“…objective (measurable) advice that results in a plan to identify and manage current financial risks and achieve future financial needs and goals.”
Many institutions offer Financial Planning Services, however, in most instances this is done on a commission basis where the so-called “planners” are incentivised to sell products.
It is internationally accepted that Financial Planning is best done by way of a fee where there is no incentrive to sell a prodcut in order to justify time spent with a client. This results in more objective advice.
Financial Planning involves an internationally recognised 6 step process; they are:
- Establish and define client planner relationship
- Gather data and information from the client
- Analyse the data and develop the plan
- Present the plan (and alternatives)
- Implement the plan
- Review the plan on a regular (annual) basis
All work done at The Financial Coach™ follows the above 6 step process and our financial plans are written in plain English. we email these to clients so that they can review them before we meet with them to discuss it. If we enter into an ongoing financial planning relationship with the client, then by default we review the plan on an annual basis with the clients. In certain situations this is done more frequently but it is our experience thatthe more often clients review their portfolios, the more likely they are to focus on short-term “noise” and lose sight of the long term plan.
