Last but the important part of Financial Planning is monitoring investment at periodic interval and re-balancing to be carried out wherever required. The timings of the Financial goals are dynamic in nature, which keep changing based on the circumstances. As ones income keep growing the living standard also goes up. The investments should also commensurately enhanced gradually. Financial Market conditions depend upon the growth of the Economy, conducive environment, liquidity, fresh inflows by FIIs and DIIs, Corporate Results and Global cues.
Concluding Financial Planning by writing about flawed notions: Financial Planning is for affluent, Insurance cover is Financial Planning, Tax Planning is Financial Planning, when to start Financial Planning, Ambiguity between Financial Planning and Investing and last but not the least Liquidity versus Investments. Technical terms would be discussed in the later part of return of investments.
Managing Personal Finance
There are four economic activities of the individual consumers.
* Earning
* Spending
* Savings/Investing
* Borrowing
Keep watching this space for elaboration of each of the aforementioned activities.
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