Men are more likely than women to check their investments regularly, a survey has found.
Two-thirds (66%) of men check their portfolios at least once per month compared with 38% of women, according to M&G Investments.
Younger investors are also more likely to check their investments often.
Two-thirds (67%) of millennial investors aged 18 to 34 check their portfolio at least once a month compared with less than half (48%) of investors aged 55 or over.
The research also found women appear less likely to make shorter-term decisions, with just one in six (17%) making changes to their portfolios once a month or more, compared with over a quarter (27%) of men.
Meanwhile, two-fifths (42%) of millennials make changes to their portfolios at least once per month, versus just over one in 10 (12%) of those aged 55 and above, the survey of over 2,000 people found.
Ana Cuddeford, investment director at M&G, said: “Financial Planning Week is a perfect time for investors to take stock. While you should always think long-term when investing, it is also important not to let the dust settle on your portfolio.
“Women appear to be taking a more patient approach with their investments, while men are more likely to make short-term changes.”
She cautioned that changing investments too often “can be as detrimental as letting your portfolio go stale”.
Ms Cuddeford continued: “An annual review is a good idea to make sure your money is working as hard as possible.”
- Before investing, sort out your debts and make sure you have savings to cover emergencies. It has been recommended that people have three months’ essential outgoings available in an instant access savings account
- It is a good rule of thumb to review your investments once a year. Key life events like getting married, having a baby or changing jobs should also trigger a proper review of your finances.
- Investing is for the long term. Too much trading means you could be out of the market at the wrong time and could also increase the charges you pay, reducing your returns.
- To decide whether your investments are working for you, first consider your goals. Ask yourself: What am I investing for? How long before I need to access the money? How much risk am I prepared to take with my investments to meet my goals?
- Now consider whether your portfolio still has the right level of risk for you – as over time, as various funds and assets perform differently, you could be potentially exposing yourself to more risk than you are comfortable with.