![]() The information provided here is for general informational purposes only and should not be considered an individualized recommendation or personalized investment advice. Investments Markets And Economy Us Financial Planning What type of plan do you have to manage your investments-and what support works best for you? A documented financial plan-completed with a qualified professional-with guardrails, check-ins, actions steps, and triggers for when and when not to make adjustments (e.g., panic in a down market) is more impactful than a less formal plan without this support. The most impactful planning, research 1 tells us, occurs when you tap knowledgeable experts for their insight, but also for their coaching and support when you need it. "Plans" and "planning" come in many types. Why is this important? Among survey respondents who have a documented financial plan, 70% said they feel more in control of their finances, 90% said they feel confident that they will reach their financial goals, and 65% said they feel "wealthy." And feeling "wealthy" is much more than a dollar amount, as we've learned. They also have more access to information, education, and "noise." Most people likely want and will benefit from straightforward educational tools, insights, and guidance to "put the pieces together" to create a plan to build the assets needed for financial flexibility and freedom – then preserve and ultimately use those assets. Why do we seek out, and then follow, these sources in an area of our lives as important as finances?Īmericans have more access to investing than ever before. A third (33%) said they make financial decisions based on input from friends or "influencers." Yet, only 5% said that the financial advice they receive on social media is the advice they trust the most. No surprise that in this year's survey, respondents said that social media and friends effect how they think about and then "plan" investments-and money overall. Whether you're an experienced investor or a new investor-what principles and steps guide your strategy? A good plan helps put discipline, direction, and guardrails in place to guide us through the inevitable market swings so we can manage risks during times of stress, but also identify potential opportunities to continue to grow, preserve, and use wealth. Now, in a more challenging market, it's more important and beneficial than ever to set a clear path and have a plan that goes beyond picking a stock, a cryptocurrency, or a high-profile "winning" trend. Here's another thing I find encouraging: a record number of Americans have started investing in the last few years. ![]() But absent winning the lottery, we've found that building wealth through investing takes commitment, discipline, and a plan you execute over time. Done well, it's a step-by-step commitment to identify clear priorities then action steps to manage our financial resources to create stability and flexibility so we can use money to achieve our goals. Planning is about maximizing the effective use of the resources we have.Ī financial plan-that ultimately leads to a wealth management plan as financial assets grow-is a process. We all have resources-financial, social, and human. I've had the privilege to work with a number of researchers in the financial planning world and many professionals who have studied in academic programs, and it's interesting to note, this academic field has come out of the study of home economics and the effective use of our resources.
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |