Toward a More Effective Portfolio

Key steps to take when tuning up your own plan. [Morningstar](?utm_source=eloqua&utm_medium=email&utm_campaign=newsletter_improvingfinances&utm_content=32732&elqTrackId=cc131e605dfd4b9987ab9ad5ea9d81f4&elq=aae73a43949648ad8a01b959e0581fe4&elqaid=32732&elqat=1&elqCampaignId=15126) [Improving Your Finances] Improving Your Finances with [Christine Benz]( [Christine Benz] As of this writing, I’m elbow deep in my annual Portfolio Makeover Series, which kicks off this Monday, November 8, on Morningstar.com. I always receive far more submissions than I have time to tackle, but investors can readily embark on some of the key steps I take when working on these makeovers. They include: Keeping an eye on the big picture: Before I dig into the portfolio itself, I always aim to answer the question: “Is this plan on track?” [This article]( digs into key considerations for people in the accumulation (still working) phase and [this one]( focuses on how to assess the health of your plan, especially your spending rate, in retirement. Streamlining: One of the key jobs I tackle with every portfolio is to conduct a little bit of consolidation. Can like-account types be combined? Can fewer, broader investments do the job of many narrower ones? Fewer moving parts make monitoring a portfolio so much simpler, and a streamlined portfolio is [particularly beneficial in retirement](. This article includes dos and don’ts for tackling portfolio sprawl. Assessing asset allocation: My makeovers typically include some adjustments—sometimes major ones—to the portfolio’s asset allocation. [Here’s how]( to do your own check on your portfolio’s mix of stocks, bonds and cash. Upgrading the holdings: I always aim for the “After” portfolio to include better, more robust underlying holdings than the “Before.” Morningstar ratings can be a quick way to assess the health and forward-looking prospects of your holdings: Aim for an overweighting of [Medalist funds and ETFs]( and if you’re a stock investor, [companies rated 3 stars or higher](. You’ll be able to see real-life investors’ Before and After portfolios next week. As always, I hope the series provides you with ideas for upgrading and improving your own plan. With warm regards, Christine Benz [How to Conduct Your Own Portfolio Makeover]( Follow these eight steps to an improved, streamlined, and more tax-efficient portfolio. [Read More]( Share: [facebook]( [twitter]( [linkedin]( ADVERTISEMENT [media]( [media] [Your November Financial To-Do List]( While you're thinking about open enrollment, take some time to review your insurance coverage and tax situation. [Read More]( [Bob Seawright: 'There Is No Such Thing as a Passive Investor']( The blogger and chief investment officer for Madison Avenue Securities discusses the importance of purpose and humility in financial decision-making. [Read More]( Listen Now Get the latest investing insights and market updates with [Morningstar’s podcasts]( available on your iPhone, iPad, Android, PC, or smart speaker. Stay connected: [twitter]( [facebook]( [linkedin]( [instagram]( [YouTube]( [Apple News]( [View online]( | [See all newsletters]( | [Share your feedback]( [Unsubscribe]( from this newsletter. Or update your [email preferences](. © 2021 Morningstar, Inc. All Rights Reserved. 22 W. Washington St. Chicago, IL 60602