Course 101: Steps to a Suitable Portfolio
Monitor Your Investments
In this course
1 Introduction
2 Create a Blueprint
3 Discover What You Already Own
4 Make Your Portfolio Fit Your Blueprint
5 Schedule a Time to Rebalance
6 Monitor Your Investments

In addition to rebalancing your portfolio, you'll want to keep tabs on your individual investments. You need to make sure they're still filling their original roles in your portfolio.

Let's say you're monitoring your mutual funds. What types of things should you look for? Make sure your funds stay in the same Morningstar category; if a fund's style has changed dramatically, the fund may no longer meet your needs. Examine the fund's category rating--is it still competitive? Watch out for manager changes, too.

With stocks, you'll want to keep tabs on price, and where that price is relative to the sell target you've established. Changes at the top matter, too--new management can mean new strategy. Profitability, financial health, and growth prospects all matter, too.

We'll discuss these and other portfolio-monitoring issues at length in Portfolio 301 and 302.

Next: The Quiz >>

Print Lesson |Feedback | Digg! digg it
Learn how to invest like a pro with Morningstar’s Investment Workbooks (John Wiley & Sons, 2004, 2005), available at online bookstores.
Copyright 2015 Morningstar, Inc. All rights reserved. Please read our Privacy Policy.
If you have questions or comments please contact Morningstar.