Although most portfolios are long-term investments, you still want to re-evaluate your investments about three times a year. The economy and market are always changing. Some sectors will start to do better than others, and some may become extinct. Depending on the year, certain financial instruments may be better to invest in than others. Therefore, you should keep close tabs on your portfolio so that you can adjust it as needed. When considering stock, think about whether you would use the product or service the company offers. It is always wise to trust your gut. Look at financial reports and management. Invest in a company only if you believe it has potential. If you would not, then that company is not worth investing in. If your intuition proves wrong, then you probably shouldn’t be investing in stocks. Consider when you will want to start living off the income from your investments. If you can avoid living off the interests and dividends you receive, reinvest them right back into the markets. With enough time, compounding is a power that can take even trivially sized investments and manifest them into substantial portfolios that will serve you much better, later in time. If your employer offers any kind of match to your retirement contributions, such as 401k, invest up to that level of match. If they match dollar for dollar up to 5%, invest 5%. If they match one dollar for every two up to 3%, invest the needed 6%. Not doing so leaves free money on the table, which is among the worst mistakes you can make in investing. Locate some undervalued stocks. This may be tricky since the entire market appears to be on the decline. Do a full search for those that have a lower price than their expected stock value in the coming future. If that company is solid, and if they show promise with a low stock price, they may be a good choice.