Hello Readers!

Learning something and becoming an expert in it, both are two different scenarios. It is hard to believe but true, we can learn about many a thing through the book but to become an expert, we need to be experienced. We can learn about financial management through books or the internet or other sources, but to become an expert we need lessons from the wise and experienced.

To get lessons on Financial management, the best wise and experienced is your father, who has been giving us lessons since we were kid, lessons of living with what you have, controlled expenses, savings, and planning for the future.

We have learned many a thing from our father’s experiences, now it is the time you should share your investment ideas with your father. Make him understand how investment has upgraded to a new level, and how technologies have made investment much easier, and help him retire peacefully.

ORGANIZE ALL HIS PAPERWORK 

Make your father trust on you, and take him into confidence, after that ask him about all his investment papers. Analyze whether his investment is still in physical shares or not, if they convert them into Demat form so that it can easily be sold. If he is a mutual fund investor, check out his portfolio. If he is holding multiple mutual fund folios, consolidate it.

Ask him about his bank account details, medical information, credit cards, loans if any, tax returns, bill payments, due dates, insurance policies, and mutual fund statements. Make a list and copy of these documents, and make sure you do not miss to share these documents with your siblings.

Make him learn about the digital lockers and after his approval, digitize all records.

SECURE HIS GOALS

Discuss with your father about his financial goals, he might be planning for early retirement, or may he has some other goals. If he is planning to retire early, check out whether his current savings and all his investment are enough for his early retirement or not.

If he is planning for early retirement through mutual funds, then maybe he would need some clean up in his portfolio. Go through his mutual fund portfolio, analyses if there is any laggard, weed them out. Make his portfolio more exposed to funds that are suitable for his goals.

Also, before weeding out the laggards be aware of the tax implication and other factors related to these funds. 

MAKE HIM PREPARED FOR EMERGENCIES

After retirement, the emergency situation that people face is mostly related to health issues. Thus, for retirees, an emergency fund is similar to having a separate fund for healthcare or unplanned expenses. If your father is suffering from any chronic disease, make sure his emergency fund includes his disease-related expenses.

HEALTH INSURANCE FOR HIM AND HIS SPOUSE

Make sure your father and mother are insured with health insurance. If your father has already taken health insurance, check out his policy details, and analyze whether if it is comprehensive as well as adequate.

INTRODUCE INVESTMENT TECHNOLOGIES, IF HE ISN’T ALREADY AWARE

Make him learn about the innovative technology in the investment sector and how you can easily carry all your investment-related activities via a digital platform. Share your experience about how it has helped you in your financial planning. Get him to know about how he can carry all his financial works like shopping, booking tickets, making payments, transferring funds, all through digital modes. Make him understand the concepts and benefits of automation, where they can digitally make routine payments or investments, without any skip.

ASSURE HIM THAT HE NEED NOT WORRY ABOUT YOUR FINANCIAL FUTURE

Parents often worry about children’s higher studies and marriage-related expenses, they compromise their needs and start saving big for your expenses. Ultimately, diverting savings towards such goals can compromise your father’s larger goal of retiring.

If you are young, assure him that you can manage study-related expenses through a loan that can be repaid when you start earning. Start becoming independent and taking care of your own expenses.

There is a difference between the ways of investing in your era and your father’s era. It is your duty to get your father updated with the new financial developments and ways to retire peacefully. It’s time to give a hand-holding to your father to learn the new technology and products and an assurance that you can manage on your own.

For any kind of investment query, you can contact us at Shri Ashutosh Securities Pvt Ltd., we are here to help you in any way possible.

Happy Investing!

(Mutual Fund investments are subject to market risk Illustrations are for example only, there is no guarantee of returns. Past performance is not an indicator/guarantee to future returns).