Auteur/autrice : Edward Mills

Président, planificateur financier agréé

Catégories
Retraites

Votre retraite est importante

Votre retraite est importante

“Retirement is not the end of the road. It is the beginning of the open highway” – Unknown

2 min read

Votre retraite est importante

“Retirement is not the end of the road. It is the beginning of the open highway” – Unknown

2 min read

Today, things are evolving with immense speed. We are not only living longer, healthier, and more active lives, but we can often now decide when, how, and even if, we retire.

An important note to remember is that it is never too early to start thinking about retirement planning.

One of the most crucial things you can do is begin saving for your future. Though, worryingly, there are many of us who do not have a clear plan for what we want to get out of our retirement, and there are even more of us who may underestimate how much money is needed.

Questions for you

A useful start is to ask yourself these questions:

  1. How much money do I want to have saved by retirement?
  2. What kind of lifestyle do I want in retirement?
  3. What are my sources of income in retirement?

Essentially, the sooner you start saving and investing, the more time your money has to grow.

When you near retirement, the useful questions may change as you now have a clearer idea of what you have and what you will be able to afford.

You could now ask yourself:

  1. How long will my money last?
  2. Can I maintain my current lifestyle?
  3. Do I stay invested or do I draw an income?

As you may have noticed, it cannot be stated enough that the key to an enjoyable retirement is to start as soon as possible. This can save you the panic of being in a situation where you are not prepared for retirement.

Your Swiss pension

In Switzerland, your pension is structured in Pillars. There is the 1st Pillar, which is intended to cover basic needs, the 2nd Pillar, which is based on the contributions you make during your working life, and the 3rd Pillar, this being your private pension. The first 2 Pillars are compulsory, whilst the 3rd is not.

It is unlikely that the Pillar 1 and 2 pensions will provide sufficient income in retirement to support the lifestyle you envisage, and so the Pillar 3 pension helps to bridge that gap.

Unfortunately, there is no crystal ball for any of us to look ahead and know what is going to happen during our retirement. So, it is increasingly important to explore the different advantages offered by having an effective retirement strategy in place.

Never too late

There should never be an occasion where you think that it is ‘too late’ to begin saving for your pension. Even if you only have a small amount of money to put away each month, it will add up over time. In addition, with the right plans in place, you can make your money go further than you may initially think.

Investment is important

Investing is an effective way to put your money to work and provides you the opportunity to build your wealth. How to invest, and where to invest, can be slightly more complicated and has a lot to do with your personal circumstances and risk appetite.

Understanding the type of investor that you are is one of the first steps toward understanding what sort of investment approach is best for you.

We are here to help

Whether you are looking to save as much as possible to build up your pension pot, or you want your money to stretch as far as possible in retirement, it makes sense to have an efficient strategy in place. Having a solid retirement plan is vital for a worry-free future.

We can help you look at the right options for your retirement plans, investment strategies and more, tailored to your individual circumstances and objectives. To find out more and discuss your own situation, get in touch with us today.

Get in touch today and book your initial, free, no-obligation meeting. Send us an e-mail to info@pattersonmills.ch or call us direct at +41 21 801 36 84.

Catégories
Planification Financière

Le besoin croissant de planification intergénérationnelle

Happy 3 generation family in grandparents' backyard

Le besoin croissant de planification intergénérationnelle

“The future of our families, of the generations to come, lies in what we do today, in what we speak today” – Vichell Gudes

2 min read

Le besoin croissant de planification intergénérationnelle

“The future of our families, of the generations to come, lies in what we do today, in what we speak today” – Vichell Gudes

2 min read

With the next 30 years set to witness the largest ever intergenerational passing of wealth, the need for generational wealth and estate planning has never been greater. Intergenerational planning, however, can also help with more immediate financial needs, particularly when generations work collaboratively to find solutions that support the whole family both now and in the future.

