Portfolio Monitoring Key to Success: Paradigm Capital Management

1. Portfolio Monitoring Key to Success: Paradigm Capital Management There is a tendency among thousands of new investors to sell their scripts in a hurry when the stock market performs below their expectation. This tendency is likely to lead to great financial losses as soon after the bad phase the market rises and there remain no valued scripts in the hands of those investors. This is where Portfolio Monitoring is required as a great help. The first thing any investor should keep in mind is that he/she should not panic when the share market crashes down unexpectedly or goes up all on a sudden. You might have planned and your desired sell positions for your holdings, but that does not mean that the market cannot behave in any other fashion. The finance market of the world economy is beyond any formula or any predetermined financial graph. So, you have to stay calm, wait and watch the market critically when the market undergoes a drastic phase. You are not supposed to panic. If you panic and empty your holdings rapidly you might incur a massive loss. So, as great portfolio advisors say, do not take any hasty decision during the market turmoil. Portfolio management on a regular basis to fetch good returns. Investors who monitor their portfolio successfully follow a disciplined approach towards investing in equity funds through SIP i.e. A Systematic Investment Plan. On the other hand, other investors do not monitor their portfolios in the right manner and, therefore, fall prey to their own hasty sell decisions. You have to keep in mind that the negative returns that you incur are usually attributed to non-performance. Apart from that, you have to remember that if you invest without a well defined time limit, you are likely to get tempted to make a thorough change in your investment portfolio. This lack of clarity in your market reading and your ill-preparedness about what to expect and what not to, might lead to a mistaken perception of such asset class as the equity. The impulsive decision to sell the holding positions, thus make investors suffer economically in the long run.

2. A proper and regular Portfolio Monitoring might give you some insights about some of the funds that could have a healthy exposure in certain sectors in the near future, and may have good prospects in the years ahead. You can, therefore, keep these scripts even when the market undergoes abrupt turmoil. You can measure the performance of certain companies beforehand by studying their portfolio in relation to your holding positions. You can form your own strategy while monitoring your financial portfolio on a regular basis. This is how you safeguard yourself from any haphazard selling and buying spree when the market behaves unnaturally and shows up drastic changes in the price ranges of various scripts. If you are an equity fund investor, it is advisable that you make it a habit to monitor your portfolio regularly. Every mutual fund investor should keep in mind that once investments are committed it is his/her duty to monitor the performances of his/her scripts in the market. This is the key to ensure financial success in Portfolio Monitoring in this volatile sector. Paradigm Capital Management, Inc. has served institutional investors since its inception in 1994. Paradigm offers significant capacity in proven small-cap strategies with risk/reward characteristics designed for institutional investors. The firm is dedicated to providing responsive service and detailed portfolio insight through a combination of dedicated client service professionals and access to the investment team. For additional information, please contact us at (518) 431-3500or visit here: http://paradigmcapital.com/