Steve planning presentation mar 11

1,441 views

Published on

Power point presentation on the value of having a financial plan

Published in: Economy & Finance, Business
0 Comments
1 Like
Statistics
Notes
  • Be the first to comment

No Downloads
Views
Total views
1,441
On SlideShare
0
From Embeds
0
Number of Embeds
20
Actions
Shares
0
Downloads
61
Comments
0
Likes
1
Embeds 0
No embeds

No notes for slide
  • “ Wouldn’t it be great to have a written financial plan so that no matter what happens in the market, the economy, or the world you still feel confident that you are going to achieve your goals?”
  • [Read Slide] Financial planning is not just about what you want to do with your money, but what you want to do with your life. Sometimes it’s a very difficult balancing act between your current needs/desires and your future needs/desires. It’s about finding the right trade-offs that will work for you at every stage of your life. It includes investment planning, asset management and retirement planning of course, but it also includes personal risk management and insurance needs, estate planning, sound day-to-day, year-by-year money management, and sound income tax planning. Most importantly, it’s about how all of those pieces fit together to form the optimum financial plan to make your finances work best for you.
  • I’m sure in the audience there are people who are either curious about financial planning, or worried about their own finances. So why do you need a financial plan? [Relate to the audience members here- do they look like soon to be retired, young people learning to plan- tailor your message]
  • Last year, FPSC commissioned a study to try and determine the value of financial planning for Canadians. This is the first year of a five-year longitudinal study - one that will be done with the same participants over a five-year period - and it seeks to show the importance and benefits that comprehensive financial planning has for Canadians. The respondents fell into three groups: 1. people who have undertaken “comprehensive/integrated planning” 2. individuals who have engaged in “limited, single-purpose financial advice” 3. people who have not done any planning at all The study delineated ‘comprehensive/integrated financial planning’ as that in which respondents said that they were working with a single advisor to “provide financial planning for major life goals and events” or a single advisor who assisted in at least three of the following advice/planning areas: household budget; Taxes; Retirement; Estate planning; Investing; Debt; Managing Risk. People with limited planning have generally undertaken one or two activities in isolation, with an advisor. We see that a small percentage – less than 20% - are getting comprehensive financial planning. Considering that the study demonstrated how important a comprehensive financial plan is to the well-being of ALL Canadians – not just the super-rich – Canadians would be a lot better off if this number were higher! Failure to plan may be a plan for failure. 42% of people without a financial plan simply do not know what to do to improve their financial situation- how to get out of debt, pay of credit cards, buy a house, plan for retirement, take a much needed vacation. These can all be very daunting tasks when you don’t have a plan in place. With a plan, and the advice of a financial planning professional to guide you along the way, the task is not so daunting.
  • [Read slide – again relate to audience participants] Whatever your own individual goals are- retirement with the lifestyle you want, being prepared in case of the unexpected, saving for your children’s education, upgrading your home, or a fun-filled vacation- a comprehensive, integrated financial plan can help you get on track to get you there. Remember, a financial plan isn’t about sacrificing the present for the future – instead, it’s a balancing act between the wants and needs of today, and your wants and needs of the future.
  • Maintaining your lifestyle is one of the most common life goals every Canadian has. Everyone has their own unique view of what their ideal lifestyle is to them. For some, it’s all about slowing life down, spending more time with family and friends, and getting away from the grind and stress of their busy careers. Others envision plenty of golf and fishing days, while some dream of globe trotting and trips to Paris to shop on the Champs d’Elyses. Others dream about volunteering and living a life filled with purpose. But whatever your idea of your ideal lifestyle entails, those with a comprehensive financial plan are almost 3 times more likely to feel that they are on track to live in the lifestyle they want.
  • Personal finances are one of the most common sources of stress amongst Canadians. And stress can have many different negative physical manifestations – not to mention the emotional drain. So it’s no wonder that those who have a comprehensive plan have greater peace of mind than those without a financial plan. Having a financial plan can help you achieve peace of mind and reduce your stress.
  • [Read slide] A financial plan can help you avoid the common mistake of living paycheck to paycheck- it can allow you to anticipate your needs based on your own unique situation. It can help you balance your books and reach your life goals, and more importantly, not wondering whether or not you will have enough money to get by each month.
  • 72% of respondents with a comprehensive plan agree that if anything should happen to them, their family would be looked after - while only 38% without a plan agree. In life, almost anything can happen to anyone, at anytime, anywhere. You can’t plan for it, but having a comprehensive financial plan can give you the security of knowing that you will still be able to look after the people you care about.
  • [Ask Audience- where is your dream vacation spot?] Read Stats A comprehensive financial plan will help you get where you want to go. So don’t get left behind
  • Buying a home is probably the largest purchase anyone could make. Many people dream of home ownership but don’t know how to get from their rented apartment to having their own front door . ¾ of individuals with a comprehensive financial plan are more likely to feel that they are on the path to home ownership.
  • Would you want someone who “says” they are a surgeon, to operate on you? Or would you want an MD?
  • Individuals who work with a Certified Financial Planner (CFP) professional more than 2 times more likely to feel they are on track with their financial affairs than those who do not have a plan.
  • Steve planning presentation mar 11