Inflation concerns

Currently, financial pressures are proving a key challenge across all generations, especially the impact of rising energy and health insurance costs as we move towards the winter period. The cost-of-living, though, is not only impacting people’s current spending power but also their future decision-making capabilities with regard to key issues such as housing, private education or University.

Balancing current and future needs

This has resulted in families increasingly adopting integrated strategies in order to address imminent financial challenges. While reducing future tax liabilities inevitably remains at the heart of intergenerational planning decisions, the growing necessity to balance today’s and tomorrow’s needs is resulting in the focus shifting to support for children and grandchildren now.

Involving the generations

Intergenerational planning tends to be most effective when the process is not just focused on those who currently hold wealth. While funding a comfortable retirement and quality of care for the ‘caretaker’ generations remain fundamental elements of intergenerational planning, delivery of support for the coming generations and ensuring wealth passes efficiently to the right individuals at the right time have become increasingly important dimensions.

More families share an Adviser

Greater involvement across multiple generations has also seen sharing a Financial Adviser become increasingly commonplace. This trend offers significant benefits, particularly when it comes to joining up a whole family’s needs with inheritance and gifting strategies, while treating all family members fairly.

Encouraging conversations

If your family needs help with any aspect of intergenerational planning, then please get in touch. We will be happy to assist you by encouraging more open financial conversations across the generations and providing essential guidance so you can never be in doubt about your next steps.

Get in touch today and book your initial, free, no-obligation meeting. Send us an e-mail to info@pattersonmills.ch or call us direct at +41 21 801 36 84.

Catégories
Opinion

Personality Traits of the Self-Made Millionaire

It's raining money

Personality Traits of the Self-Made Millionaire

“As you start your journey, the first thing you should do is throw away that store-bought map and begin to draw your own.” – Michael Dell, CEO of Dell Inc.

2 min read

Personality Traits of the Self-Made Millionaire

“As you start your journey, the first thing you should do is throw away that store-bought map and begin to draw your own.” – Michael Dell, CEO of Dell Inc.

2 min read

In the first study of its kind1, researchers have distinguished the personality traits most common among self-made millionaires versus those who have inherited their wealth.

The study analysed a sample of wealthy individuals according to the so-called ‘Big Five’ personality traits: 

Openness

(curious vs cautious)

Conscientiousness

(efficient vs disorganised)

Extroversion

(outgoing vs reserved)

Agreeableness

(friendly vs uncaring) 

Neuroticism

(confident vs anxious)

The Results

The results showed that wealthy individuals across both categories tended to show a similar personality profile, being open to new experiences, extroverted, conscientious, agreeable and demonstrating low levels of neuroticism. They were also shown to be more risk tolerant than the average population. 

Interestingly, the study revealed that self-made millionaires more closely match this personality profile than inheritors – and that this becomes more pronounced the wealthier they are. 

The report concluded that people with this unique combination of personality traits have a higher chance of becoming rich via their own means. The good news – if you don’t match this specific profile – over the years many studies have also shown that taking financial advice can result in heightened wealth accumulation. 

If you are looking to accumulate wealth over time or become your own self-made millionaire, taking financial advice is an essential step to ensure you are on the right path.

So, contactez-nous dès aujourd'hui and book your initial, no-cost and no-obligation meeting with one of our Patterson Mills Advisers.

Fill out our contact form, send us an e-mail to info@pattersonmills.ch or call us direct at +41 21 801 36 84.

1Humanities & Social Sciences Communications, 2022

Catégories
Hypothèques

Five Common Mortgage Myths

Five Common Mortgage Myths

“There have been few things in my life which have had a more genial effect on my mind than the possession of a piece of land” – Harriet Martineau

2 min read

Five Common Mortgage Myths

“There have been few things in my life which have had a more genial effect on my mind than the possession of a piece of land” – Harriet Martineau

2 min read

Getting a foot on the property ladder is an aspiration that dates back generations. Unfortunately, some mortgage myths are just as old. If you’re looking to buy in 2022, it’s important to know fact from fiction.

