An answer to a young professional as to why a financial coach / consultant is required
Why Me??
Do not think of the current period when you are investing. Think 5, 10 or 20 years into the future
A financial trainer / advisor will help you learn about investing and in a little time you could talk to him like an equal. Rather, he could lead you to so much of learning that you may start wondering whether you need him at all.
No I will never be rendered useless, but will help you realize the potential emotional mistakes that can be avoided. If you do realise quickly it will be my pleasure to tell you that investing is about 80% emotion and 20% logic. If I can even tweak it a little towards 50% each, I would have done a great job.
If I can make you understand why you need an Investment Philosophy Statement and an Investment Diary - xl sheet / balance sheet I would have done my job.
If I can get you to write a short note on every investment that you make, I would have done my job.
If I can convince you that trying hard does not improve returns, I would have done my job.
If I can convince you that you need not jump from branch to branch because you saw a tiger, hey monkey, I would have saved your life!! :)
If I can convince you that equity investing - shares / mutual funds is not a game, I would have done my job.. Then one day you will want to invest your brother's / sister's/ son's money. Your mother’s brother’s money! People you love, but are unable to guide. A guide will teach them and you how. Not to make you an adviser but to talk to your family in a far more caring and sensible way beneficial to them.
Or guide your children through the investing process. Not that YOU cannot, but they may listen to me better. It helps.
A big distributor who I will not name says that SIP will make you rich in 3 - 5 years.!!! Misguiding all. That;s what coaches are for- to prevent you falling for crap. Crap like - insurance with investment is good!!!
You will want to consolidate all your investments. My aim to to get my mentees to simplify their financial lives and take away the drudgery.
No. I cannot be replaced by an algorithm. Not by a website. Not by an investor group. No I am not fungible. I can assure you, at the end of the journey you would have found me worth every penny. No I cannot really offer you a Moneyback guarantee, but I can make a solid attempt to keep the relationship on till the end of life.
Hat tip Subra !
