Financial Planning - Step 3
How do I get there?
This is where you start to plan like the professionals would. Having looked at where you want to be and where you are now you can start to consider how to get there.
Investor Profile says:
Assess your existing investments and decide whether they are doing for you what they should be.
Are they simple to understand? Are they low cost? Can you keep track of them easily? Do you have objectives for each of them?
Don’t be afraid to reshuffle your investments. If it means they will be more suitable for you then it’s worth doing. Do be aware of any potential cost or tax implications when selling investments.
Set up a cash reserve, a short term portfolio, and then a long term portfolio.
Make sure these ‘pots’ of money reflect your lifestyle, your goals and your future cash flow needs.
Make sure you’ve protected yours and your family’s lifestyle. Having protection products in place such as life assurance, income protection and critical illness cover can make a big difference to someone’s life.
Make a will. Getting your money to do what you want it to while you are alive is important, but so is knowing where your money will end up. This will afford you peace of mind.
Back to...Step 2 or Read on...Step 4