1. MYTH: You need a perfect credit rating

A bad credit history can have a negative impact on your mortgage application, but it doesn’t make getting a mortgage impossible. Indeed, there are specialist lenders who offer mortgages to people with less favourable credit histories.

2. MYTH: You can’t get a mortgage if you’re self-employed

It’s also a myth that being self-employed means you can’t get a mortgage. You might have to jump through a few extra hoops to prove your income, but with the rise of freelance and flexible work, many lenders are now better suited to assess different employment situations.

3. MYTH: You should choose a home before thinking about mortgages

The opposite is true! It’s a good idea to meet with us even before finding your dream home.

4. MYTH: You should always pick the lowest interest rate

Although it’s natural to focus on the headline figure, a low initial rate does not necessarily mean a cheaper mortgage. If you’re on a tracker mortgage, for example, the rate can rise at any time. So, a higher fixed rate might end up cheaper in the long term. Different fees can also come into play; we can weigh up your options.

5. MYTH: You need to get a mortgage from your current bank

There’s no obligation to get a mortgage from your current bank. In fact, it’s a good idea to compare multiple providers to find the best deal for your needs.

Contactez-nous

We can help dispel myths at every stage of your mortgage journey. Our clear and transparent approach will help you find the most suitable mortgage for your circumstances. Just get in touch today via e-mail to edward@pattersonmills.ch or call us direct to +41 78 214 84 32.

Catégories
Planification Financière

Be Vigilant and Scam Aware

red light warning lamp known as wigwag wig-wag or red-eye

Be Vigilant and Scam Aware

2 min read

There have been warnings from several Regulatory bodies urging people to be vigilant. The warnings are aimed, in particular, at those who may have lost their jobs or are under financial pressure and may be tempted by scammers.

Remember, just because it may have happened to you once, does not mean you are now immune. Similarly, just because it has never happened to you at all, does not mean it never will.

Millions Affected

Over five million people in the UK, and many more globally, have fallen victim to, or know someone who has been duped by, a financial scam since the beginning of the virus outbreak.

The most common financial scams relate to banking, accounting for 60% of victims, followed by 35% being targeted by an insurance scam. One in five reported having been targeted by a pension scam amid an increase in fraudsters offering free pension reviews.

Be a Scam Aware Investor

Recognizing these common signs of a scam could help you avoid falling for one.

  • Scammers can pretend to be from a company that you may know
  • Scammers might say you are in trouble or there is a problem ou prize
  • Scammers may pressure you to act immediately, giving you no time to think
  • Scammers often tell you to pay in a very specific way

Government Advice

Government advice to protect yourself from fraud includes checking the company’s credentials via a reliable source, being wary of deals that sound too good to be true, not clicking on links from unknown senders, not giving out personal details or financial information in response to a request that you did not make, and seeking professional financial advice from a regulated company before making any decisions.

Guidance in Uncertain Times

Anxiety and financial pressure can make us more vulnerable to fraud, so if you are unsure about any financial opportunities, please contact us.

We are here to keep you and your finances safe now and into the future.

Get in touch today and book your initial, free, no-obligation meeting. You have nothing to lose and potentially lots to gain! Send us an e-mail to edward@pattersonmills.ch, call us direct at +41 78 214 84 32.

Catégories
Retraites

The 10 Worst Retirement Planning Mistakes

The 10 Worst Retirement Planning Mistakes

3 min read

Retirement planning should always be a top priority. More and more people are beginning to consider their own retirement, but the truth is that our retirement is often decided long before we even think about it.

See below my 10 worst retirement planning mistakes. With the appropriate advice, you will be able to avoid all of the below.

1. Underestimating Your Lifespan

It may be something that goes unconsidered, but nowadays it could well be that retirement lasts for 30 or more years. This then leads to the growing potential that people out-live their retirement savings. It is hugely important to take notice of your family history and other factors and make sure you take into account your own longevity to determine what steps to take before reaching retirement.

