Have you ever jumped into your car, started the engine and just driven aimlessly, with no thought of where you are headed? No, I thought not. It is amazing however, how many people take this approach with their investment assets. This will often involve huge sums of money that have taken many years of hard work and disciplined saving to accumulate.
Without a clear objective or idea of what you are trying to achieve, it is very difficult to bring meaning to your money. When posed with the question “What are you trying to achieve?” common answers include “Growth”, “Income” or even “Outperformance”. This is why it is important that financial planners reframe the question and talk in terms of aspirations, goals, dreams, beliefs and visions.
In the past, many financial advisers have concentrated their efforts and time on the money and not enough on their clients and their real fears and burning questions. Questions like “What do I need to do to ensure that I never run out of money?”, “How much do I need to earn, save or sell my business for to give me what I want out of life?”, “When can I afford to stop doing the things that have become a drag and start doing things I really enjoy?”, “What do I need to do to ensure that my family is totally financially secure, whatever happens?” and perhaps the biggest question of all is “How much is enough?”
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