In RealAdviser's first Interactive Financial Adviser of 2006, we focus on building and maintaining the perfect portfolio. Cherry Reynard talks to David Coombs, head of multi-manager at Baring Asset Management and Richard Philbin, head of fund of funds at F&C, about the golden rules of portfolio construction and the use of multi-manager
CR: Are there golden rules to follow when constructing a portfolio? RP: Have a plan set out from day one and constantly review it. One of the worst things to do is after you have built a portfolio is to not manage where it has come from and where it is going to. Clients' attitudes to risk can change, markets can change. And as time goes by you might need more income, you might want more growth, something can happen which can change your outlook and your attitude. Also, it is not about the buy decision, it is about the sell decision and being on top of it. DC: I think the golden rule is ...
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