One thing to expect from any financial planner
 Although
each financial plan must be as unique and individual as the
person it is created for, there is a universal approach in
creating it. There is a proven 6 step formula that every financial
planner should go through.
This 6 step formula, or another similar approach, is one
thing you should look for and expect. If you don’t get
it from your financial planner, get another financial planner.
Step 1: The planner should
begin by helping you clarify your present situation. As a
first step, they should look at your assets and liabilities
and any relevant financial data. This could include things
such as tax returns, records of securities transactions, insurance
policies, wills, pension plans, etc., etc.
Step 2: They should discuss
your financial and personal values and attitudes and based
on these help you determine your financial and personal goals
and objectives.
Step 3: They should analyze
your situation and identify financial problems that can create
barriers to achieving your goals and objectives.
Step 4: They should provide
you with a strategy custom tailored to meet your unique needs,
along with the pros and cons of each.
Step 5: They should then assist
you in putting the strategy decided on into practice. And
when necessary, they should work with your other professionals
(tax experts, lawyers, accountants, etc.) who may be required
from time to time.
Step 6: Finally, your financial
planner should provide periodic reviews of your progress and
when called for, should revise your strategy to make sure
your plan stays on track toward achieving your goals.
It is not critical that the above be provided to you in “6
steps”. What is important that all of the elements described
above be covered. Only then can you be sure that your plan
will be comprehensive, structured for you and effective.
If you’d like to get more information on how a financial
planner can help you make more of your wealth, click
here to find the RBC financial planning professional closest
to you.
Important information about our financial planning services can be found at the bottom of our
homepage.
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