2. Underestimating Retirement Costs

Despite retirement being a wonderful, work-free, time of our lives (at least, that’s our aim!), it is possible that the lifestyle you currently have becomes out of your reach as prices rise, and your income does not, or you may find that you end up spending more in retirement than you thought. It could be simply that you want more than you initially planned for, so within your retirement plan it is important to take many factors into account to gain a rough idea of any potential increase in your spending.

3. Financial Scams

A common thought around scams is that it will never be you. However, no matter how careful you are, it is never a guarantee that you will not get caught out. No matter how rare, it is not impossible that you experience a misuse of your funds by an untrustworthy financial advisor, or even deceptive family members trying to take advantage of you. Make sure that you are also aware of healthcare scams, investment scheme scams, lottery scams and more. Remember, if it seems too good to be true, it probably is!

4. Ignoring Inflation

Inflation is a silent taxation on our wealth. Slowly eroding it as time goes on. Even a small increase in inflation, hardly noticeable in the short term, can be of great detriment to your spending power in the future. Over a long period of 15 or 20 years, there could be the potential of your purchasing power being halved. It is certainly something you should allow for in your future retirement plan.

5. Paying Over the Odds

Excessive fees are something we strive to avoid. Throughout your lifetime, fees really can add up and make a dent in your pocket. Often, what looks on the surface a small difference, e.g. between 1% and 2%, can end up making all the difference in the long-run. It is of paramount importance to have regular reviews to ensure your costs are as low as possible.

6. Age-Based Risk Profiling

“Lifestyling” or “Lifestyle Funds” refers to reducing the risk of your portfolio as you get closer to retirement, along with other assumed factors. It aims to lock-in the investment gains you have already made throughout your life so you can comfortably retire. This sounds good in theory, and may well be suitable for some, though, as with everything, it is not without risk. As much as we wish it, there is no ‘one size fits all’ formula. It might even be your spouse or children that you were planning to have benefit from your investments, so the best decision is certainly to seek trusted financial advice to find the solution that works best for you.

7. Not Rebalancing Regularly

Rebalancing is essential to the future of your wealth. It ensures that your assets remain within your agreed risk level without ever straying too far from the path and can optimise gains already made. Of course, over-rebalancing exists, so it is important to not avoid over-rebalancing. Approximately 2-4 times per year is a good amount for most portfolios.

8. Attempting to Predict the Market

Trying to find the perfect time to withdraw from, or enter into, the market will often come up short of your expectations. Nobody knows for certain exactly what is going to happen in the next few years, or even the next few weeks, so the best route is making informed decisions from high-quality analysis using trusted advice. Cumulative returns can be seriously harmed if your prediction turns out to be wrong.

9. Not Talking to a Financial Professional

The complexities of today’s financial systems are simple when it is your day job, but the reality is that the majority of people do not have the time to spend their few hours of relaxation a day researching the latest changes in the system. Of course, it is not impossible to do, but as with most things there are often rules that you might miss. It is essential to contact a financial professional to ensure your retirement plan and financial future is as secure as possible, and if not, to make it so. After all, that is what we are here for.

10. Not Getting Around to it

This may seem obvious, though unfortunately it is more common than you may think. Retirement is often overlooked as it is ‘so far’ into the future that you do not consider it, or you believe that your respective State pension will suffice. It is important to note that State pension benefits often leave a gap in your income. Therefore, it is essential that you begin sooner rather than later as every day you wait is one more day that you will be playing catch-up in retirement. You might miss out on investment returns, end up not having enough money in retirement, or simply miss out on compound interest. Either way, one thing remains certain, begin sooner rather than later.

Here to Help

We are here to take the stress out of retirement planning. Get in touch today and book your initial, free, no-obligation meeting. You have nothing to lose and potentially lots to gain! Send us an e-mail to charles@pattersonmills.ch, call us direct at +41 78 214 84 32.

