The well-known classic political thinker Edmund Burke said 

“If we command our wealth, we shall be free; if our wealth commands us we are poor indeed”.

This quote is a keystone mantra of successful investors. 

As a financial planner this is what I do. 

Plan and strategize in a way so the client enjoys financial freedom. 

The client should be in control of his money and assets not vice versa.

The pandemic has highlighted that any event can disrupt life suddenly. 

The volatility in the markets scared many. 

A well planned and balanced investment portfolio has thrived in these times.

To help you understand, take the following example. 

Using Year 2000 as a base line. 

I chose equity as it is high risk and gold is a safe haven asset class. 

It's my way to explain that a mix of assets is a must. 

As each asset performs well at different times. 

A good mix of asset classes helps goal-oriented wealth creation over the years.

Year 2000 – Investor A has INR 2 lakh in August 2000. 

He wants to retire in 2020. He approaches a financial planner. 

Tells him his lifestyle and expected financial responsibilities.

Taking into account the information the planner chooses Gold and Equity. 

Based on the advice Investor A in Aug 2000, buys gold @ 4400 per 10 gm.

He bought the equity share of Bajaj Finance @ INR 3.3 in August 2000,

thus ending up buying approximately 30000 shares.

This investor’s patience through the last 20 years was definitely tested. 

As you can see in the infographic. 

There was the dot.com bubble burst. 

A terrorist attack in the US. 

Political upheavals in our country. 

The global meltdown of 2008. 

Demonetisation in 2016. 

Now Covid-19 in 2020. 

The assets he chose bore the brunt of the events yet performed.

Retirement with a 10-crore corpus.

If this investor was on his own, he would sway by the incessant news flows. 

Unsolicited advisors and self-proclaimed market gurus would misguide him. 

He would sell his investments. 

Switched asset classes again and again. 

Chosen to invest on hearsay. 

In chasing short term riches, lost out on the long-term massive growth.

A financial planner is an anchor. 

He plans for the long term. 

He considers all the risks and dangers. 

Puts together an asset mix and plan as per a particular client’s needs. 

The research- based approach ensures the client’s funds are available in times of need. 

Puts hedges in place to ensure a steady return over time. 

In my example it’s a growth story which has borne the test of time of 20 years.

In India, we eat a salad, vegetables, lentils, rotis, sweets, pickles and buttermilk. 

Our food plates are as diversified as our culture. 

Each food type brings its own benefit to the table. 

Together they create a wholesome and balanced diet and keep us healthy. 

Similarly, a good financial planner puts the right asset classes in a client’s 

portfolio to ensure he becomes wealthy.