Reaching your financial goals can be a long and intimidating process, but we know sticking with it is well worth the rewards! People are often unsure of how to get started investing, so I’d like to provide you with some tips to get you on the right path.
For the first time investor, finding a professional planner to work with you is often the first step. You wouldn’t do your own dental work, so why would you want to sort through investing options on your own? The highest qualification someone can attain is their Certified Financial Planner designation. Look for the letters CFP behind their name and be assured the individual is fully qualified and keeps their training up to date.
A Certified Financial Planner will work with you to set your goals, including timelines for reaching them and how much you need to save.Once your goals have been established, your planner will help you determine what kind of investor you are. Questions you can think about to prepare include how do you want to approach investing? How important it is to keep your money safe? How important is it to grow your money as much as possible?The next steps are picking a mix of investments that suit you and then your specific investments. Both of these steps require a lot of research, which is where a planner can help. They work with investments every day and are equipped to provide you with advice that suits your needs.
Just because your money is invested doesn’t mean you can totally relax. Keeping track of your money is the key to reaching your financial goals. Keep your statements and review your investments on a regular basis to ensure you’re happy with the returns you’re receiving. If not, it’s time to revaluate, starting with your goals.
One of the most important investments you can make is for your child’s future. In Canada, Registered Education Savings Plans (RESPs) are a preferred savings plan for post-secondary education. RESPs are tax-deferred investments that let you save on behalf of your child or grandchild. Contributions can be made up to $50,000 and there’s an added bonus: the Canadian Education Savings Grant (CESG) from the federal government. It’s equal to at least 20% of RESP contributions!
Give me a call today to discuss your investments, or start an RESP for your child or grandchild.
Scott Macleod holds his Certified Financial Planner designation and works at Libro Financial Group’s Beechwood and Williamsburg branches. He can be reached at: firstname.lastname@example.org.