This week we will continue on the path to knowing your investment goals by discussing what is my time horizon.
Your answer to last newsletter’s question, why am I investing?, will directly relate to how you answer this week’s question, what is my time horizon?.
Time horizon is the period of time from when the investment is made to when it is liquidated or sold. If your answer to why am I investing was to fund your retirement, then your time horizon is from now to sometime between the day you retire and the day you kick the bucket. If your answer was to purchase a home in a couple years, well then your time horizon would be two years.
Because many of us have multiple reasons for investing we will therefore have multiple time horizons.
Next newsletter will be on risk tolerance, the next step in the path to knowing your investment goal(s).
Knowing your investment goal(s)
- Why am I investing
- What is my time horizon
- What is my risk
- What is my liquidity requirements
- Choosing my investment goal
- Conservative Growth
- Preservation of Capital