Investing money? Then invest your time first – in planning

When looking at financial planning, it's just that, planning. We have seen a long period of turmoil in the markets, clients feeling uneasy about where to invest. Even the banks do not have the same secure appeal they once appeared to have.

So what do you do? All is not doom and gloom. We have seen many clients benefit from excellent returns over the last year as some markets showed signs of recovery. There are so many places to consider investing and many people, given low interest rates and therefore poor deposit returns, are now starting to once again consider alternatives.

However, it is not as simple as just picking the best returning fund of the moment! Planning, careful analysis and a portfolio designed specifically to cater for the individual needs takes time and understanding.

When we talk about investments, most people relate this to investing a lump sum of money for future capital growth, and this can be very true. However, it also means investing for income, managing the investment in a pension fund, building up a future capital sum for a special event or ensuring that an investment designed to repay a mortgage is on course to do just that.

It is essential to remember that YOUR money is for YOUR personal circumstances and therefore YOUR needs must be taken into account.

• What is the money for?
• What is your tax position now and is that likely to change when you require the money?
• Is it for a specific purpose at a specific time?
• Is it for capital growth or income or both?
• What is your attitude to risk? Has that changed since you last invested?
• What is your total capital wealth?
• Do you have sufficient short term funds or emergencies?

...and much more

Obtaining truly independent financial advice from a qualified adviser is essential. Some companies claim to be independent when in fact they are not. They may work from a pre selected panel or tied to a certain company's product. Always look for the independent logo and agree how you will be charged for any advice given, before you commence with their service. Some may charge a fee, others commission and some a mixture of both. However, you should ensure that the charging structure suits your personal preference and details are given prior to any advice being given.

It is important to ensure your investments are reviewed on a regular basis as your needs and circumstances may change, as well as your risk preference as markets change.

For more information contact Jeremy Leslie-Smith on 01202 840900 or email: This e-mail address is being protected from spambots. You need JavaScript enabled to view it . Visit: www.alexanderprice.co.uk/