If you didn’t realize you have overlaps, it’s understandable. When you have a number of different accounts across an array of investment providers, it’s difficult to know exactly what you own. Not only does this mean your investments might have overlaps, but it may leave you with gaps. Are you missing the healthcare sector, international investments, emerging markets or technologies from your portfolio, for example?
When your portfolio isn’t properly diversified, it’s more likely to be negatively impacted by market fluctuations. This could have an impact on your ability to retire when you want. If you’re already retired, it could mean your accounts provide you with less income than you were expecting.
Consolidation can help you have a holistic view to see how all of your investments are working toward your short- and long-term goals. It can help give you the confidence that you’re on the right track—or even ahead of schedule.
Are you missing out on rebalancing?
When did you last check all of your old accounts? You may be a different kind of investor now than when you set them up, with a different risk tolerance and different goals. Choices you made in the past may not be right for your goals today.