Time to put goals based investing in practice

Posted by Tom M. Snead on April 20th, 2021

We all want to save our money and invest it in the right place. You would be interested in how your money is to be managed, either out of your desire or just out of curiosity. Besides everything else, goals based investing is quite fascinating these days and this is affected by a lot of other factors in the world. Goals based investing is followed by most of the financial advisors in London ON and it is necessary given the current scenario.

Goals based investing is making investment decisions to achieve certain goals in life rather than just adding another objective such as any benchmark or so. Goals based investing is being compared to a lot of other investment options these days and when it comes to wealth management in London ON, understanding the same will surely help you.

The main difference between goals based investing and other investment strategies is how the progress is measured. When the investment is made and the profits are realized, check whether a person is getting close to the goals in life. Is the person able to pay for the fees of the children? Will the person be able to retire peacefully? There are plenty of investment strategies and they measure progress relative to the benchmark. Certain investors hope to achieve an absolute rate of return and all these methods fail to take into consider the personal goals of the person.

Let us look at some of the common goals that your financial advisor in London ON should take note of:

1.      Saving for an emergency

When you have invested a good amount at one place, it is important to measure how you can use the profits for an emergency. No matter how good the investment is, if you cannot use your money for any contingency in life, it is not going to be worth it. The goals based investing is going to cover all such things.

2.      Planning for retirement

Retirement planning is the need of the hour. It is true that the investment decisions will be affected by a lot of external factors such as the current or anticipated tax rates, expected income from social security and the age at which you would like to retire.

3.      Saving for college

This is a popular goals among many parents. This is a financial goal, which can be accomplished in many ways. You can talk to our financial advisor in London ON to know more.

Goals based investing is going to cater to all such goals and any other specific goal that you want to accomplish in life. If you are interested in such kind of investment opportunity, talk to our expert financial advisor in London ON. We would be glad to assist you further.

Tom M. Snead is author of this website and writes articles since long time. For further details about Financial Advisor in London ON and Wealth Management in London ON please visit the Website.