    1. 1. Taking the Pulse of Your Financial Future CFP ® , CERTIFIED FINANCIAL PLANNER ® and CFP (with flame logo) ® are trademarks owned outside the U.S. by Financial Planning Standards Board Ltd. Financial Planners Standards Council is the marks licensing authority for the CFP Marks in Canada, through agreement with FPSB. Copyright © 2009 Financial Planners Standards Council. All rights reserved. ® Registered trademark owned by Desjardins Financial Security
    2. 2. Disclaimer <ul><li>This presentation was initially prepared by Financial Planning Standards Council (FPSC). </li></ul><ul><li>Comments and opinions based on the presentation that are expressed by Stephen Cox, CFP are those of the CFP professional and do not necessarily reflect the views of FPSC. </li></ul>
    3. 3. Financial Planning <ul><li>Financial Planning Standards Council (FPSC), a not-for-profit organization </li></ul><ul><li>Encourage Canadians to think about life goals, financial planning needs </li></ul><ul><li>Provide info about the financial planning process, its value </li></ul><ul><li>Help Canadians recognize competent, ethical advice </li></ul>
    4. 4. How Do You Feel… <ul><li>“ Wouldn’t it be great to have a written financial plan so that no matter what happens in the market, the economy, or the world you still feel confident that you are going to achieve your goals?” </li></ul>
    5. 5. <ul><li>So… what IS financial planning, anyway? </li></ul>
    6. 6. What is Financial Planning? <ul><li>Financial planning is </li></ul><ul><li>More than investment decisions </li></ul><ul><li>More than RRSP’s, RRIF’s and mortgages </li></ul><ul><li>It’s the process of creating strategies to help </li></ul><ul><li>you best meet your life goals, through the </li></ul><ul><li>proper management of your financial affairs. </li></ul>
    7. 7. What does a financial plan cover? <ul><li>A Financial Plan covers four key areas: </li></ul><ul><li>Cash Flow Analysis </li></ul><ul><li>Debt Management Analysis </li></ul><ul><li>Life & Health Insurance Analysis </li></ul><ul><li>Investment Analysis </li></ul><ul><li>… and should be based on what is truly important to you, so you can focus on achieving your goals. </li></ul>
    8. 8. <ul><li>Why Should You Consider a </li></ul><ul><li>Financial Plan? </li></ul>
    9. 9. Know How to Improve Your Finances <ul><li>Less than 2 out of 10* Canadians have a comprehensive financial plan . </li></ul><ul><li>But 42% of people who have no financial plan say they also don’t know what to do to improve their financial situation. </li></ul><ul><li> All statistics used in this presentation are from the Value of Financial Planning Study (2010) on behalf of the Financial Planning Standards Council </li></ul>
    10. 10. Meet Life Goals <ul><li>Comprehensive financial planning can help Canadians achieve self-identified “life-goals.” </li></ul><ul><li>Those with comprehensive financial plans report that they are more likely to achieve their goals. </li></ul>
    11. 11. Retire From Work, Not Life <ul><li>HALF of those with a comprehensive plan are on track to achieve and maintain their desired lifestyle </li></ul><ul><li>… while only 18% of those with no planning say they are on track </li></ul>
    12. 12. Have Peace of Mind <ul><li>36% of those who’ve done no planning have “peace of mind” about their financial situation </li></ul><ul><li>BUT </li></ul><ul><li>61 % of those with a comprehensive financial plan have “peace of mind” </li></ul>
