PLAN­NING FOR UN­CER­TAIN EVENTS AND THE FU­TURE

Style Magazine - - Promotion - BY LEANNE MCDON­ALD, CRE­ATE FI­NAN­CIAL SO­LU­TIONS

For many of my clients – as well as for me – un­cer­tainty is one of the most frus­trat­ing pieces of the cur­rent eco­nomic and fi­nan­cial en­vi­ron­ment.

Plan­ning for re­tire­ment and other goals has be­come just that much more dif­fi­cult.

A lit­tle in­sight about the fu­ture sure would be wel­come. Truth is, we can’t know the fu­ture. With the ex­cep­tion of cer­tain un­de­ni­able fore­casts, like the one about death and taxes, I can­not tell you what will hap­pen later to­day, let alone what the fu­ture holds. No one can. Yet, to some de­gree, we long for at least a lit­tle sense of cer­tainty to help us make plans.

That may be why it’s so easy to make as­sump­tions about the fu­ture based on the past.

So what can we do with this frus­tra­tion? We can plan for the fu­ture. The plan­ning we do is based on what we know about life, and es­pe­cially, what we know about the fi­nan­cial world in which we live. What can’t you know?

◆ You can’t know when your life or that of a fam­ily mem­ber will be sig­nif­i­cantly changed.

◆ You can’t know what’s go­ing to hap­pen with the over­all econ­omy.

◆ You can’t know what’s go­ing to hap­pen in the real es­tate mar­ket.

◆ You can’t know what’s go­ing to hap­pen to the stock mar­ket.

◆ You can’t know when your em­ploy­ment will be dis­rupted. Here are three key fi­nan­cial points:

◆ Recog­nise that you must save money, for dif­fi­cult times as well as good times.

◆ Put your in­vest­ments in a va­ri­ety of fi­nan­cial in­stru­ments.

◆ Use in­sur­ance to trans­fer some of the risks of un­cer­tainty to some­one else.

Newspapers in English

Newspapers from Australia

© PressReader. All rights reserved.