Catégories
ESG Investing Planification Financière Investments

Sustainable Investing: the What, the How, the Why

ESG concept of environmental, social, and governance.ESG icon on a woodblock with small tree on stack coins idea for esg investment sustainable organizational development. account the environment,

Sustainable Investing: the What, the How, the Why

Sustainability is no longer about doing less harm. It’s about doing more good

Jochen Zeitz, President and CEO of Harley-Davidson Tweet

5 min read

Many people have heard of ESG-SRI, including sustainable and impact investing. These words may seemingly appear around every corner, in every questionnaire and are growing in popularity. So, what exactly is it all about?

The What

It is important to first understand what these terms actually mean:

  • “ESG” stands for Environmental, Social and Governance
  • “SRI” stands for Sustainable (or Socially) Responsible Investing
  • “Impact investing” seeks to make a positive impact on the World, as well as using ESG and SRI principles at all times

ESG integration as an investment tool is very different from sustainable investing. While some ESG factors do describe aspects of company sustainability, its aim is to unlock factors that solely impact financial performance. For example, an excellent ESG integrated strategy may still invest in sectors that could be considered unsustainable – like tobacco manufacturers or fossil fuel extractors.

A potential issue, and definitely something to look out for, is ‘greenwashing’. This is where a company is making false claims about a product that purports to be environmentally conscious but is not actually making any notable efforts for sustainability at all. To avoid this, seek companies that display their sustainability ‘credentials’ in a clear and easy to understand manner, with no misleading messaging or imagery, backed up by data and compared to a suitable benchmark.

The How

ESG investing has three criteria:

  1. Environmental impact
  2. Social impact
  3. Governance

The environmental aspect looks at how a company impacts the planet by asking what a company does to reduce its harmful environmental footprint, utilise renewable resources and energy, and how it incentivises its employees to reduce their own footprint.

The social aspect questions how a company treats its employees, customers, suppliers, and the local community. This will analyse healthcare policies, compensation, employee working conditions, discrimination and more.

Governance relates to information about a company’s board of directors, business ethics and structure. Specifically, voting practices, independence, diversity, how new members are selected, how the company trades, levels of transparency, and so on.

Impact Investing seeks to make a positive impact by investing in companies whose products and services create positive impacts rather than just avoiding a negative impact. Impact investing also adds another element: the ability to measure the (global) effect of the investment.

This usually means that Impact Investors are more focused on creating a measurable impact on the World, even if it means foregoing a larger financial return possible elsewhere. It should be noted however that a lower financial return is far from being the norm nowadays from an Impact portfolio.

A lesser-known facet of ESG investing is to look for companies that are B-Lab certified as a B-Corp.  B Lab creates standards, policies, tools, and programs that shift the behaviour, culture, and structural underpinnings of capitalism.  Discover more about B-Lab’s work as a non-profit here.

The Why

There are clear reasons for the rise of ESG investing. Volatility in this sector has seen a great decline for investors over the last 5 or 6 years and it is now possible to obtain enhanced returns with reduced volatility risk in some cases. This is making ESG investments highly attractive as this sector develops further.

In addition, consumers and investors are holding companies accountable for their impact on environmental, social and governance factors against relevant benchmarks. This leads to the decision that a more ESG oriented company may deserve your money over a less ESG oriented company.

A record $649 billion poured into ESG-focused funds worldwide up to 30th November 2021. This was up from $542 billion in 2020 and $285 billion in 2019, making a 127% annual increase over just two years! In December 2021, Morningstar Direct estimated that global sustainable fund assets reached $2.7 trillion.

Sustainably Investing for the Future

ESG and Impact Investing should not be only for a select few. At Patterson-Mills, we believe in investing for a better future and making it accessible for all. To accomplish this, we offer tailored solutions from a carefully selective range of funds, fund managers, with rigorous analysis of appropriate criteria. Following an initial no-obligation meeting, we create a bespoke recommendation for our clients so as to successfully achieve their investment objectives.

