David Thomson: Weigh up your objectives when constructing an investment portfolio
David Thomson, chief investment officer at VWM Wealth, discusses investment objectives with The Herald:
“BEFORE starting to invest it is always wise to think about the return you require and the level of risk you can tolerate.
There are two other factors that need to be taken into consideration: first, your time horizon and, secondly, your capacity for loss: the consequences of your investment plans going adrift.
As a rule of thumb younger people have a longer-term horizon and can tolerate much higher risk levels in longer-term investments such as pensions.”