, it is important to take some down time and introspect and analyse your investment journey thus far.

Here are a few things to get through to end your 2021 on a high note.

1) Request for all of your statements: Have one last look at where you stand with your investments. Request statements from your investment manager( s) and review the growth levels this year as well as your overall standing.

2) If you have a financial planner, request to see them one more time: your financial planner can help you work out a realistic festive budget, as well as reviewing your investment portfolios and giving a professional opinion on the need for rebalancing.

3) Rebalance your portfolio: You might have de- risked your portfolio in tandem with the uncertainty of the COVID- 19 era. Have a chat with a professional about whether this is the appropriate time to rebalance your portfolio in line with your risk capacity and long- term goals and objectives.

4) Resist the urge to draw down on your investments during this time: Most of us will tend to have plenty of free time, coupled with various holiday plans, we tend to stretch our budget quite a bit by spending unnecessarily. It is very easy to deplete your savings and investments during this time.

5) Calculate your redemption requirements for January and sort out the paperwork now: If for instance, you have an investment reserved for your children’s education and you wish to draw down in January, it is important to get the paperwork started now, to avoid any delays in January. The administration delays in January can sometimes arise from your investment manager being inundated by multiple redemption requests, so get ahead by filling and submitting now.

6) Give yourself a pat on the back: If you have managed to keep up with contributions and have stayed focused on your investment journey through the uncertainty of 2021, you deserve good praise. Since investing is not an easy plight, it is important to keep yourself motivated by giving yourself the credit you deserve.

Wishing you a safe and happy holiday. May 2022 bring you success and prosperity!

Happy investing!