I was reflecting on the recent death of the brilliantly funny Sean Lock and was watching a few clips of him at his best, including the show just after the news broke about Jimmy Carr and the tax avoidance scheme with which he was involved.
Lock’s line was: "We all like to put a bit of money away for a rainy-day Jimmy, but I think you are more prepared than Noah."
It reminded me of many clients I have worked with over the years who have managed their money extraordinarily well and are therefore very well prepared for those ‘rainy-days’, when they come along. The problem is that, as in the case of Sean Lock’s joke aimed at Jimmy Carr, many are possibly almost too well prepared, and they may have achieved this state of excessive financial security at the expense of enjoying life along the way.
After all, how many rainy days are there going to be beyond the age of say, 75?
As a wealth manager I think I am only doing half of my job if I just look after people’s money and help to make them more cash. They may gain comfort from becoming wealthier, which they can perceive as being happier, but few people are actually truly happy just by having even more money and looking at a bigger number on a piece of paper – well, unless they are Mr Burns from the Simpsons perhaps.
As a Financial Planner I try to explore with clients what they really want from life, discuss their hopes, dreams and aspirations for them and their family and then help them plan their finances to achieve as much of it as possible. Yes, that will involve managing the money, but it will be to achieve what the clients want, and not just to maximise returns.
I believe financial wellbeing is achieved when we help a client to live a life full of meaning and purpose, fully exploring with them what will bring them real happiness and a sense of fulfilment in their lives. Not just being able to buy the latest shiny thing or nicest car (even though that can be great fun too), but real, long-lasting self-worth.
That will be different for every single client, for some it may even be to carry on working for as long as they can; I have been amazed over the years by the number of people who, when informed they can comfortably afford to retire, decide not to! It’s usually because they are no longer working just for the monthly pay-check but because their job gives them a sense of purpose and a great deal of satisfaction. Let’s be clear, I have also had plenty of clients who can’t wait to get off the treadmill too!
Once we truly understand each client, and what makes them tick, then we can help them attain as much of that as possible and help them manage their finances and give them the freedom and permission to enjoy life.
It’s all about balance of course, some of our clients are only just starting on the wealth creation journey and the idea of ever having too much seems but a distant dream. However, it can be difficult to identify when on the journey you have saved enough for all the rainy days that are ever likely to come along and you can relax a little.
True financial planning should be about making clients lives richer, not just their bank balance and I really hope that’s what or clients would say we help them achieve.
I hope you found the above of interest but please do not hesitate to contact me if you have any concerns or questions relating to anything in this e-mail or indeed any other finance related matter.
Yours sincerely,
Graham Ponting CFP Chartered MCSI
Managing Partner
