Adopting 3 basket of investment

Different people will have different strategy in investing or maintaining their portfolio. One strategy you can consider adopting is to create three separate "baskets" of investments - for Long, Medium and Short terms. Your LONG Term basket is kept for more than 5 years and it should be able to weather the market volatility i.e. you should not need this money till >5 years and can afford to take more risks (e.g. 100% equity). Your MEDIUM basket will consist stocks, bonds and REITS (or your standard well diversified portfolio) that has a time horizon of 1 to 5 years. It should be maintained at an amount equivalent to about four times your annual expenses. The final SHORT basket is akin to your current account, kept at roughly about one year of expenditure and placed in Money Market (Cash or short term deposits). You can rebalance your three baskets at any interval that works for you. One suggestion is to rebalance every 6 months, by transferring from Long to Medium and/or from Medium to Short, depending on your portfolios' performances.

Good luck guys

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

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koolgal
2021-09-19
koolgal
Thanks. Good advice. Good luck to you too. ??

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Your LONG Term basket is kept for more than 5 years and it should be able to weather the market volatility i.e. you should not need this money till &gt;5 years and can afford to take more risks (e.g. 100% equity). Your MEDIUM basket will consist stocks, bonds and REITS (or your standard well diversified portfolio) that has a time horizon of 1 to 5 years. It should be maintained at an amount equivalent to about four times your annual expenses. The final SHORT basket is akin to your current account, kept at roughly about one year of expenditure and placed in Money Market (Cash or short term deposits). You can rebalance your three baskets at any interval that works for you. One suggestion is to rebalance every 6 months, by transferring from Long to Medium and/or from Medium to Short, depending on your portfolios' performances.</p><p>Good luck guys</p></body></html>","htmlText":"<html><head></head><body><p>Different people will have different strategy in investing or maintaining their portfolio.&nbsp;One strategy you can consider adopting is to create three separate \"baskets\" of investments - for Long, Medium and Short terms. Your LONG Term basket is kept for more than 5 years and it should be able to weather the market volatility i.e. you should not need this money till &gt;5 years and can afford to take more risks (e.g. 100% equity). Your MEDIUM basket will consist stocks, bonds and REITS (or your standard well diversified portfolio) that has a time horizon of 1 to 5 years. It should be maintained at an amount equivalent to about four times your annual expenses. The final SHORT basket is akin to your current account, kept at roughly about one year of expenditure and placed in Money Market (Cash or short term deposits). You can rebalance your three baskets at any interval that works for you. One suggestion is to rebalance every 6 months, by transferring from Long to Medium and/or from Medium to Short, depending on your portfolios' performances.</p><p>Good luck guys</p></body></html>","text":"Different people will have different strategy in investing or maintaining their portfolio. One strategy you can consider adopting is to create three separate \"baskets\" of investments - for Long, Medium and Short terms. Your LONG Term basket is kept for more than 5 years and it should be able to weather the market volatility i.e. you should not need this money till >5 years and can afford to take more risks (e.g. 100% equity). 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Good luck guys","highlighted":1,"essential":1,"paper":2,"likeSize":3,"commentSize":1,"repostSize":0,"favoriteSize":0,"link":"https://ttm.financial/post/888003272","repostId":0,"isVote":1,"tweetType":1,"viewCount":75,"commentLimit":10,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"symbols":[],"verified":2,"subType":0,"readableState":1,"langContent":"EN","currentLanguage":"EN","warmUpFlag":false,"orderFlag":false,"shareable":true,"causeOfNotShareable":"","featuresForAnalytics":[],"commentAndTweetFlag":false,"andRepostAutoSelectedFlag":false,"upFlag":false,"length":885,"xxTargetLangEnum":"ORIG"},"commentList":[{"id":5921729,"commentId":"5921729","gmtCreate":1632031396405,"gmtModify":1663234103434,"authorId":3559581955535845,"author":{"id":3559581955535845,"idStr":"3559581955535845","authorId":3559581955535845,"name":"koolgal","avatar":"https://static.tigerbbs.com/c05274d88ffc0434623e57350c52c70a","vip":2,"currentWearingBadge":{"badgeId":"c4ee29b388ff41cc8462b3b7ea00d1e2-1","templateUuid":"c4ee29b388ff41cc8462b3b7ea00d1e2","name":"Monthly Top Contributor","description":"Top 3 Contributors with the most and best Editor's Picks every month","bigImgUrl":"https://static.tigerbbs.com/b0cad6192443c33dca826a001250fbd4","smallImgUrl":"https://static.tigerbbs.com/5ccd98c646815ce7610b0df338e060cc","redirectLinkEnabled":1,"redirectLink":"https://ttm.financial/TW/9000980585","hasAllocated":1,"isWearing":1,"stampPosition":0,"hasStamp":0,"allocationCount":1,"allocatedDate":"2022.04.02","individualDisplayEnabled":0,"individualDisplaySort":0,"categoryType":2003},"hat":"https://static.tigerbbs.com/0a8758340a08196056f8bc1e54805193","crmLevel":6,"crmLevelSwitch":1,"individualDisplayBadges":[{"badgeId":"9427a906234c4b18a82ec3d7730b7fa8-1","templateUuid":"9427a906234c4b18a82ec3d7730b7fa8","name":"Star Contributor","description":"Have published 3 or more picked posts, and have published at least one picked post and participated in comments within 30 days","bigImgUrl":"https://community-static.tradeup.com/news/1866dcf97a73be1c330f85862546aedc","smallImgUrl":"https://community-static.tradeup.com/news/4f5c5fa8e2c7683bb5a7fce8753ee456","redirectLinkEnabled":1,"redirectLink":"https://ttm.financial/activity/market/2023/star-contributors/","hasAllocated":1,"isWearing":0,"stampPosition":0,"hasStamp":0,"allocationCount":1,"allocatedDate":"2024.11.29","individualDisplayEnabled":1,"backgroundColor":{"dark":"#675a37","tint":"#f9ebc2"},"fontColor":{"dark":"#ffffff","tint":"#ab7a0e"},"individualDisplaySort":0,"categoryType":2007}]},"repliedAuthorId":0,"objectId":888003272,"objectIdStr":"888003272","type":1,"supId":0,"supIdStr":"0","prevId":0,"prevIdStr":"0","content":"Thanks.&nbsp; Good advice.&nbsp; Good luck to you too. ??","text":"Thanks.&nbsp; Good advice.&nbsp; Good luck to you too. ??","html":"Thanks.&nbsp; Good advice.&nbsp; Good luck to you too. ??","likeSize":0,"commentSize":0,"subComments":[],"verified":10,"allocateAmount":0,"commentType":"valid","coins":0,"score":0}],"isCommentEnd":false,"isTiger":false,"isWeiXinMini":false,"url":"/m/post/888003272"}