How a Skilled Financial Planner Can Make a Difference

These days, enlisting the help of a skilled financial planner isn’t just nice to have. It’s a necessity. Whether you need basic investment advice, a detailed retirement plan, or even just a sanity check, these experts can make a profound impact on your financial well-being.

Aside from helping you decide what to do with your money, financial planners can provide freedom from worry and a sense of empowerment so that you can chart your future with confidence.

With the rising cost of living and stagnant salaries pushing South Africans into debt, there has never been a more pivotal time to take control of your finances. It’s a daunting task to tackle on your own, so here’s how enlisting the services of a skilled financial planner is guaranteed to help.

Saving You Time and Money

From taxes to estate planning, there are several financial aspects to consider, and it isn’t always easy to know where to start. As much as it’s possible to research and implement your own financial plan, trying to do everything yourself is guaranteed to put you on a sure path to burnout.

If you’re going in circles, an experienced financial planner can step in and help you stay organised while setting meaningful (and achievable) goals that work for you. These experts have the education and overall knowledge, tools, networks and resources, which you may not have access to. This allows them to cut through the noise, sift out fact from fiction, and ensure that you receive the correct information exactly when you need it.

Ultimately, financial planners have all the necessary skills to create a customised and dynamic strategy that considers life’s various milestones (marriage, kids, retirement, etc.) and unexpected risks and challenges that may not even have crossed your mind. They can further help you optimise your tax strategy by identifying efficient investment options and ensuring you take advantage of available tax deductions and credits.

Tip: A skilled financial planner will make you feel safe and financially cared for. If you meet with someone who starts talking about a product immediately, they are not helping you plan but instead trying to sell you something.

Greater financial awareness

It takes time to understand the ins and outs of finance, but working with an expert will set you on the right path. You’ll learn a lot, which is one of the most valuable perks of working with a skilled financial planner.

By partnering with a professional who understands your goals, you’re guaranteed an impartial perspective of your finances through each stage of life. Emotions can wreck even the most water-tight financial plan, so having a trusted financial planner to protect you from yourself will always prove invaluable. It’s important to have that emotional guardrail – someone who can talk you down from the ledge and encourage you to think objectively about your finances when you’re unable to. No need to second guess. Whether you’re planning for retirement or saving for your child’s education, a professional will ensure you’re always on the right track.

Tip: Everyone has the opportunity to make some real progress on their financial journey. Ask your advisor for books and resources to level up your financial literacy. As a start, I recommend signing up for the free Vesact newsletter.

Adequate diversification

Inadequate portfolio diversification is easily one of the most common investor mistakes. A skilled financial advisor will be able to implement a diverse investment strategy that reduces your investment risk while ensuring that financial returns are maximised.

By carefully selecting a range of diverse asset classes, they can help minimise the impact of market volatility on your portfolio. Constantly having an eye on market trends allows them to adopt a proactive approach to achieving a well-balanced and resilient portfolio.

If you’re unable to live abroad (or don’t want to) but are concerned about the political and economic situation and how that will affect your money, a skilled financial planner can help you with offshore investing. This investing option has experienced a significant rise in recent years, particularly for South African investors and their families looking to protect their financial future.

Tip: South Africans have an annual discretionary allowance of R1 million and an annual investment allowance of R10 million that they can use to invest offshore. The process is also relatively easy if done through a reliable planner.

The gold standard of financial planners

Financial planners are professionals trained to help you make smarter financial decisions. Depending on their qualifications, they can offer advice in various areas, from investments and taxes to estate and retirement planning.

According to PI Financial Intelligence Services, we have around 3,500 practising CFP®-accredited (Certified Financial Planners) professionals in the country (myself included), with a further 11 750 general financial service providers (FSPs) and 197,000 representatives. Overall, a credible financial planning practice or advisor will be registered with the Financial Services Conduct Authority (FSCA) and have a legitimate FSP number.

While there are plenty of professionals to choose from, it’s essential to be mindful when selecting the right person or company to assist you. Although financial services is one of the most heavily regulated industries in South Africa, you must still do your due diligence. What you’re looking for is someone with the proper knowledge and expertise and a solid reputation to back it up.

A skilled financial planner should be able to connect with you personally, understand your goals, and make you feel secure. You should also get a sense that they are competent and genuinely have your best interests at heart. Remember, as the client, you have every right to expect outstanding financial service. Don’t settle for anything less.

Ready to feel more in control of your financial future? I’m here to help. Get in touch here, connect with me on LinkedIn, or drop me a direct email: giles.maynard@carrick-wealth.com

I’m Giles Maynard. I provide individual investment and wealth management services for private clients and companies. I have been trusted by clients, large and small to manage, protect, and preserve their wealth. How can I help you with yours?