The Basics of Portfolio Valuation Services 

portfolio valuation with a financial advisor
April 26th, 2023 0 Comments

The valuation and performance of varying investments in a portfolio are never stationary and change continually.  As a result, investors may want to do a health check-up on their portfolio on a routine schedule. This way, they can ensure they are on track to reach their financial goals. 

When monitoring your investment performance, portfolio valuation services are imperative. Conducted by a third-party expert, a portfolio valuation can double as a review of your financial health now. Additionally, you’ll know what to expect or alter in the months, years, or decades to ensure even more return on your investments.

With that being said, portfolio valuations can be difficult to navigate without the hand of a financial expert. So, if you’re not sure if you need portfolio valuation services, take a moment to uncover the basics of portfolio valuation analysis and review. Also, consider how you can connect with a portfolio valuation provider that can delve into the details.  

What is Portfolio Valuation? 

An investment portfolio includes all the investments owned by an individual, company, or other organization. They are then pooled together in order to reach a certain level of gains and profits. These portfolios typically include a range of familiar investments, such as stocks, bonds, and mutual funds. However, they can also include alternative investments such as real estate, commodities, personal property, and other assets that can be hard to value. 

A portfolio valuation estimates the value of each of these assets in an overall portfolio by analyzing the performance’s history, market trends, and other factors to create a clearer picture of their worth. 

Who Needs a Portfolio Valuation? 

Portfolio valuations are vital for all investors throughout the lifespan of their investment portfolios. Furthermore, they are especially imperative for investors aiming for short-term gains.  

An accurate portfolio valuation allows investors to make better investment decisions and adjust their holdings according to current conditions.  Additionally, they can identify and take advantage of new opportunities.  

Portfolio valuations are also inaccurate instrumental accounting, particularly when reporting profits or losses in annual tax returns. As such, an annual portfolio valuation (or even more often), can assist an investor in more ways than one. 

What Are the Common Portfolio Valuation Methods? 

There are a range of portfolio valuation methods that your financial advisor may utilize. However, the market, income, and cash valuation approaches are the three most common methods.  

These methods examine the current market conditions as well as bid/asks prices, but they can also try to gauge future gains and losses. Often, a financial advisor will apply varying strategies depending on the individual assets to garner a clear picture of the overall worth of an investment portfolio. For example, determining the valuation of stocks and bonds will likely entail a different process than determining the value of the real estate, art, or other physical assets. 

Guidelines for Portfolio Valuations 

Portfolio valuations require rigorous adherence to professional expertise. Therefore, the guidelines, rules, and regulations help ensure a steady valuation process across the board.  

The Generally Accepted Accounting Principles, the accounting standard adopted by the U.S. Securities and Exchange Commission, are the most widely used standards. Moreover, there are various acts that have been adopted to protect investors as well. These acts, such as the Private Fund Investment Advisers Registration Act and the Dodd-Frank Amendments to Investment Advisers Act, all provide additional guidance to the financial industry and help ensure investors receive the most accurate information possible.  

 Obtain an Accurate and Comprehensive Portfolio Valuation with Saddock Wealth 

The best way to obtain a clear picture of an investment portfolio’s value is to connect with an experienced and professional partner like Saddock Wealth.   

At Saddock Wealth, we routinely provide our clients with portfolio valuation analysis and review as part of a broader strategy to help our clients reach their short-term or long-term financial goals. An investment portfolio requires continued guidance on current and future strategies, withdrawal rates, and distribution. This also includes many other factors determining the overall return on investment. An experienced expert team best performs this intricate work.  

If you are not sure about your overall investment portfolio’s worth or simply want to identify new opportunities in your long-term financial planning, then connect with the team at Saddock Wealth today. 

Understand your individual goals and ambitions and perform a detailed portfolio valuation that leaves no stone unturned.   We can work together to ensure you are on track for a successful and financially secure future. 

Contact us today.  


Saddock Wealth