1.current valuation on house/land ownership less amount owing to the bank (if any). 2.Do not include possessions such as standard cars, or furniture or items that may be worth a lot to you but possibly less if you tried to sell them, value in this test is zero. 3. Cash, what you have in the bank, not what someone owes you, unless it's an outstanding invoice with less than 30 days to collect. 4. Gold, physical. 5. Gold, etf's or unallocated. 6. Equities, gold shares or any other stock held. 7. Fine art & collectibles, be Conservative and realistic.
Also note, include your superannuation in the above figures, if it is not a self managed fund then calculate it as cash item 4, the value should be if you liquidated it tomorrow. If you are in a relationship you should include combined assets.
Take the time to do the math, and it will give you a rough idea if you're a bit too heavy in one sector. I've listed my percentages below, I've combined my personal assets with my company assets. Don't take disaster into account, but if you sold all of your assets tomorrow (strictly as per the list above) what is you percentage allocation. Mine is as follws: 1. Property 65.5% 2. No allowance, this should be zero for general possessions. 3. Gold physical 8.5% 4. Cash 17.5% 5. Gold, etf's or unallocated 0% 6. Equities, gold shares or any other stock held 7.5% 7. Fine art & collectibles 1%.
Some might say I'm too heavy in property, but this is my home, and I spent a large portion of my life buying it, my superannuation is not as large as I would like it to be, but the plan was always to downsize our home when the time is right, and tip the balance back into super. I have a SMSF so my above percentages includes equities and gold, therefore not all of my super is allocated as cash. 17.5% Cash is my second largest asset, because if feel that the equities market is way over valued and there will be an opportunity to decrease cash and increase equities. Anyway, I'd be interested in seeing other people's allocations/comments/suggestions. And it's not a bad exercise to see what your position is even if you don't comment.
