A new year has come, and perhaps there have been new concerns or questions about your financial situation. When in doubt, you can always get a professional opinion from your adviser. You may want to consider some of the following points with your adviser to help gain more understanding of your financial position in the New Year.
1) Do I need to adjust my time horizon?
Every year unexpected things can happen. We have all been there. Whether it was a spike in insurance fee or a sudden fall in income. It could be a good idea to ask your adviser to see if the current plan is adjustable to these changes? Life expectancy is still increasing for most people so it won’t hurt to review your financial standing each year to help you live your life as comfortably as you wish into retirement.
2) What is my current net worth?
Net worth is simply what you own (the assets) minus what you owe (the liabilities). Knowing your net worth could help determine if the current risk and investment strategies are suitable for you. It will also indicate if you are in a good position for retirement or if you can tick any items off your shopping or bucket list.
3) What’s on your adviser’s approved product lists?
Every financial adviser in Australia has a list of approved products they can recommend to their clients. Having a bit of knowledge about this list will make you more informed about where your money is going and provide you with more transparency in your decision-making. Some advisers are specialists’ in ethical investments, others in retirement or investment risk. If you are interested in such information, talk to your financial adviser about their lists and the different areas they may specialise in.
It never really hurts to ask more questions to clarify your thoughts. More knowledge and informed information can help with your decision making and lower any stress and anxiety you might have about your finances. With this in mind at the beginning of 2016, Adviser Ratings would like to wish everyone a prosperous and hopefully trouble-free year ahead!