Almost all investment advisors, portfolio management companies, wealth management setups, Mutual Funds or anybody in the business of fund management, promises a “better” return. As an investor how do you evaluate the best manager for your money? Should it be the one who charges the least, the one who promises the highest return, the one who has the maximum money under management or the one who will take a share of profit as his or her fees?

In our Articles and Resources we explain in detail how genuinely each one of these parameters could reflect a positive and at the same time a negative of the investment advisor.

What we discovered was that while the best fund manager is an expert at understanding specific instruments such as equity, government security, gold, art, etc., it would be counterproductive for such a specialist to focus on each investor’s personal goals, resources and time horizon. However these are the most important parameters for your personal financial success.

An investment may be very successful but for the investor to be successful he needs to have invested the right amount in that investment and at the right time! A successful investment and a successful investor are not one and the same thing. Which is why a personal financial advisor brings tremendous value to planning your investments, choosing the right investment managers and evaluating them correctly.

The key to managing a portfolio of investments is understanding the relation of ‘how the investments are selected’ to ‘what the outcome is likely to be’ in specific situations. For example, investing in a company clearing garbage is not likely to see as many ups and downs compared to an investment in a company making car parts.

Another portfolio of investments in two Companies, one an ice-cream manufacturer and another making sun-tan lotion might see more ups and downs than a portfolio of investments in an ice-cream company and a tea manufacturer. Can you see why?

Because the first portfolio will do well only if there is a good summer, while second will manage some gains irrespective of a good summer (ice-cream sales up) or good winter (tea sales up).

We believe that investment planning can help you create more predictable outcomes for specific future goals that are uniquely yours.

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