Problem: Your investments are so scattered, you can't see the big picture
Time Involved: Setup: 15 to 30 minutes to input portfolio information.
Upkeep: A few minutes to add or delete holdings as needed
Upkeep: A few minutes to add or delete holdings as needed
The Fix:
Perfect timing: Most likely you've gathered all your brokerage and fund statements together to do your taxes. Don't file them away yet. Instead, go to morningstar.com and enter the data for each of your stock and fund holdings in and outside your 401(k) into the Portfolio Manager tool. (If you've already entered this info on Quicken or a similar program or Web site, you can import the data instead.)
The tool allows you to track the performance of each of your investments and analyze your portfolio (the Instant X-Ray feature, for instance, will show your overall asset allocation). Being able to see all your investments in one place will make it easier to spot trends.
Are some of your energy or small-cap funds starting to take over your portfolio? You'll know and can take action - rebalancing, say, if the allocations are too far out of whack. That's something an out-of-date statement from one of your many mutual funds will never do for you.
