A financial health check for 2019

THE start of a new year is an opportune time to review your personal finances. Among other factors, a change in personal circumstances may warrant a re-evaluation of your objectives and strategic portfolio allocation. A review would also help you to harness emotions that often provoke knee jerk reactions which you may come to regret. Here are some things to think about.

Be not afraid - of volatility

2018 turned out to be a challenging year for assets. This may have come as something of a shock to investors after the strong returns of 2017. From the second half of the year risks seemed to pop up at every turn, from higher interest rates which prompted a downward re-rating of assets, to uncertainties over the US/China trade war, and now jitters over whether a global recession is on the cards. Last year, virtually all assets generated negative returns. Based on Morningstar Direct data, the average return of equity funds register…