You can also use this checklist to compare financial planners and ensure you are getting financial advice that covers the basics. For more information about financial planning, please contact Intellichoice on 1300 55 10 45 and we will assist you in determining the best financial plan for your particular needs and circumstances.

Are your shares diversified across companies and classes?

If your investment portfolio consists of only Company A shares, your losses would be much greater than if you held a portfolio of shares across many different companies.

As well as diversifying your shares, you should also consider diversifying across different asset classes. Property has performed well over the last few years and international shares have performed poorly, but will the same be true next year?

Have all your investments been considered together as a portfolio?

It is possible to increase returns and reduce risk by considering your investments as a whole, rather than individual parts.

Do you know the level of risk in your investment portfolio?

Some investments are more likely to lose value over any given period. Not surprisingly, these investments are also the ones with the greatest likelihood of a large increase in value. Do you know what level of risk is in your portfolio compared with alternative portfolios? This may be complicated and you should seek professional financial advice from a financial advisor.

Are you comfortable with the level of risk in your investments?

Are you are comfortable with the thought of losing money in the short term? Are you prepared to ride out these poor years? Although you would normally be rewarded over the long term with higher returns if you have a higher risk portfolio, high risk investments may not be suitable for you if you are risk adverse.

Are your investments compatible with how long you will be invested?

One size does not fit all when it comes to investments and the time period you will be investing. For example, shares do not suit short-term time horizons like one or two years – they are more suited to investors who will be invested for over five years.

Do you know how your investments are performing?

It is important that investment strategies are maintained over their expected time horizons. However, performance should also be considered when reviewing a strategy. Most importantly, all investors like to know how their investments are performing and how they are tracking against their plan. Do you know how your investments are tracking?

Have you got protection?

The best laid plans should always include a Plan B in case the unexpected happens, like injury or death. Do you have insurance if the unexpected happens? Is your family protected in case something happens to you?

Gearing allows you to borrow funds to help you reach your financial goals and objectives sooner. Have you considered geared investments, for example, margin lending? If you already have gearing, are you aware of, and comfortable with, the risk that you are exposed to?

Are you making use of tax concessions?

Not all income is taxed in the same way or at the same rate. Are you taking advantage of the tax concessions provided by the government with select investments or superannuation?

Do you have a financial plan?

A comprehensive financial plan should cover each of the areas above and help you to document your goals and the strategies you will take to achieve those goals. The financial plan should be constructed by an authorised financial planner.

Is your financial plan current?

Financial plans should be regularly reviewed to take into account your changing needs, circumstances and changes in legislation.

For a review on your current financial plan to ensure that it still suits your needs, or if you are interested in setting up a financial plan to grow your wealth, call 1300 55 10 45 now to speak to a financial planner from Intellichoice.