    13. 13. Get Over “Getting By” <ul><li>57% of Canadians who have done no planning feel they barely get by every month </li></ul><ul><li>… 70% of those with a comprehensive plan don’t worry about getting by </li></ul>
    14. 14. Be Ready for the Unexpected “ If anything should happen to me, the people I care about would be financially looked after” 72% Comprehensive Plan 38% No Planning ® Registered trademark owned by Desjardins Financial Security
    15. 15. Don’t Get Left Behind <ul><li>31% of individuals with no planning feel they can get to their yearly desired vacation spot </li></ul><ul><li>… 66 % of Canadians with a comprehensive plan feel they don’t have that problem </li></ul>
    16. 16. Stop Renting <ul><li>Nearly ¾ of those with a comprehensive plan are on track to owning their own home </li></ul><ul><li>Less than ½ with no plan feel they are on the right path to owning their own home </li></ul>
    17. 17. The #1Thing to Remember About Financial Planning <ul><li>Financial planning is NOT REGULATED in most Canadian provinces </li></ul><ul><li>Provincial governments have NO RULES about who can call themselves a “financial planner” </li></ul><ul><li>ANYONE can call himself a “Financial Planner” - and solicit clients </li></ul>
    18. 18. When Choosing a Financial Planner… <ul><li>Its important you know: </li></ul><ul><ul><li>what to look for in a prospective financial planner </li></ul></ul><ul><ul><li>the right questions to ask </li></ul></ul><ul><ul><li>what you can reasonably expect from the process </li></ul></ul><ul><ul><li>It’s your money and you are making the decisions. You need to ask the hard questions! </li></ul></ul>
    19. 19. Your Due Diligence <ul><li>Check into your advisor’s credentials </li></ul><ul><ul><li>Are they in good standing with a licensing body, such as FPSC? </li></ul></ul><ul><li>Ensure the credentials are relevant to you </li></ul><ul><ul><li>What are your needs? Do the credentials of your advisor or planner match with your needs? </li></ul></ul><ul><li>Check their professional history </li></ul><ul><ul><li>Any disciplinary action taken against them? </li></ul></ul><ul><ul><li>Formal complaints? </li></ul></ul>
    20. 20. What is FPSC <ul><li>A not-for-profit organization based in Toronto, Ontario </li></ul><ul><ul><li>Purpose: To ensure the financial planning needs of Canadians are well served. </li></ul></ul><ul><li>FPSC licences Certified Financial Planner ® professionals in Canada </li></ul><ul><li>Almost 18,000 CFP professionals across Canada </li></ul><ul><li>FPSC enforces the CFP Code of Ethics, but only has authority over CFP professionals </li></ul>
    21. 21. CFP ® Professionals Are… <ul><li>Competent </li></ul><ul><ul><li>Met high standards of Education, Examination, Experience </li></ul></ul><ul><li>Ethical </li></ul><ul><ul><li>Abides by the CFP Code of Ethics, enforced by FPSC </li></ul></ul><ul><ul><li>Committed to putting your interest first, every time </li></ul></ul><ul><li>Current </li></ul><ul><ul><li>Keeps up-to-date through mandatory Continuing Education </li></ul></ul>
    22. 22. What Certified Financial Planners Know About <ul><li>CFP professionals have education and experience in addressing these areas, and how they fit together: </li></ul><ul><ul><li>Tax Planning </li></ul></ul><ul><ul><li>Retirement Planning </li></ul></ul><ul><ul><li>Estate Planning </li></ul></ul><ul><ul><li>Asset Management ( including investments ) </li></ul></ul><ul><ul><li>Financial Management (managing “ Day to Day”) </li></ul></ul><ul><ul><li>Risk Management (including Insurance) </li></ul></ul>
