Similar to an annual health check, it is important to have a financial health check on a periodic basis. A review of your overall financial plan will ensure that it still meets your desired goals. Your investment strategy forms part of your overall financial plan and should be reviewed periodically to ensure it is in line with your overall objectives for wealth accumulation, retirement, and other financial objectives.

Reviewing your portfolio should be on a more frequent basis to ensure that your investments are in line with your risk tolerance, and your short and long term investment goals. Due to the recent increase in equity markets there is an increased probability that your portfolio may require rebalancing to meet your investment strategy.

If you are planning to review your portfolio in the short term, consider doing so in advance of the upcoming 2017 Federal budget. As in other years, there are predictions that the effective tax rate on capital gains will be increased.

This is not a suggestion to sell into the budget date, but to simply review your investments and ensure they are in line with your strategy. If rebalancing prior to the budget date is a good investment decision regardless of the potential change in effective tax rates for capital gains, then you could crystalize the gains at the current rates.