Purpose of Planning
This report has been prepared to assist in the analysis of your current financial position and to help you identify steps that you can take to assist you in achieving your personal financial goals and objectives. Although great care has been taken to ensure the accuracy of this report, it should be kept in mind that projections, by their very nature, are based on a variety of assumptions and as such it is likely that the actual results achieved will be somewhat different than illustrated. For this reason it is very important that you review your strategy on a regular basis to ensure its timeliness and relevance to your changing financial position. Return to J & S Jones Sample
When planning, it’s important that we take into consideration all of your goals and objectives. It’s also important to recognize that there are events that could prevent you from achieving these objectives, even if you have a personal financial strategy in place. Contingencies that can destroy well-laid plans are premature death, suffering a sickness or injury; other cash flow crunches and yes, even living too long!
Can you sleep at night knowing that whether you live to long, die too soon or get sick along the way that your favourite people in the world will be fine?
To determine your needs in the event of premature death, disability or living too long we do a detailed analysis that recognizes exactly what you would want to have happen in each of these scenarios. This analysis takes into consideration the impact of inflation and assumes a pre-tax rate of return that’s appropriate given your recommended portfolio and overall goals.
It’s difficult enough when a family has to deal with the emotional stress at the loss of a loved one, or a loved one who is laid up, or someone who is running out of money with the added burden of financial anxiety….. It has been said that, “the difference between an old man and an elderly gentleman, is the jingle in his pocket. Make it a point of always having some jingle in your pocket. By recognizing the impact of living to long, dying to soon or getting sick along the way, you can protect you and your family from potentially tragic results.
The purpose of a having a Personal Financial “Income Planning” Strategy is to provide you with a roadmap of what you need to do to achieve all of your financial goals and objectives. Having this financial roadmap will help you make more informed decisions about what you spend, save or invest. How important is making “more informed” decisions? This report will clearly illustrate that the decisions that you make today will indeed determine tomorrow’s destiny.
It’s important to understand that this initial financial “income planning” road map will not stay “current” forever. It will become outdated with changes in your goals and objectives, tax laws and other personal economic circumstances. Thus, it’s important to have your Personal Financial “Income Planning” Strategy updated on a periodic basis.
A personal financial assessment is designed to help you evaluate your current financial position and your ability to achieve your objectives for the future.
Your ability to maintain your lifestyle objectives for the future is determined by your investment capital and ongoing revenues and other sources of income. In analyzing your situation we need to consider what is achievable given your current position and how we can take best advantage of the assets you have accumulated.
Take the worry out of your Personal Income Planning Strategy and guarantee that you are on the right road going in the right direction
An Investment Policy Statement (IPS) provides the framework for your investment decisions. The IPS ensures that the decision-making process with respect to the management of your portfolio will be consistent, even when unexpected market fluctuations tempt distraction from your long-term strategy. Investment recommendations will always be made in concert with the guidelines that we agree upon and outline in this document. I view the development of an effective IPS as imperative - the essential foundation upon which our work together will be based.
Investment Philosophy
Risk Tolerance - Based on our discussions and your responses to specific questions regarding variability of investment returns, we have determined that your tolerance for investment risk is moderate. An understanding of your personal risk tolerance helps define an investment strategy that you will feel confident maintaining through market ups and downs.
Involvement - You want to have some active involvement in monitoring your portfolio and would like to be advised regularly about the status of your investments. We will work together to define the extent to which you wish to be personally involved as well as the nature and frequency of our communication. Market Timing – While you believe your investment strategy should have a long-term perspective, you also believe superior returns can be earned by taking advantage of short-term market trends. Constraints – No constraints.
Investment Objectives Growth – While you believe that generating income in the future and having liquid funds available for emergencies and opportunities today is important, capital growth is clearly your most primary objective at this time. Liquidity - At this time, having liquid funds available for emergencies and opportunities within your portfolio is not a high priority.
