Maybe you’re cashing your first paycheck or catching up with your retirement savings. Or you’re planning for college or a big purchase, like a new home. Whatever your situation, the investment basics remain the same.
Use this investing basics guide to help you build and manage your portfolio. The more you know, the more confident you’ll be as you work toward your investment goals. And these tips apply to all levels of knowledge, whether you’re a new investor or just want to sharpen your skills.
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The first step to building your portfolio is determining how much money to invest and where to invest it. You have a variety of options to choose from: stocks, bonds, mutual funds, CDs, money markets, and more.
Fix as needed

Once you’ve assembled a diversified portfolio that puts your money to work toward your goals, don’t just “set it and forget it.” Keep monitoring and adjusting as necessary on a regular basis. 

Stay on schedule


When you make consistent contributions on a regular schedule, you may save more. You also benefit from dollar cost averaging, which is the practice of buying the same dollar amount of a security at regularly scheduled intervals.

Keep it balanced


As investments go up and down in value, the portfolio balance you originally set up will change over time. Check your balance of stocks, bonds, money markets, and other investments at least once a year. Adjust asset classes as needed to keep overall risk within your comfort zone and performance on track with your goals.

All investments are subject to market risk, including the possible loss of principal. Neither asset allocation or diversification can assure a profit or protect against loss in a declining market.

This material is provided for general and educational purposes only, and is not intended to provide legal, tax or investment advice. This material does not provide fiduciary recommendations concerning investments or investment management; it is not individualized to the needs of any specific benefit plan or retirement investor, nor is it directed to any recipient in connection with a specific investment or investment management decision.