How to Build a Diversified Portfolio

Don’t put all of your eggs in one basket.

It sounds so cliche’ these days, but the importance of diversification cannot be overstated.

So what does it mean to diversify your investment portfolio? A diversified portfolio is one with investments in different assets classes – for example, shares, real estate, and bonds. It will also likely include an array of geographical locations and industries. This ensures that if one aspect of the market is not performing well, you will not lose all your money and maintain the potential to make money in other asset classes.

We consider the below elements when building a portfolio for our clients:

  • 1. Keep an eye on the prize

Buying and holding is a valid long-term strategy, but we still need to maintain an eye on the investments rather than remain on autopilot. Staying on top of any changes in the investments and overall market conditions means that there is the option of selling down the investments, and transferring the funds elsewhere if necessary.

  • 2. Spread the seeds

Investing in stocks can be quite lucrative, but it is important that our client’s money is not tied up in just one specific stock or sector. We invest in companies across many locations and industries to reduce the risks associated with investing.

  • 3. Consider your defences

Fixed-income investments are a diversification strategy that can help protect you against market uncertainty and volatility. These are generally long-term investments where our client’s wealth will be protected from most market events.

  • 4. Watch out for fees

The costs of holding the selected investments always needs to be a consideration when building a portfolio. There may be platform fees, investment fees, management fees and performance fees, but we strive to keep these as low as possible for our clients to ensure they’re receiving significant value from their investments.

  • 5. Continue building the portfolio

Adding to our client’s investments on a regular basis, using dollar-cost averaging, helps their portfolio be more resilient to changes in the market. Dollar-cost averaging is a strategy that allows you to buy a set dollar amount of an investment at regular intervals. This allows our clients to consistently grow their portfolio by buying more shares when prices are low, and fewer shares when prices are high.

How the Endorphin Team can help

Endorphin Wealth can give you a head start on your investment journey. Our team of advisers will help you determine your financial and lifestyle goals, then choose a portfolio based around your unique needs, so you can feel empowered knowing your investments are aligned to your goals.
For an obligation free discussion, call us on 03 9190 8964, or email us at advice@endorphinwealth.com.au

Best Boutique Wineries in Victoria

We love to get out and explore regional Victoria in our down time. There’s so many stunning areas to choose from, but we find we’re often sharing stories with client about the best boutique wineries for a day trip.

So whether you are retired with some extra time on your hands or looking for a venue to stage a function, Victoria offers many choices to explore. Below we’ve collated our top five:

  • Mandala Wines

Only an hour from Melbourne in the heart of the Yarra Valley, Mandala Wines offers a stunning country setting and a family friendly atmosphere. Mandala Wines has been a family-owned business since 1999 and has expanded across two sites at Dixon Creek and Yarra Junction.

An on-site restaurant is available with spectacular vineyard and valley views with a specialisation in fresh pizzas using vegetables from the kitchen garden and locally sourced meats.

  • Passing Clouds

Established in 1973, Passing Clouds is in its second generation of operation. North west of Bendigo, the founders chose a dry area which was previously an old gold mining site. The first vines planted were Shiraz and Cabernet Sauvignon, designed to make a classic Australian blend. Passing Clouds now has an emphasis on cool climate Pinot Noir and Chardonnay sourced from their secondary site in the Macedon Ranges.

Tastings and dining options are available at the Cellar Door just outside of Daylesford, where you will be catered with a thoughtful menu that evokes the feeling of dining at a friend’s house rather than a restaurant.

 

  • Seville Hill

Nestled in a cool and elevated portion of the Yarra Valley, Seville Hill benefits from the rich, volcanic soil famous in the area. Originally focused on fruity red wines, there has been a push to include white, dessert style, and sparkling wines at Seville Hill in recent years.

Tastings, events, functions, and even weddings can be hosted at this venue with stunning views of the Warburton Ranges and Yarra Valley. Summer Jazz is a weekly event held from October to April, where you can enjoy great wine, food, and beautiful music.

Best Boutique Wineries in Victoria

  • Sir Paz Estate

Sir Paz Estate is also situated in an area of volcanic soil in the southern hills of the Yarra Valley. The winery is the highest altitude valley in the Yarra Valley and produces wines of fantastic depth with excellent aging potential.

Just over 50km from Melbourne, if you are seeking an event location with picturesque views and exquisite food and drink then look no further than Sir Paz Estate.

  • Montara Wines

Situated 200km west of Melbourne in the Grampians region, Montara Wines is more suitable to enjoy while on a weekend away rather than a quick day trip. The drive will be rewarded with panoramic views of plains and mountains as the vineyard is situated on the eastern slopes of Mount Chalambar.

Some of the 40+ year old vines include shiraz, pinot noir, and riesling with more recent additions of chardonnay, sauvignon blanc, cabernet sauvignon, and merlot.

Being able to afford the finer things in life does take some financial planning, so you can feel more comfortable spending money on the people you care about. For an obligation free discussion, call us on 03 9190 8964, or email us at advice@endorphinwealth.com.au

2019 – Client Referral Prize Draw

2019 – Client Referral Prize Draw

Some exciting news for our clients – we’re re-launching a promotion for our existing clients to reward them for referring friends and family members. We’d love the opportunity to assist the people they know to reach their own financial goals!

Leeuwin EstateLeeuwin Estate Art Series – 2016 Sauvignon Blanc, 2016 Riesling, 2012 Sauvignon Blanc Semillon, 2014 Chardonnay, 2014 Shiraz and 2013 Cabernet Sauvignon

Entering the draw is easy, simply refer your friend or family member to have an obligation free appointment with us and you’ll be entered into the draw to win a combination of 6 beautiful Leeuwin Estate ‘Art Series’ wines valued at $300.00.

There is no limit to the number of entries which close at 12pm on Friday 22/11/2019. The draw will be held on Friday 22/11/2019 at 2pm and we will notify the winner shortly afterwards.

Comprehensive analytics and research

We invest a great deal of time and effort researching the best tax effective investment strategies for our clients. We have developed a number of systems to manage and track the marketplace.

The investment landscape always evolves and it is more important than ever to consider your investments and superannuation funds carefully. We pride ourselves on being experts in researching opportunities, investments and strategies that fit in with your retirement goals. We want, our clients to get on with enjoying their life rather than worrying about money.

For an obligation free conversation about your financial future, please contact us on 03 9603 0072 or at advice@endorphinwealth.com.au

The Team at Endorphin Wealth Management