Steps to Building a Complete Financial Portfolio

This is a guest post by Neil Buckland

Many people view having an effective, profitable financial portfolio as a mere pipedream, lightyears away from their financial capabilities. In reality, building such a portfolio is actually easier than many people think. The key is to build it slowly, constantly adding to it with a diverse range of assets which have been carefully researched and selected over time. Here are some of the steps to building a complete financial portfolio.


First and foremost, the investments which you choose as part of your portfolio will determine how fast it grows and how much money you make from it. You will need to conduct considered research to make informed decisions about where you put your money.

When it comes to the range of assets you choose to include in your portfolio, it is best to be as diverse as possible. This means choosing a wide range of assets to counterbalance overall investment risk. You could, for instance, buy a property, whilst investing a similar amount in stocks and shares.


Another step to building an effective financial portfolio is to look at your pension options. Since employers are required to match your contributions in any given pension scheme, pensions are one of the most profitable investments you can make.

Whilst you can’t touch the money until a certain age in most countries, the long term return on investment of 100% is unmatched, and pensions are usually very tax effective (depending on your scheme). It is wise to invest in one as early as possible to maximise your potential returns.

Wealth Management

One final step in building a complete financial portfolio is to use a wealth management service, such as Sanlam. As the name suggests, wealth management involves using a company to manage all your assets and investments for a fee. This is entirely optional, but the advisers in a wealth management company are experts in investment and managing your assets.

They do all the legwork in terms of researching investments and making decisions on how you might best spend your capital. That being said, they cannot guarantee a return on investment, so you still need to be both wise and cautious when reviewing your options.

These are some of the basic steps to consider when constructing your financial portfolio. Make sure your investments are well researched, diverse, and that you constantly update and review your portfolio.

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