CEO Believes Many Financial Plans Are Not Accurate

If you think you have the best financial adviser in the world, think again because according to Joe Duran who is the CEO of United Capital, many financial plans are not correct. He further explained that the mistake lies in the fact that majority of the financial plans do not take into account the personal matters in the life of the investor such as biases as well as fluidity in terms of goals in investment.

This is why he has come to the conclusion that majority of the financial plan that has been devised are actually inaccurate. These plans have come to two assumptions rather than conclusions. The first assumption is that the investor is just an average individual while the second assumption pertains to the market to be in an average level as well.

The fault with these strategies is that they did not take into account that there is stress surrounding the investor. How he or she handles that stress is up to him or her. Another point is that a person’s goals are rarely the same all throughout their lives and some or all could change at one point or another.

If you want to ensure that you are following the right financial plan, ask these necessary questions. The first one is what is your end game? Getting a lot of money should not be the single goal of a person. Duran said that once you have a lot of money on your hands, your choices will broaden too. Your motivation in earning a lot of money will decide how you spend as well as make use of your money.

Second, think about the trade-offs you are willing to do in case these goals have somehow come across one another. There will come a time when you have to choose what your priorities are. Third, it is important to ask whether you financial advisor will be able to help you or not. You will know that you have the best financial adviser if your plan is handled like a living document rather than a static file for the next three decades.