Whether our clients wish to invest 100% of their available capital into ESG, SRI and Impact Investing fund styles, or maybe 25%, or perhaps initially none at all, we have a suitable offering available. However, the key is to be put into a position to make a fully informed choice, which at Patterson-Mills, we show all prospective clients. 

Our interests and those of our clients are one and the same, and so we only use proven, cost-effective, and tailored solutions in order to produce the most positive outcomes for our clients’ financial objectives.

Get in touch today and book your free no-obligation review meeting. You have nothing to lose and potentially lots to gain!

Send us an e-mail to edward@pattersonmills.ch, call us direct at +41 78 214 84 32, or fill in our contact form below.

[fluentform id=”1″]

Facebook
Twitter
LinkedIn
WhatsApp
Adresse électronique
Catégories
Planification Financière

Swiss Unemployment – The 2022 Position

Swiss Unemployment – The 2022 Position

The primary solution to avoid technological unemployment is by investing in human capital

Elfren S. Cruz, 2017 Tweet

3 min read

The subject of “unemployment” has been a hot topic throughout the last couple of years. Public health measures caused many new people to appear on the unemployment register. However, are we coming out the other side of this artificial increase in unemployment?

An Endless Cycle?

Unemployment is clearly felt strongly by not only those unemployed, but it also adversely affects the economy as a whole.

The ripple effect caused by people suffering financial hardship, and all that comes with it, negatively impacts consumer spending (one of the key drivers of growth in an economy) which can lead to economic recession or even economic depression, if left to grow. Lower demand means lower profits for business which can lead to redundancies and, thus, more unemployment. It is a downward spiral that once started can be difficult to stop.

However, unemployment has more effects than just financial woes. People will face challenges with mental and physical health, there could be an increase in crime-rates, and Government spending on benefits could become out of control and also reduce GDP.

Reversing the trend!

It is not all doom and gloom though. A vital part of escaping a downward spiral is business and consumer confidence. If people are confident enough to be willing to invest in developing the right skills an economy needs, then both jobs and so productivity can rise again. It is certainly can be a long-term problem once it arrives, but the challenge for Government to try to keep productivity and economic development sustainable, suitable and strong enough for the local needs of the Country concerned.

Coming out the other side?

In Switzerland, the unemployment rate measures the number of people actively looking for a job as a percentage of the labour force.

Unemployment in Switzerland is, happily, on a falling trajectory fell to 2.4% in March, which is down from 2.5% in February and 2.6% in January. In numbers of people, this relates to 109,500 people registered with the regional unemployment office, 8,470 fewer than in February.

From a January 2020 level of around 2.6%, followed by a peak in January 2021 of 3.7%, it would seem that unemployment is now on a steady reduction and on its way back to pre-2020 levels.

Switzerland's 2022 figures compared to toehr leading Countries

Comparing these latest Swiss figures with those of other Countries, we see unemployment in the UK at 3.8%, France at 7.4%, Germany at 5.4%, the U.S at 3.6%, and Spain at a whopping 13.33%. So, it is clear that Switzerland is a front-runner in having some of the lowest unemployment figures in the World, which is possibly a reflection of its strength in markets and very modern approach to sustainability, positively impacting the economy, as well the levels of employment.

Getting your finances back on track

Financial planners have long held the responsibility to support their Clients as they face threats to their financial well-being, especially through and after periods of unemployment. At Patterson-Mills, we realise that with employment on the rise once more, we have an important role to play with getting people’s financial situation in order.

If you have recently become employed or had to change roles due to these turbulent times, we recommend taking advice to make sure your financial future remains on track.

Prenez contact dès aujourd'hui. Vous n'avez rien à perdre et potentiellement beaucoup à gagner!

Send us an e-mail to edward@pattersonmills.ch, call us direct at +41 78 214 84 32, or fill in our contact form below.

