Money is never simply money. In our portfolios, it can represent a variety of different assets, property, resources, or wealth. In our lives, money can also be a means to achieving important personal values like security, power, freedom, love, independence, or self-worth. Have you taken a moment to think about what money really means to you? Oftentimes an individual’s financial focus is the “bottom line”, but a lot happens under the surface. Considering recent world events, including the pandemic, social and civil unrest, and uncertainty in returning to “normalcy,” Private Capital Group recognizes that these uncertain times cause many to pause and reflect on what money means to them.
Throughout the years, we have partnered with clients who view money in vastly different ways. For many, money is the source for a big-picture goal that holds a great deal of personal meaning and importance. At Private Capital Group, we focus on more than returns and gains. We want to know about you - what money means to you, what you’re striving for in your future - among other important details that will help us build a strong, trusting relationship with you. Take a look at the value statements under each category to identify your personal meaning of money. Perhaps you relate to one category neatly and uniformly, or find yourself representative of a blended, unique interpretation.
- Financial Security - Financial security refers to the peace of mind individuals feel when they are not stressed or worried about income or expenses. It may also mean having ample savings in case of emergencies or reaching your next financial goal. Properly investing, budgeting, and planning for retirement sooner rather than later, all may help you secure the financial future you desire.
- Lifestyle – For some, money and financial independence means achieving and maintaining their envisioned lifestyle. Developing and organizing a financial plan with your advisor is an integral piece to making your vision a reality and ensuring that you are capable of sustaining your lifestyle choice. Private Capital Group encourages having frequent discussions with your advisor as changes in income, life experiences, or investments may alter your financial forecast.
- Family Legacy – Protecting your family’s short and long-term financial well-being requires detailed planning, execution, and continued oversight and supervision. Drafting a will, completing appropriate beneficiary forms, and designating an executor are just a few important steps to ensure financial safeguarding for your family. You work hard to create your wealth but protecting and preserving your wealth should be equally important.
Current events, including market volatility, may signify that it may be time to review your estate plan. Emotions, such as vulnerability, and matters of mortality are factors that may impact your decision to revisit your estate plan. We recommend reassessing your estate plan frequently, as preparedness for times of unrest and for the benefit of your financial health.
- Early Retirement – For some, earning enough money, or becoming financially independent earlier in life often has far greater appeal than working 40-plus years. Working for 40+ years, retiring at the age of 65, and then finally enjoying your financial freedom lacks appeal for certain individuals. There are many factors that allow a person to retire early including saving, savvy investment strategies, or sophisticated budgeting. If you wish to retire earlier than the traditional age, a well thought out financial strategy, dedication and discipline are all necessary for success.
- Impact Investing – Investing with a purpose, or impact investing, seeks to support organizations, funds, or companies that intend to create or bolster beneficial social and environmental impact, along with potential financial return. Many investors wish to “put their money behind” companies or funds either that intend to make positive differences in our world, or attempt to tackle our world’s most pressing social, environmental, and governance issues. For example, impact investing today is often associated with efforts to mitigate climate change.
- Philanthropy – Financially supporting your community and causes that mean the most to you is a selfless act. Donating your money and volunteering your time to charities and causes not only allow such organizations to continue vital work and deliver on set missions, but also improves your emotional wellbeing. Doing good makes you feel good! Your financial advisor can help you determine how to financially support the causes of your choice.
No matter your views, money is necessary to achieve your financial goals. There are countless ways to earn money, but proper, guided money management may be one of the biggest influences as you define your meaning of money. Your assets, whether in a savings account, blended portfolio, real estate, etc., should work for you. Allow your assets to work alongside you just as you worked hard to earn that money. Whichever strategy best suits you, make sure you believe in it and be patient. Investing with a purpose over the long-term will help you define your meaning of money.
Thank you for your continued trust and partnership with Private Capital Group. We wish you and your family health and safety and look forward to seeing and hearing from you very soon!