A model portfolio is one that is created with a specific idea or goal in mind. Of course, all investors want to make money and end up with more than what they had in the account when they started, but there are different ways of eventually reaching that goal, and these different types of portfolios can provide a variety of different benefits along the way. Here are some of the different goals you can have for your model portfolio and some tips for getting them done.

Specific Growth in a Certain Amount of Time

Do you have a life goal you want to tackle within a certain number of years? Maybe you want to retire in 30 years, or you want to send your kids to college 15 years from now. It's possible to get a model portfolio that will aim to get a specific return on the money you invest within a certain time frame. Keep in mind, of course, that the market is going to do what the market's going to do, and not all of these portfolios are going to crush or even meet their goal. But using the best analysis possible, you can identify companies that are likely to see a specific amount of growth within a certain time frame and then add those companies to your portfolio.

Regular Income Through Dividends

What if you want to make money every year and not just wait for a big payout in the distant future? It's possible to build a model portfolio that will focus on companies that pay high dividends to their investors. Figure out how much additional income you'd like to make on your investments and the amount you have to invest, and your financial advisor or your financial model portfolio building service or software will try to identify companies that meet your expectations.

Support a Specific Industry or Cause

If you feel a certain industry is going to take off or you only want to invest in companies that share the same worldview as you, a model portfolio can give you what you are looking for here as well. For example, you could only invest in companies that meet certain environmental benchmarks or only invest in companies that are known to be led by executives who lean a certain way politically.

Contact a financial model portfolio building service in your area today for more information