I’ve invested in a number of different things over the years – ISAs, savings accounts, a model portfolio from my bank, etc – and none of them are doing very well at the moment. I feel like I should start again with a whole bunch of new investments. What do you think?

Lowestoft Journal: Smith & Pinching chartered financial planner Matthew BeckSmith & Pinching chartered financial planner Matthew Beck (Image: Smith & Pinching)

Matthew Beck of Smith & Pinching responds:

Yes, indeed, I think a review might be useful for you so that you can see if your portfolio is still suitable for you. Times change so both the investments and your circumstances may well be very different from when you first selected it.

What I suggest is that you take a step back and plan properly. That means putting very specific targets and goals in place and finding ways to get on course to achieve them. Ideally, you should work with a chartered financial planner to build a sound, achievable plan based on what’s really happening in your life. A full financial review would check the logic and purpose of all your current investments, looking at their level of risk, performance and asset allocation.

To build a financial plan, you need to look at every aspect of your financial life – to work out your income needs in the short, medium and long term. We’ll need to ensure you have emergency funding to cover your day-to-day expenditure if your normal income streams are interrupted for some reason and we’ll need to put “just in case” protection plans in place to give you peace of mind. Then we’ll need to consider your goals further down the line, such as a comfortable retirement, and manage your savings and investments to deliver growth using tax-efficient wrappers such as pensions and ISAs.

Your investment strategy should be tailored to you in terms not only of the goals you want to achieve but also in terms of your attitude to investment risk and personal factors such as your health and family circumstances. This isn’t an area where guesswork and instinct should take control: your future security may depend on getting it right, so take advantage of the skills of your adviser who can steer you to a mix of investments that is right for you.

Any opinions expressed in this article do not constitute advice. The value of an investment and the income from it could go down as well as up. The return at the end of the investment period is not guaranteed and you may get back less than you originally invested.

For more information, please visit www.smith-pinching.co.uk