Financial Planning

A financial plan is the road map for your financial life. It covers major financial areas of your life addressing aspects such as cash flow, savings, debt management, risk management, childrens education planning, taxes, retirement, estate planning, and of course, investments and a strategy for managing them. It is more than a guide. It is a written strategy that gives you a clear, pragmatic path to follow towards the accomplishment of your most important financial goals.

Having a financial plan is like having a travel plan - it identifies where youre going, how and when youll get there, how much will it cost, and things to do along the way. A personal financial plan looks at where you are today and where you want to go. Then it sets out all the steps you need to take to get there. Everyone who is earning should draw up a financial plan. The plan will help you get the most from your money and help you in achieving your financial goals in life.

Some people naturally resist the process of creating a Financial Plan. Initially, it seems overwhelming and/or just too much of trouble. However, the potentially devastating consequences of not having it are far greater than the initial discomfort that you experience of the process. For most people we have worked with, the hardest part is just making the decision to get started. Once the process has begun, most clients find it engaging and interesting.

Do you need financial plan?

Yes - if you have an income, a family or planning to have one in the future, retirement dreams, and for many other financial reasons / goals that are unique to you. No one can predict the future but one can certainly be better prepared for it. An effective financial plan will make sure that you are financially prepared to deal with the unexpected events and stormy times. If you dont have one, youre more likely to end up in a financial mess. On the contrary, if you have one and the recommendations thereon have been executed, most of your financial goals will be satisfactorily met. A good financial plan can alert you to changes that must be made to make sure a smooth transition through lifes financial phases, such as decreasing spending or changing asset allocation.

By developing a financial plan you and your family:

  •     Will have a better understanding of your current financial position.
  •     Determine attainable retirement, education, insurance, and other financial goals.
  •     Review goals, funding strategies, and alternatives to balance all goals.
  •     Have the necessary financial resources set aside to fund your goals as they occur.
  •     Reduce the effects of unexpected events such as disability, premature death etc.

You need not be very rich to have a financial plan. No matter how much you earn and at what age, a plan is important to make your life easier. As your financial situation influences almost every aspect of your life, a regular financial plan can help give you peace of mind and protect you from unforeseen, unfavorable situations. Once you have a working personal financial plan, you can use it to make informed financial choices. Having a good financial plan will allow you an over view of what you can afford. It will allow you to analyze your wants versus your needs. It also provides you a way to see how to avoid major financial mistakes in the future.

Risks of not having a financial plan:

  • You may be able to achieve what you want today but might not be able to achieve what you need few years down the line. Say, if you buy a new car now, you might not have enough funds later to buy your dream home.
  • You may not see the big picture. Say, you may grow your wealth by making good investment choices but end up being tax inefficient and pay more taxes than you need to.
  • You may take a short-term view of an opportunity and make rushed financial decisions, or fall into some scam trap. Worst of all, you may end up doing nothing (and just thinking of doing something) and never achieve your financial goals.
  • You might become a victim of mis-selling and build a corpus of investment products that neither suits your financial needs nor your risk profile.
  • You are very much likely to worry more about money and financial security. You may not know where you are today and where are you heading for.

Tips for Effective Financial Plan

  •     Be realistic with your investment returns; dont plan to outperform the markets.
  •     Account for market risk and dont assume the same return to repeat every year.
  •     Dont forget to plan for inflation, taxes and your financial planners fees.
  •     Review your financial plan regularly to see if you are on track or need any changes in the plan.

The need for financial plan is all the more very important in the turbulent economic times of today. If you dont have one till now, dont delay any more and Get it Now. Dont be self-satisfied that you will be okay whatever happens. Face the reality. Unless you develop a financial plan early, it will be too late.

