We all know the expression don’t put all your eggs in one basket and when it comes to your finances, it’s very good advice.
Marc Bineham finance expert and money coach from the Money Sandwich advises against putting all your resources into just one investment, because in the worst case scenario you may lose it all.
If you have the means, spread your investments over a diversity of assets: shares, property and superannuation to spread your risk should there be a downturn or crisis in one sector.
Within those areas, you can also diversify. For example, having shares in different sectors in companies with a strong track record that have stood the test of time. With property, seek good quality properties with good rental or future sale potential.
Having a sensible diversified investment portfolio will affect your income in retirement so it’s well worth assessing and reviewing your investments with a longer term focus.