Words Brenda Macfarlane, MBA, CFP®, FCSI, EPC
Certified Financial Planner
IG Wealth Management INC., Mutual Fund Division
Financial Technology (Fin Tech) is advancing rapidly. Systems once limited to large financial firms are now available to everyone and there is an app for almost any financial need. It has become easy to complete your own mortgage application, trade your own stocks or file your own tax return. With the availability of technology, some feel pressure to do things themselves or save money by learning how to do what the experts do. However, certain transactions can be pivotal in a person’s financial life and often require special training to even know which transactions are critical and require additional consultation.
I’m all for empowerment and learning how to manage things independently, in moderation. Life is busy, and balancing multi-generational family needs, work demands, volunteer duties, commitment to friendships, social connection and fitness means that we sometimes can’t dedicate the time necessary to fully understand the technical aspects of all financial transactions. Like the 1967 tune, I believe we can find balance with a little help from our friends. Including a trained professional in your financial life will give you and your family comfort and confidence with your financial matters.
When thinking about taking a do-it-yourself approach to financial issues, it would be prudent for you to consider these questions:
• How much time can I dedicate to this?
• What happens when I’m unavailable to monitor or maintain this financial matter?
• How do my loved ones feel about me taking this approach?
• Could I clearly explain the process to my loved ones?
A financial expert offers continuous oversight that is often difficult to maintain when self-managing a financial matter. It is in a financial expert’s purview to provide you with updates about emerging technologies, demographic shifts, interest rates, world events and proposed regulatory or tax changes.
It is comforting to have a professional relationship with a person who can explain complexities, protect you from unpredictability and be an ongoing resource on whom you can rely to look out for your best interests.
It’s important for you to evaluate your financial expert on their performance on issues such as proactive contact, cost, showing an interest in your family and your personal circumstances, providing tailored advice, generating good results and outcomes and reliably following up.
Of course, there are many people who would never think of managing their own financial transactions. They rely on other professionals to provide support in other areas like home maintenance, health care, travel guidance or legal transactions. I once had a physician-client explain sheepishly that he did not understand a lot about finance, to which I replied that I would never dream of suturing my own wound.
While technology enables us to know a lot more about many disciplines, it can’t replace the peace of mind that comes from having a professional in your life who you trust to handle your financial matters so that you can carry on enjoying the people and the activities that matter most to you.
www.brendamacfarlane.ca
This is a general source of information only. It is not intended to provide personalized tax, legal or investment advice, and is not intended as a solicitation to purchase securities. Brenda MacFarlane is solely responsible for its content. Seek advice on your specific circumstances from an IG Advisor.
