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Why you must pay attention to comprehensive financial planning

Why you must pay attention to comprehensive financial planning

Sulaiman Adedokun, Meristem

Meristem Wealth Management Limited has advised Nigerians to pay attention to comprehensive financial planning and wealth management.

The advice was given in order to improve people’s incomes, savings and investments for their desired retirement life.

Mercy Aminah Meristem

Deputy Group Managing Director, Meristem Securities Limited, explained that the reasons people don’t want to discuss retirement is due to the fact that a lot of them believe they are not close to retirement.

According to him, the four big risks about retirement planning are Longevity ‘the risk of outliving your assets’; Flexibility ‘the risk of not being able to access your assets at required or on death’; Inflation ‘the risk of your income falling in real terms’ and Volatility ‘the risk of volatile investment returns impacting your income.’

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On the way forward to managing the risks for an expected retirement, Meristem DGMD added that it is important for people to understand their assets and future sources of income like various pension pots, investments, property equity and state pension.

He said, “Assess and articulate their needs through retirement, acknowledging that these will change over time.  Make choices about which objectives are most important and understand the risks they are willing or need to take in order to have the best chance of meeting these objectives.

 “Investigate and understand the array of financial options available for them to match the Steps above.”

He further explained that retirement planning should not be treated as an activity for the old or about to retire, but rather as a starter pack for a fulfilled career.

Managing Director, Meristem Trustees, Mercy Aminah emphasized the need for proper estate planning, to avoid dispute when the owner of the estate is no more.

She dispelled the belief that estate planning is to invoke death, but to leave a legacy for a peaceful and harmonious co-existence among the heirs of the estate and called on Nigerians to always engage experts in the management of their estates.

Mercy said proper planning would ensure that the right tools are deployed, having considered unique individual and family circumstances.

Meristem Wealth Management is a subsidiary of Meristem Group, the company offers stockbroking, wealth management, financial advisory, trust and probate management services.

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