Build a Financial Portfolio

Lets start at the beginning

Ask yourself a few questions
What type of portfolio do you have?
Does it make sense?
Do you feel comfortable?

Unfortunately all too often this is the type of portfolio we see:

THE PRAYER PORTFOLIO
I think it will do well.
I hope that it does well.
I pray it does well, but I have no idea how or why I should do well.

At Croix River Wealth Management we teach you HOW your portfolio should work and WHY it does work the way it does.

REALITY
Losses from Oct. 2007 to Mar. 2009 were over 50%….1

How would you feel if that happened again?

Learn our simple method of Tactical Management to limit downside risk.

https://en.wikipedia.org/wiki/United_States_bear_market_of_2007%E2%80%9309

Build a Financial Portfolio

7 Key Steps

  1. Take our Risk Tolerance Test.

  2. Determine the actual risk exposure of your top 7-10 investments and then review their top to bottom losses in the Great Recession.

  3. Determine the percentage of investments to 3 investment categories:
    • ____% Fixed Assets where you can’t lose your principal but could possibly earn 3-4% per year over the next 5, 10 or 15+ years.
    • ____% Low Risk and Low Volatility with Capital Preservation over time and earn possibly 5-7% per year over the next 5, 10 or 15+ years.
    • ____% Moderate Risk portfolio of equities where the portfolio can go “Risk Off” to cash or potentially make money even if the stock market is going up or down.

  4. Review “Aggregate Manager Performance of the “Sleeve” of managers in the Low or Moderate Risk portfolios.

  5. Daily management of the portfolio to determine the Relative Strength or the Trend Following aspects of the portfolio.

  6. Monitor the overall plan with at least 2 meetings per year.

  7. Make portfolio adjustments as needed.