Safety In Numbers

For those would be investors who only want to pick “winners” the idea of handing over all your investment war chest to a professional, and counting the value once a year at tax time would be absolutely horrifying.

The best-known investment company in the world is undoubtedly Berkshire Hathaway whose share price fluctuates at hourly intervals during each day that the New York Stock Exchange operates, but arguments would continue to be long winded about how the market was progressing.

In Australia we are blessed with a huge range of individual managed funds whose daily (NOT hourly) valuation reflects the whims of thousands of investors throughout the country. The current value of your investment, either in a single company or a portfolio across many companies, is, unfortunately, never based on a realistic valuation of all the assets of the company less all its liabilities.

Why not relax and only look at values on June 30th each year.