The Week Ended 5 January 2019

Tuesday 1 January – For those with a New Year’s resolution about financial planning

An overview of what to expect from financial planning. It is a process. Plans are not very helpful, but planning is. Intended for advisors and their client to use as background to the development of a useful relationship and eventual success.

Reading time about 4 minutes

Key elements:
  1. Strategy matters and only client knows what it should be.
  2. Advisors clarify
  3. Advisors provide the tactics to implement the strategic process.
  4. Regular review and revision is necessary

Wednesday 2 January – When I Grow Up

A Reprint – Reading time about 30 seconds

Characteristics of children that would be useful to hold in later life.


Thursday 3 January  – Life Insurance Answers A “What If?” Question

A discussion of life insurance in the context of what it is for and what it does. Reading time about 3 minutes

Intended as a discussion piece with a client.

Key Elements
  1. Clients should assess the effect of a death in terms of need for morer assets or more liquidity.
  2. Life insurance is a tool and should be assessed in terms of what it does.
  3. Clients should know what the specific purposes are before deciding the insurance format
  4. There are four ways to create liquidity in an estate. The options can be compared on a cost benefit basis.

Friday 4 January  – Counterfeits Everywhere

A Reprint     Reading time – about 2 minutes

Key Elements
  1. Concerns about product, people, positions, and institutions that are not as they seem.
  2. People often hold values for a thing that were created years earlier and may no longer be true.
  3. Clarity and validation are important aspects of simplifying life is important

Saturday 5 January – Avoid “Either-Or” Thinking

A call to value process over specific goals and outcomes. Reading time  about 3 minutes

Key Elements
  1. Assessing success or failure based on an outcome is debilitating for life decisions
  2. Life is far to complex to be able to include and defend all the variables
  3. Process is self correcting and builds on experience
  4. Considers “resulting” as expressed by Annie Duke in “Thinking in Bets”

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