How to Plan Your Investment Portfolio

18th September 2018

Building an investment portfolio is a great way to bring in extra income while setting yourself up financially for the future. However, knowing where to start can be difficult, and many investors wonder how to build a portfolio that will give them the best value for their money.

If you are ready to start building your investment portfolio but you’re not sure where to start, read our helpful points below:

Consider Your Budget

You’ll need to consider your cash flow and budget for your investment portfolio. With budget comes the risk factor. You certainly don’t want to be spending more than you can afford and taking a chance on a high-risk investment. Starting out small and building yourself up is the best way to achieve your investment dreams.

In doing this, you’ll also need to consider which financial services are available to you including construction loans or using a Self Managed Super Fund (SMSF) to purchase property.

Watch Out for Capital Gains Tax. 

When planning your investment portfolio, you’ll need to plan it out carefully to minimise the effects of capital gains tax. Your investment company will be able to assist you with this. 

Talk to a Professional

Planning your investment portfolio means organising and managing it, and all the aspects of the process are actually quite complicated. If you want to get the most out of your investment portfolio then take the time to talk to professional. A professional investment company understands the ins and outs of investing and will be able to ensure you make good choices that carry minimal risk.

Choose Your Types of Investment

All investments have their own advantages and disadvantages, so it’s important to choose your investment wisely. From city apartments to family-friendly homes, your investment will need to reflect your goals, long-term planning, and of course, your budget.

Have a Long-Term Plan in Place

When planning an investment portfolio, you’ll need to consider how long you plan on having your money ‘tied up’ in investments. Obviously, the longer you can keep your investments, the higher your return will be. However, factoring a timeline into building your portfolio will allow you to take into account your future needs and goals.

Build Your Investment Portfolio with H&T Realty

H&T is a leading property investment company in Australia that understands exactly how to build your investment portfolio. We provide in-depth advice from highly experienced professionals so that you can get the best out of your investment. We also sell and market quality off the plan properties, and provide property management. Contact us today and call 02 8045 5388 to find out more.