The value of financial advice is often misunderstood. People often assume the value centres around investments; determining the proportion of shares, property, bonds, and cash to hold in a portfolio, and how to manage and potentially reallocate them as markets move. But that's a simplified view. It's like saying the value of an elite coach is only in picking the starting team. In a similar way, focusing only on investment advice means the broader elements of financial planning — helping clients effectively manage their finances, enjoy life events and achieve their goals — is not often understood.
While 'investment advice' encompasses the act of investing assets, financial planning is that and so much more. It's about helping people navigate their course through life. If you could achieve your financial goals by simply putting money in the bank, you wouldn't need a financial plan. Buying a house, saving, budgeting, establishing goals, paying for education, weddings, and holidays are all important financial planning considerations. Financial planning is also about avoiding bad decision making and managing our impulses at critical times. Engaging a financial planner can bring significant lifetime benefits, through good times, and bad.
Giving people the freedom to pursue the joys of life, without financial concerns, is what financial planning is all about. Its broad-based advice calibrated to each person's hopes, fears, preferences, and dreams. Its success lies in enhancing someone's quality of life and accelerating their financial independence. Financial planning is never just a discussion about money; it's about what the money is meant to provide, and how and when it's to be used.
A financial planner will help you get your financial house in order and keep it that way — for life. Simply investing the money doesn't take into account, the "curveballs" in life. Maximising the utility of money throughout someone's entire life is crucial, and it all comes back to goal planning.
Research from the Financial Services Council of New Zealand highlights the importance of sound financial planning. More than four in five people across all age groups said their financial planner gave them greater peace of mind financially. Of course, this depends on securing the best possible advice. A good financial planner will always take the time to understand your needs, goals, and preferences before making any recommendations
At different times throughout our lives, we inevitably need the support and services of a host of different experts, whether that's an electrician, a lawyer, a dietician or an architect. What each of these experts has in common is that they provide solutions to complex problems. It's exactly the same with a financial planner. Providing investment advice is a very useful feature, but, on its own, it doesn't solve any of life's great problems. But when you wrap that advice around a comprehensive understanding of someone's unique personal situation and goals, and then tailor and manage a strategy to achieve them; well, that can certainly transform lives
Lifetime are delighted to launch the Lifetime Planning Service for the Judiciary.
In addition to the Judiciary Group schemes, in 2023 Lifetime is also able to offer a Lifetime Planning Service to the members of the Judges Association of New Zealand (JANZ). No matter what age or life stage, we are here to help you achieve your financial goals.
For further details, please see the associated flier on this new service.