    23. 23. CFP ® Professionals Make A Difference! <ul><li>Stay on track! </li></ul><ul><li>76% who deal with a CFP professional reported feeling more &quot;on track&quot; with their financial affairs </li></ul><ul><li>Yet only 35% of people receiving no professional advice said they feel “on track”. </li></ul>
    24. 24. Next Steps <ul><li>The next step is to see how this all fits together for your unique personal situation. </li></ul><ul><li>Let’s get together to introduce you to “Values Based Financial Planning®” and the “Financial Roadmap®”. </li></ul><ul><li>These tools will give you a solid foundation on which to build a solid financial plan. </li></ul>The Financial Road Map® is courtesy of Bill Bachrach, Bachrach & Associates, Inc., Values-Based Financial Planning  www.valuesbasedfinancialplanning.com . © 1996-2002 Bill Bachrach. All rights reserved.   The Values Based Financial Planning Book® is courtesy of Bill Bachrach, Bachrach & Associates, Inc., Values-Based Financial Planning www.valuesbasedfinancialplanning.com . © 1996-2002 Bill Bachrach. All rights reserved.
    25. 25. Resources at www.fpsc.ca <ul><li>Find a CFP Professional </li></ul><ul><ul><li>A searchable database of CFP professionals. Preview practice profiles, areas of specialty and compensation structures </li></ul></ul><ul><li>Check a CFP Professional </li></ul><ul><ul><li>Is your current or prospective planner a CFP professional? </li></ul></ul><ul><li>10 Questions to Ask Your Planner </li></ul><ul><ul><li>Make sure you are asking the right questions! Print this and take it with you to the initial meeting </li></ul></ul>
    26. 26. Contact us with questions… <ul><li>Desjardins Financial Security Investments Inc. </li></ul><ul><li>Desjardins Financial Security Independent Network </li></ul><ul><li>7001 Mumford Road, Tower 1, Suite 312 </li></ul><ul><li>Halifax, NS, B3L 4N9 </li></ul><ul><li>P 902 446 4563 </li></ul><ul><li>F 902 446 4565 </li></ul><ul><li>1 877 256 6435 </li></ul><ul><li>C 902 209 0676 </li></ul><ul><li>www.stevecox.ca </li></ul><ul><li>[email_address] </li></ul>
    27. 27. DISCLAIMER <ul><li>Desjardins Financial Security Investments Inc. (DFS Investments) & Desjardins Financial Security Independent Network (DFSIN) are not providing the financial planning service and will not be supervising this activity. You should not rely on DFS Investments or DFSIN for review of the plan. DFS Investments and DFSIN is neither charging nor being paid any fees for this service and will not be liable for any errors or omissions. This Financial Planning Service is done solely through S. Cox & Associates Wealth Management Inc. </li></ul>
    28. 28. Disclaimer <ul><li>Commissions, trailing commissions, management fees and expenses all may be associated with mutual fund investments. Please read the prospectus before investing. Mutual funds are not guaranteed, their values change frequently and past performance may not be repeated. </li></ul>
    29. 29. THANK YOU! Questions? CFP ® , CERTIFIED FINANCIAL PLANNER ® and CFP (with flame logo) ® are trademarks owned outside the U.S. by Financial Planning Standards Board Ltd. Financial Planners Standards Council is the marks licensing authority for the CFP Marks in Canada, through agreement with FPSB. Copyright © 2009 Financial Planners Standards Council. All rights reserved.

    ×