Financial Planning for remunerative investment

Nov. 2, 2012 - PRLog -- A financial planning is not about getting rich! It’s basically about getting more than what you have. It is a road map to secure your financial life in a profitable and effective way, and it covers major important areas of your life by addressing aspects such as cash flow, risk management, children's education planning, savings, debt establishment, retirement, estate planning, taxes, and of course investments and a strategy for managing them. But, most of the people stop thinking about planning due to misconception about planning process and its benefits. As per the recent survey by Certified Financial Planner Board of Standards Inc.(CFP Board), some findings have come out regarding the mistakes people commit when they approach financial planning. The outcomes of this survey include:

Failing to define measurable financial goals

Making a financial decision without understanding its effects on other financial issues

Confusing investment with financial planning

Disregard for re- measuring their plan periodically

Believing that planning is only for the wealthy

Thinking that planning is for old aged people

Thinking that financial planning  (http://www.capitaltrends.in/CT/view/FinancialPlanning.php ) is the same as the retirement planning

Waiting until a money crisis begins  

Expecting unrealistic returns on investments

Thinking that using a planner means losing control

Misconception that financial planning is primarily a tax planning

As it says “Make your money count with a plan,” so, start planning as soon as you can, and have realistic expectations. But it’s true, when it comes to investing your hard earned money, it certainly becomes a hard situation to decide and go with. Some people invest in real estate, some settle down with the interests on a saving account, but beyond these, equity marketing with proper equity research which is commonly known as stock market or trading, is undoubtedly the sector which can raise your investment exponentially in a very short span of time. It certainly sounds lucrative, but that does not mean it’s totally risk free. As all ventures possess pros and cons, so does this one. If this sector has the capability to make you rich, the next day it also has the mechanism to sink your money and put you on the road. Equity marketing without proper equity research  ( http://www.capitaltrends.in ) is like appearing for an exam without even touching the related books.

When you are on the verge of getting into this lofty margin stock market trading, you can simply find a number of brokers offering investor education via offline mode or through some web sites.

It is believed that “Trading is more a game than a business.” So, play it diligently and ingeniously, if you really wish to get rewarded by investing your hard earned money.

The writer of this article is a working with capitaltrends.in and has ample experience in financial planning ,equity research and investment advice ( http://www.capitaltrends.in ).