A written statement that outlines your goals and investment strategy is a must for all investors. When market risks arise for real, an investment policy statement helps you stay committed to your plan.
Creating Financial Plans
Financial planning depends on your answers to a lot of questions. Some of your responses will surprise you. So will the seriousness of some of the questions.
Cleaning up personal finances remains one of the top resolutions every New Year’s. We all know what happens to most such self-promises, so here’s a month-by-month to-do list to cultivate better financial health.
Sure you’re emotional. Everybody is. But when it comes to managing your investment portfolio, your emotion can be a treacherous – and costly – villain.
As Charles Dickens tells us in his celebrated Christmas fable, the self-defeating ways we behave financially are rooted in the past. Digging them out is the only way to fix what’s wrong.
Ebenezer Scrooge, the infamous miser of yuletide lore, can teach us a lot about money – specifically how to change our views on how we deal with it.
Regardless of the market conditions at the moment, the keys to successful investing are always the same.
When managing personal finances and investments, people frequently exhibit irrational behavior for different reasons. If you’re one of these folks, be fair to yourself: It doesn’t even take a spate of market zigzags like October’s to prod you into questionable decisions.
When taking on a partnered client, it takes two. I always want to meet with both parts of the couple. Sometimes, I am often disappointed to find women don’t want to play an active role in money matters. Planning investment strategies and long-term finances takes active input from both wife and husband.
Getting your finances organized in the first place is hard enough without constant saving, managing and scrutinizing every bank statement. Yes, you need to have a plan. But you also need to relax.