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  • Writer's picturePeter

The value of advice. Money always flow to where it’s most valued

Updated: Jun 4

Freddie Mercury, Queen. I want to break free!
Freddie Mercury, Queen. I want to break free!

Making money is simple, but not easy.


However if the process has slipped your mind, the following is a quick refresher.


  1. Save and invest first i.e. don’t spend then save.

  2. Invest and reinvest earnings in growth assets for the long term

  3. Keep fees and taxes to a minimum.

  4. Invest for the long term (life expectancy)


Sadly many become so obsessed with making more and more money, they lose their “life” along the way.


“Man. Because he sacrifices his health in order to make money. 


Then he sacrifices money to recuperate his health.


And then he is so anxious about the future that he does not enjoy the present; 


The result being that he does not live in the present or the future; he lives as if he is never going to die, and then dies having never really lived.” Dalai Lama


In the same crusade of seeking more... many view financial planning as a zero sum game, Framed by basic questions of more money, rather than seeking the greater intangible benefits and improvements to ones quality of life.


For example the question is framed as

  1. How much money does it cost?

  2. How much money did it make?


And by doing so, financial planners unwittingly place financial goal roadblocks in the way of clients relationships, personal growth and the legacy we would like to leave rather than the opportunity to experience a higher quality of life.


Instead instead better questions financial planners can ask is

  1. What's important to me & why?

  2. How much is too much?

  3. How would we like to be remembered by those important to us?


But it's also not all financial advisers and clients fault.


Industry bodies, product manufactures, shareholders and advisers have also sold the dream of saving more and investing all to achieve financial Nirvana, while they have been found to put sales and profits first before the individual in their own desire for more. As we have seen laid bare and their undoing on the journey towards making financial planning an aspired profession.


However, all that I have just mentioned above is noise, drowning out the reality and core purpose of money.


“Money always flow to where it’s most valued”


Often we experience money an essential transaction for needs, however more often than we realize, our money choices are a reflection of our aspirational and emotional decisions.


This is why very first question I ask everyone seeking financial advice is “What’s important about money to you and why?”


Why? Because it’s more often not investment returns but our core values that are the primary drivers of our choices and success. You can do a google there are 30,330,000 research papers on Money and Happiness point to findings that having more money above funding basic needs does not directly correlate to equal increases in our happiness.


Secondly when our choices are aligned to our core values, our decisions are easy. Knowing what's important to us and why allows us to be more efficient, quicker; saving us time, money & resources.


Lastly because they are our choices and we are aligned to our own self-interests we are more motivated to do the work to make our aspirational values our reality.


In my experience 100% of people tell me that “important to them” is ultimately. aspirational. i.e.

  • Security/ peace of mind

  • Choices/freedom

  • Time

  • Positive contribution to others

  • An inspirational legacy/ make a difference


Refreshingly both the clients and colleague I worked with told me that compromising ones values for the sole purpose of having more money would not only be unethical it would be alienating and self-destructive. Detracting from achieving a higher quality of life.


Client's of great financial planner’s receive more than money.


They say they are happier, have greater peace of mind, more confidence, more time, new opportunities, empowering accountability to achieve their important goals and most important they are more present with others important to them in their lives.


And for these reasons, rather then more money, is the true value of financial advice experienced.


If you are stuck in a funk or you’re lost in a cloud of complexity feel free to contact me. Most often in life we just need someone to talk things through and to lighten our load a little.


This post was written by Me, as such they are my personal views and not financial or general advice.


You should always seek independent financial advice when it comes to choices about your personal finances. This is one area of your life where it’s worth paying for it to be done right.


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