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Finance – Why You Should Plan For The Future

financial advice

financial adviceA happy new year to all my regular and of course occasional readers, I hope you had a fabulous festive season and have made some exciting resolutions. Maybe one of those was to create a financial plan for the future using the ten tips I gave in last month’s magazine.

In this month’s article I want to dig a bit deeper into why should you plan for the future and particularly how reassuring it can be to take a long-term perspective, particularly given the turmoil in the financial markets over the last few years.

Take Warren Buffet for example, he’s one of the world’s richest people and a highly successful investor. He’s achieved this partly by identifying companies that he believed were worth more than their market value, investing in them and, crucially, holding that investment for the long term. It sounds remarkably simple, but given the ups and downs of the global markets, it takes a high level of discipline, nerve and conviction in your decisions.

It’s important to have in place a sound investment strategy to keep you focused on your end goals and not to let market noise sway you. If appropriate, consider investing at regular intervals over the long term. Keep on investing through market lows when share prices are undervalued, so that you gain more wealth when markets rise again. This can help smooth some of the stock market ups and downs, and you avoid investing all of your money when the market is at a peak.

Understand your time horizon and your attitude towards risk. They affect how you invest. We’re all different, and our personal risk attitude can change with our circumstances and age. The nearer you approach retirement, the more cautious you’re likely to become and the keener you’re likely to be to protect the fund you have already built. Note that the value of your fund may fluctuate and you may not get back your original investment.

Different investments have different tax treatments. Tax is consequential to many wealth management decisions. Our understanding and experience can help you manage and protect your wealth, whatever form it takes. We can advise you about the tax treatment of your current investments, and of any investments you are considering, to ensure that you are investing tax-efficiently. It’s important to remember that your requirements are unique to you.

What’s a good investment for one individual is not automatically a good investment choice for you, so don’t follow the latest investment trends unless they fit with your plan.

So think long term, it is time in the market that counts not timing the market and the earlier you start the more you will benefit from compound growth a lesson my dad taught me at any early age!

As experts in financial planning we can help you make the right decisions for you and your family.

Geoff Newman


Lyndhurst Financial Management Limited.

Authorised and Regulated by the Financial Conduct Authority.


Geoff Newman
About Geoff Newman (35 Articles)
Helping you to plan your future, financially for peace of mind