How Often Should You Review Your Investments?
Investing is not a one-time decision. Markets change, your personal circumstances evolve, and your financial goals can shift over time.
That’s why understanding how often you should review your investments is an important part of long-term financial planning.
Regular reviews help ensure your portfolio remains aligned with your objectives, risk tolerance and time horizon. But reviewing too often can be just as harmful as not reviewing at all.
So, what is the right balance?
The Short Answer: At Least Once a Year
For most investors, an annual investment review is the ideal baseline.
A yearly review gives you enough distance to assess meaningful changes without reacting emotionally to short-term market movements. It allows you to:
- Check performance against your goals
- Rebalance your portfolio
- Review fees and tax efficiency
- Ensure your risk level is still appropriate
- Update plans based on life changes
Think of it like a financial health check.
When You Should Review More Frequently
While annual reviews work for many people, certain situations may justify reviewing your investments every six months or even quarterly.
You may need more regular reviews if:
- You are approaching retirement
- You rely on investments for income
- You’ve experienced a major life event (marriage, divorce, inheritance, business sale)
- Markets are particularly volatile
- You’ve made large additional investments
The closer you are to needing your money, the more important regular monitoring becomes.
Why Reviewing Too Often Can Be Harmful
One of the biggest mistakes investors make is checking their portfolio too frequently.
Daily or weekly monitoring can lead to emotional decisions, such as selling during market downturns or chasing short-term trends.
Successful investing typically rewards patience and consistency rather than constant adjustment.
Remember: volatility is normal. A review should focus on long-term direction, not short-term noise.
What an Investment Review Should Include
A proper investment review goes beyond simply checking returns.
Key areas to assess include:
Performance in context
Are your investments performing appropriately for the level of risk taken and the current market environment?
Asset allocation
Over time, some investments grow faster than others. Rebalancing ensures your portfolio doesn’t drift away from your intended strategy.
Risk tolerance
Your capacity for risk may change as you get older or your circumstances evolve.
Tax efficiency
Using allowances such as ISAs and pensions can make a significant difference to long-term outcomes. (Read HMRC guidance )
Costs and charges
Even small fee differences can have a meaningful impact over time.
Life Changes Trigger Investment Reviews
Some of the most important reviews happen after major life events rather than at set calendar dates.
You should revisit your investments if you:
- Change jobs
- Receive a bonus or inheritance
- Buy property
- Start a business
- Plan for retirement
- Experience changes in family circumstances
Financial planning should evolve alongside your life.
Read how often you should review your pension
The Value of Professional Reviews
Many investors struggle to know whether changes are necessary or whether they should stay the course. This is where professional guidance can add value.
An independent financial adviser can help you:
- Keep emotions out of decisions
- Ensure your strategy remains aligned with your goals
- Identify tax planning opportunities
- Coordinate investments with pensions and estate planning
- Make informed adjustments rather than reactive ones
Regular structured reviews often lead to better long-term outcomes.
Final Thoughts
Understanding how often you should review your investments is less about picking a rigid schedule and more about maintaining awareness.
For most people, an annual review supported by additional reviews after major life events provides the right balance.
The goal isn’t constant change; it’s staying aligned with your long-term plan.
If you haven’t reviewed your investments recently, now could be a good time to take a step back, reassess your strategy and ensure your money is still working towards the future you want.
This blog provides general information and does not constitute personalised financial advice. Speak to a regulated financial adviser about your specific circumstances
