Saturday, January 5, 2008

Step 4 - Develop a flexible plan

You and your planner will work together during this phase to develop your financial plan. Both of you will consider a range of alternative approaches based on the prioritisation of your financial goals. The specifics will depend on you, but we can tell you this: You will soon come to realise that the sprint you began in Step 3 has seamlessly eased into becoming a marathon.

You're committed to improving your financial life, and you're in it for the long haul. It is at this stage that an appropriate asset allocation model should be used to determine your ideal mix of investments. This mix will be based upon your risk profile and your investment time horizon, and shall form the blueprint of a specific plan tailored to your needs.