IFA

The Importance of Financial Planning

Is financial planning necessary? Take for example an ordinary employee working 8 hours-a-day and 5 days-a-week. What is he working for? The answer may be for economic survival, daily spending, or he may be able to save some money every month and start accumulating wealth. However, most people usually just focus on gaining capital, and often neglect the importance of planning an efficient use of their already accumulated capital. Without good planning, your earned income will not be put to efficient use in working for you . In a comprehensive financial plan, your capital will appreciate as you add to it AND as it multiplies from your investments. You will then more easily achieve your financial goals, including family protection, funding for children's education, funding for property purchases, to maintain your lifestyle during retirement and for wealth distribution.

What is an Independent Financial Adviser (IFA)?

An IFA works independently for clients rather than representing an investment company or insurance company. Typically an IFA will conduct a detailed study of the client's financial position, investment preferences and financial objectives, being known as a ‘factfinding' process. Then, an IFA can advise appropriate action to meet the client's objectives; and if necessary recommend a suitable financial product or package to match the client's needs. This may include insurance products, investment products and services, estate planning and tax solutions. As such, IFAs are client-centred, instead of being product-oriented.