Part One

by Gee C. Cash

What is a Financial Plan?   

  A financial plan encompasses the strategies an individual intends to fulfill in the long run and steps to achieve them.

Normally, a financial plan can be made without the aid of a financial planner; it can still be done without a financial consultant.

However, it is imperative that the plan must include areas as it relates to investment, financial control and financial security.

What is the scope of Financial Planning?

     In the business environment, the financial plan scrutinizes the business environment; identify the values, goals & objectives of the business.

It quantifies the business activity and resources to know if the business can achieve its laid-down objectives within a given time.

Also, individuals and young entrepreneurs can leverage financial planning to become financially secure, even up to their retirement age.

Asset Management

     An asset may include items that are considered useful and can produce value.

Examples of items are cars, investments in the money market, money invested in a 401K plan, buildings, equipment, and anything you consider valuable to you.

   In the financial sector, people are hired to manage investments on behalf of others; this is referred as asset management. It refers to the management of assets of the client. The objective of an asset manager is to make maximum returns (profit) from the client’s investments.

To be continue…