Invest Online

Request a Call Back

  • MF News
  • Market News

Joydeep Sen The impact of the revised norms on returns from liquid funds would not be huge.
Mon, 04 Mar 2019 09:40:54 +0530

An evening walk down Dalal Street: Nifty#39;s movement suggests buying interest missing Technically, Nifty formed a bearish candle, but at the same time, it has been holding above crucial support levels, said Chandan Taparia of Motilal Oswal Financial Services.
Wed, 20 Mar 2019 17:31:24 +0530

An evening walk down Dalal Street: Momentum still intact, Nifty on track to hit 11,700 FMCG, telecom and energy indices rose over 1 percent each while capital goods, auto, and metal indices saw a bit of profit-taking
Tue, 19 Mar 2019 17:05:14 +0530

An evening walk down Dalal Street: Nifty on track to hit 10,700; SBI, BoB top bets among PSU banks Ritesh Ashar of KIFS Trade Capital is bullish on the market and expect the Nifty to climb 11760 levels.
Mon, 18 Mar 2019 17:32:20 +0530

An evening walk down Dalal Street: Nifty on track to hit record high by May 2019 Chandan Taparia of Motilal Oswal Financial Services said the index is all set to hit fresh life highs of 11760 by 8-10 weeks or by May-end.
Fri, 15 Mar 2019 17:24:41 +0530

An evening walk down Dalal Street: Don#39;t lose heart! Nifty has just taken a breather, rally intact Experts said it is now advisable to look at stocks which are displaying signs of a breakout.
Thu, 14 Mar 2019 17:32:52 +0530

An evening walk down Dalal Street: Rally may extend to 11,500, stick to quality stocks Yogesh Mehta of Motilal Oswal Securities said when the market moves from strong disappointment to optimism, retail investors should watch out for the stocks that they pick for their portfolio
Wed, 13 Mar 2019 17:15:57 +0530

An evening walk down Dalal Street: ICICI Bank, RIL among 7 stocks that investors can buy after today#39;s rally The market has been moving in one direction and that is up so far in March. The SP BSE Sensex has already rallied 1668 points while Nifty surged 509 points in the same period.
Tue, 12 Mar 2019 16:56:20 +0530

Evening Walk Down Dalal Street: Nifty, Sensex hits 2019 high; time to book profits or stay put? The SP BSE Sensex closed above 37000 for the first time since September 19, 2018, while Nifty50 reclaimed 11,100 levels for the first time since September 21.
Mon, 11 Mar 2019 16:53:25 +0530

Evening Walk Down D-Street: Elections and growth slowdown harry investors On a weekly basis, Nifty50 closed with gains of 1.5 percent while the Sensex rallied over 600 points or 1.6 percent.
Fri, 08 Mar 2019 18:23:57 +0530

Evening Walk Down D-Street: BoB, Tata Steel among top stocks which are looking attractive; here’s why IT stocks succumbed to selling pressure for yet another day as the rupee hit a 2-month high. Wipro was down 3 percent, while Infosys and Tech Mahindra shed a little over 1 percent each.
Thu, 07 Mar 2019 16:51:38 +0530

Evening Walk Down Dalal Street: Beaten down stocks could see double digit gains till elections Vishal Malkan, Founder Malkans View said it might be early to say that the pre-election rally has started but one thing is certain that March expiry will be better than February.
Wed, 06 Mar 2019 16:59:45 +0530

Evening Walk Down Dalal Street: Beaten down stocks could see double digit gains till elections Vishal Malkan, Founder Malkans View said it might be early to say that the pre-election rally has started but one thing is certain that March expiry will be better than February.
Wed, 06 Mar 2019 16:59:45 +0530

An evening walk down Dalal Street: A close above 11K could trigger short covering rally in Nifty Ashish Chaturmohta of Sanctum Wealth Management said once we see a sustainable move above 11,000, it could trigger short coverings in the market thanks to huge Put Writing seen around 11,000-11,200.
Tue, 05 Mar 2019 16:47:33 +0530

Evening Walk Down D-Street: Stability on geopolitical front will boost Nifty in March In February market was weighed down by Indo-Pak tension, trade war concerns, the rise in crude oil prices, concerns regarding lenders selling pledge shares, weak GDP data as well as mixed earnings from India Inc.
Fri, 01 Mar 2019 17:18:55 +0530

Closing bell: Nifty snaps 3-day fall, Sensex gains 196 pts; Midcap, Smallcap indices outshine The broader markets closed strong. All sectoral indices ended in the green.
Fri, 01 Mar 2019 15:30:57 +0530