3 steps to your Financial goals setting

Planning is a loborious process and when we break down the process to steps its easier to understand and execute.
The 3 main steps to Financial goal setting are

• What you have
• What you want
• How to achieve it.

What you have:

Reviewing current financial position is very important process. If you are in a lot of debt and want to save a million, it doesnt make sense, as reducing the debt is the priority before saving. A very easy process would be do a simple cash flow and find out how you are spending the money you earn. ( I have a template and if you want to use do email me)

What you want:

For this question, sky is the limit. A realistic goal which also takes little steps is achievable. Breaking down long term goals to small achievable short term goals is the best way to work this out.

How to achieve it:

For this step, categorising the goals is important. Savings, investment, protection, retirement etc. There maybe some overlaps too. This step requires time with your financial advisor to come up with a goal.

Some interesting Outlooks for 2010

January is generally busy for me as I attend a lot of Market outlook talks from different people- fund houses, analysts, and even laymen who are Pro in investing...

Here are some views to ponder on....

1. 2nd Year of US Presidency- Historical data of the market has done well in the first year of a Democrat President. ( exception of Mr. Jimmy Carter) and keeping in line with that the first year of Obama's presidency the market has gone up by 30+%. The second year has always been flat and so based on that, some analyst expect this year to be flat.
2. Decennial Year- Year ending with 0...2010- Again going back to early 1900, every year ending with a 0 has not done well or the market is flat... so some are expecting the same for 2010...
3. 4 year Market cycle- When it comes to Market timing, the Pro's always argue that there is a pattern and its very easy to find. The four year market cycle. The last low was in 2006. So you can work back words and forwards to get the market lows. http://www.tradersnarrative.com/the-amazing-four-year-stock-market-cycle-867.html
4. Financial Astrology- Staying in Singapore and not looking at what fung Shui predictions are is a must. The Metal Tiger Year- 2010 - The Year of the Metal/White Tiger, (which begins auspiciously on February 14th when Valentine's Day is also celebrated.) This is the Yang Metal Tiger Year. Yang Metal over Yang Wood. Tiger = Yang Wood. Inside the Tiger, there is Wood, Fire and Earth elements. Tiger is the mother of Fire = Wood = seed of Fire. Unfortunately, Metal destroys Wood, so this is a destructive cycle and have conflict relationship. In short this is not a Peaceful Year according to Fung Shui.
   

My views - In the Financial scene, inflation could be a major issue that has to be resolved. The stability of US economy will will important for the rest of the world.

So this year I expect volatility however, there is also be a lot of opportunity to enter the market especially if one didn't do it in March 2009.

Any other views.....

How important is Networking for your job?

I would confidently say that most of us are knowledgable and competant in our field of work.
I would like to argue that, the only difference between a sucessful person and some not so, is how good he/she is in networking.

In this highly compitative world, how you present yourself, makes the difference.

Yesterday, I attended a Networking session and I would like to share what I learnt there.

1. There should be a GOAL for anything we do. Doing something just because someone else is doing will not be effective. A football game with just passing the ball around is not going to get any crowd in. How many Goals a team takes is what classifies a good team from another.
Similarly, Networking with the right group is very important.

2. Learn to tell what you do instead of telling what you are. I am a teacher, I am an advisor, I am an accountant doesnt tell anything about you. I teach children on Money management, I help clients grow their wealth says a lot more about me than just the title financial advisor.

3. Meet as many people as you can and remember to stay in touch after the meeting. Email, telephone calls are the fastest way to stay in touch.

In any industry, knowing people and to be known is important and hence, Networking is a key to success. I hope these tips are useful to you and do send me your views

Quote for this weekend is

Diamonds are nothing but a chunk of coal that stuck to their jobs.... M.S Forbes