Introduction
Investing is not a one-time activity — it’s a journey. While setting up your portfolio is crucial, what’s equally important is how often you review your investments.
A regular review helps ensure that your money is aligned with your financial goals, risk appetite, and market dynamics. But how often should you do it?
Let’s break it down.
Ideal Frequency: How Often Should You Review Your Portfolio?
| Type of Review | Frequency | Purpose |
| Quick Check | Monthly | Track market trends and SIPs |
| Performance Reviews | Quarterly or Semi-Annually | Analyze returns vs goals |
| Full Portfolio Review | Annually | Rebalance, realign, and plan ahead |
Why Reviewing Investments Is Important
- Track Progress Toward Goals
Your investments should support life goals — a house, a child’s education, retirement, etc. A review helps assess if you’re on track. - Rebalance Your Portfolio
Over time, some investments may outperform while others underperform. Rebalancing ensures your asset allocation stays aligned with your plan. - Adapt to Life Changes
Got married? Changed jobs? Had a baby? Your investment strategy needs to evolve as your life does. - React to Market Movements
Major events like COVID-19, economic slowdowns, or inflation spikes may require adjustments in your investment style.
Improve Tax Efficiency
Year-end reviews can help with tax-saving strategies like harvesting losses or locking in long-term gains.
📊 Real-Life Example: Why Reviews Matter
Ravi started SIPs in 2019, intending to buy a house in 2025.
In 2023, he reviewed his portfolio and saw a 75% equity and 25% debt allocation — too aggressive for a short-term goal.
He rebalanced it to 50-50, locking in gains and reducing risk.
Result: Higher safety + peace of mind.
How to Review Your Investments
Step 1: Check Portfolio Returns
Compare returns with your expected benchmark. Are you earning 12–15% for long-term equity funds? If not, dig deeper.
Step 2: Reassess Asset Allocation
Are you still comfortable with your risk level? If your goal is nearing, shift more toward debt.
Step 3: Remove Underperformers
Has a fund consistently underperformed its category for 4+ quarters? Time to replace it.
Step 4: Tax Planning
Look at tax-saving instruments and plan redemptions to avoid short-term capital gains taxes.
📌 Mistakes to Avoid
🚫 Reviewing too often – Don’t panic-sell due to short-term market dips.
🚫 Chasing past performance – Just because a fund did well last year doesn’t mean it will again.
🚫 Neglecting reviews altogether – Set calendar reminders!
🧭 When Should You Review Your Portfolio?
- 📆 Start or end of the financial year
- 📉 After a major market event
- 🔁 When your life goals or income change
- 💸 When SIPs complete 3+ years
- 🔒 Nearing goal maturity (1–2 years before)
Let InvestWorks Help You Stay on Track
At InvestWorks, we believe reviewing is just as important as investing. Our experts regularly monitor your portfolio, provide data-backed advice, and help you rebalance at the right time, so your goals stay within reach.
🧑💼 Whether you’re a beginner or an experienced investor, we offer personalized reviews, goal-based reports, and automated alerts.