6 Reasons to Choose Personalized Financial Plan

Many customers are left disheartened by the financial products that they have purchased. It could be anything from Fixed Deposits to Term Insurance. Everyone has their own reasons but the majority of the problem stems from the fact that products don’t meet customers’ requirements. 

For some, Impulse buying is the main reason and a reward based credit card is a good example of this. For others, it is the same old enemy – the concept of motive-driven selling by financial agents.

Clearly, society longs for a better solution, and web traffic on financial planning & financial advisory, suggests the same. Adding to it, the pandemic has made customers realize that the world of VUCA is here. They were in dire need of help from financial experts to guide them through these confusing times. 

What is VUCA? 

• V – Volatility 
• U – Uncertainty
• C – Complexity
• A – Ambiguity 

If someone shouts “it’s crazy out there” then, we can strongly believe that they are talking about the VUCA world. It is predominantly used to describe a situation that is difficult to comprehend. Predicting the outcomes of our decisions is tricky during this situation. More on VUCA here.

What are the advantages of a personalized financial plan? 

→ Creating a Sustainable Financial Plan

It is very important to start with a plan. Without understanding your current situation and caliber of risk, it would be fruitless to plan your financial journey. The Rich capitalizes on advisory service by providing their goals and targets so that they can enjoy life without falling short of funds. 

→ Delighting with Customer Satisfaction

The feeling of being listened to is something that everyone loves. Through personalization, the best financial advisor in town would concentrate on listening to the customer and then, providing them with customized financial solutions. This curated solution helps with steady growth and will certainly leave a smile on your face.

→ Building Corpus for Goals

Financial security is a reality when there is little or no stress about our monetary situation. To get into this secure headspace, we have to find ways in which our money can make money to help achieve our goals. Power of compound interest along with the guidance of a financial planner will do wonders in this world. 

→ Attaining Mental Peace

Confidence and the positive mindset to tackle the day comes from feeling mentally secure. Overthinking about money will push everyone’s mental health to the edge. Personalization can certainly help in passing over the burden of stressful decisions to an expert.

→ Maintaining your portfolio

Getting a customized financial plan is just the beginning of personalisation. The plan should always include regular check-ins and restructuring of the plan so that your money story is moving in the right direction. A good financial advisor will recommend reallocation or restructuring every 3- 4 months.

→ Higher ROI 

It is easy to start your financial journey with the content from generic news and also, free advice on YouTube or MoneyControl. But this is not going to be as powerful as the one that is designed through personalization. The return on investment is higher because you are connecting your hard-earned income to your needs and wants.

Why is a Personalized Financial Plan crucial?

• To steer the customers through the right financial journey, they require an expert who can understand their needs and wants. Someone who can shine a light on their financial plan by personalizing it to their needs and wants. Someone who will guide them to see their financial success.
• A combination of understanding and listening to the customer is the inception of personalization. Today, there is less listening and more selling that is happening. 
• Pampering the consumers with misfit solutions that have short-term benefits. Clearly, there is a lack of sustainable planning because products like credit cards, buy now pay later, instant micro-loans, etc. are helping them with their short-term needs and wants.
• Sustainable financial planning will always be a customer-first approach and will be completely designed to help the consumer get the best mutual funds, best ELSS funds, best bonds, etc based on their goals. A certified financial advisor creates a higher level of trust, comfort, and comprehensiveness.

In a nutshell, people who are hunting for the answers around best mutual funds or best way to invest in gold can tweak their habit to include personalization and get themselves a strong advisor. When they do so, they will not only find answers for their questions but also find that wealth creation is easy with more people working together hand in hand.