Financial Planning & Investment Planning
Financial Planning
Financial planning can be thought of as a roadmap. This roadmap is developed to help get you to where you want to be, whether it's a happy retirement, or financial confidence knowing your family will be provided for financially in the event of an unplanned disaster, maintaining dignity and quality of life, or leaving a bequest to a treasured charity.
Financial planning involves a process of six steps. Some plans are rather simple, some are more complex. The six steps generally are as follows:
- Establish & define the advisor-client relationship
- Determine the client's goals and gather data
- Analyze and evaluate the date
- Develop and present a plan
- Implement the plan
- Monitor the plan
These are the steps a CERTIFIED FINANCIAL PLANNER(TM) professional are required to follow. As a CFP(R) professional, I follow these steps to help the client get to their end goal.
Certified Financial Planner Board of Standards Inc. owns the certification marks CFP®, Certified Financial Planner™ and CFP® in the U.S., which it awards to individuals who successfully complete CFP Board’s initial and ongoing certification requirements.
Investment Planning
Risk tolerance is an important component in investing. An individual should have a realistic understanding of his or her ability and willingness to stomach large swings in the value of his or her investments. Investors who take on too much risk may panic and sell at the wrong time. Asset allocation is the implementation of an investment strategy that attempts to balance risk versus reward by adjusting the percentage of each asset in an investment portfolio according to the investor's risk tolerance, goals and investment time frame.
By using these two key points with clients, I can design a diversified portfolio using a variety of investments such as:
- Mutual Funds
- Stocks
- Bonds
- Variable Annuities
- Fixed Annuities
- Equity Indexed Annuities