In a world where automation and convenience increase the options we have in so many areas of our lives, investment options have also increased significantly.
The increased automation in Financial Advice, where consumers can use automated tools (usually websites) to get financial advice without (or with very little) human intervention is something that may appeal to investors who are confident that they can do it (invest their own money and manage their finances) on their own.
Before you decide to go the DIY route, ask yourself if you will be able to:
- Create your own financial plan, accounting for financial rules, tax and financial assumptions.
- Understand investment management, where the returns come from, and what a financial asset is.
- Control your behaviour though all market cycles; fads, fears, euphoria and Armageddon.
- Force yourself to invest a just about uncomfortable amount each month and know the numbers you’re trying to achieve.
- Insure yourself against bad surprises and protect your family if disaster strikes.
- Know when you can retire with the key goal to outlive your money.
- Be a critical thinking partner to yourself, challenge your own preconceptions about money, business and life.
Managing your finances and investing isn’t just about picking a fund to invest your money. It’s about understanding how much is enough to allow you to do the things you want to do in life, it’s about protecting you and your family if disaster strikes and it’s about using the money and assets you have as efficiently as possible to ensure you never run out of money.
DIY investing which Andy Hart, a well known UK advisor, calls the “No Help” option, is not suitable for the vast majority of people.
Get a good Financial Advisor who has the right skills to really help you and increase your chances of a happy ending.
Enda Brady BBS, QFA, SIA, CFP®
A Certified Financial Planner™ professional
iQ Financial
www.iqf.ie
