Rethinking Your Investment Strategy

Once you set up a long-term investment strategy, you shouldn't have to fiddle with it very often. But a big change in your life can cause you to rethink where you're going and how you're getting there. Here are just a few of the events that might cause you to alter your strategy.

• Changing jobs
• Getting a raise
• Changing your family status
• Buying a home
• Getting older

Every time your life changes, your financial priorities are affected in some way. And even small shifts in your financial picture can signal that it may be time to review your plan. Financial advisors recommend that even if your overall investment mix (your "asset allocation") is appropriate for your goals, you may want to periodically adjust or rebalance them to keep your strategy on track. However, when your life changes in a way that makes your strategy out-of-date, you may need to change your entire asset allocation strategy so that it's in line with your life goals.

If you've experienced a change in your life circumstances, you may want to take a fresh look at your investment selection and asset allocation strategy to be sure they're in line with your new goals.