[fluentform id=”1″]

Facebook
Twitter
LinkedIn
WhatsApp
Adresse électronique
Catégories
Retraites Protection

Protect Your Retirement From the Risk of Mental Decline

Happy elderly couple resting on beach waving hands

Protect Your Retirement From the Risk of Mental Decline

"Retirement: That's when you return from work one day and say, 'Hi, Honey, I'm home—forever'"

Gene Perret Tweet

3 min read

Retirement – that magical time when we can finally live our lifelong dreams. Increased life expectancy means that many of us can now expect a longer retirement, but this comes at a cost: the increasing prevalence of age-related cognitive decline, which could leave us vulnerable to costly financial errors.

According to the Alzheimer’s Society1, estimates suggest that between 5% and 20% of over-65s suffer from mild cognitive impairment (MCI), a condition in which someone has minor problems with cognition, such as memory or thought process.

Protecting your finances

Planning for the possibility of cognitive decline is an essential part of preparing for retirement. Although many people still have the capacity to live independently and make decisions for themselves, MCI has been linked in scientific studies to poorer financial capacity and an increased susceptibility to scams.

Getting the timing right

Over 80% of investors surveyed2 thought the ideal time to transfer financial control would be ‘sometime after they had begun to experience some cognitive decline but before they became completely incapable.’ Respondents thought there was a higher than one-in-three chance of a mistimed transfer, partly attributable to a reluctance to relinquish control, which exemplifies the need to start planning sooner rather than later, so that any future transfer takes place on your terms.

Opening up conversations

Although it may feel awkward, preparing for the possibility of cognitive decline requires careful planning, not only having legal documents in place but also starting conversations with your family and those you trust about money and your goals for the future, in advance of its possible onset. This means that everything is out in the open and close connections are more likely to notice if you begin making decisions about your money that appear to contradict your objectives.

We can assist you with planning and in starting these conversations with your family well in advance and help you better plan for the future, giving you a greater sense of ownership and control over your plans.

Get in touch today and book your initial, free, no-obligation meeting.

You have nothing to lose and potentially lots to gain!

Send us an e-mail to edward@pattersonmills.ch, call us direct at +41 78 214 84 32, or fill in our contact form below.

[fluentform id=”1″]

1Alzheimers Society, 2019

2Vanguard. 2021

Facebook
Twitter
LinkedIn
WhatsApp
Adresse électronique
Catégories
Planification Financière

Saving for Your Child’s Future

Two little children are playing superhero. Kids on the background of sunset sky. Girl power concept

Saving for Your Child’s Future

We may not be able to prepare the future for our children, but we can at least prepare our children for the future

Franklin D. Roosevelt Tweet

1 min read

Many parents give their children a flying financial start by saving or investing throughout their childhood. A new survey1 shows mothers typically take the lead in this area, while cash remains disproportionately popular.

Mum's the word

The research shows responsibility for children’s savings is particularly borne by mums: 60% of those actively contributing to a child’s savings and investments were found to be women. Researchers noted that this fits a broader theme whereby women tend to connect investing to outcomes for their family more than to their own needs.

The survey also highlighted a drop-off in contributions as children get older. While 67% of new parents start saving or investing for their new-borns, this figure falls to 54% by the time children reach secondary-school age.

Cash is king?

The efforts of parents to save for their children is clearly admirable, but it is important to make that money work hard.

In a high-inflation environment, sticking to cash can limit the impact of parents’ saving, as the real value of cash savings is likely to be eroded over time. While not guaranteed, investment products have historically delivered better returns over the long term. It’s advisable to consider the options.

Find out what you can do to save for your child’s future. Get in touch today and book your initial, free, no-obligation meeting.

You have nothing to lose and potentially lots to gain!

Send us an e-mail to edward@pattersonmills.ch, call us direct at +41 78 214 84 32, or fill in our contact form below.

[fluentform id=”1″]

1Boring Money, 2021

Facebook
Twitter
LinkedIn
WhatsApp
Adresse électronique