From our archive. This article was published on 27 November 2018. Rules and amounts may have changed since.
When we look at the different facets of our society, we can assume that growth has become a necessity:
- Economic growth is a worldwide topic of conversation in meetings, speeches, etc.
- The new Chief Executive is appointed within a company to increase turnover and profit through growth targets.
- Companies that focus on financial optimisation and financial planning are also all concerned with growth.
Objectives that do not involve growth?
Of course, we do not need to fixate blindly on objectives that are only about growth, but on what instead?
We offer you the example of PADI, a world-leading organisation that is responsible for organising training for scuba divers. It is a commercial company: it earns income, sells products and services and, last but not least, it makes a profit.
Nice, isn’t it? But financial growth is not their driving force. For them, safeguarding safety in this extremely dangerous sport is a must, as the sport is growing worldwide.
Growth with a purpose!
When you sit down at the table with a client to draw up a financial plan, the main aim is not to create a fixed position, but to look at future goals and motivations.
Once we are able to manage our clients’ investments, we can build out the portfolios towards the goals that we drew up first. That way, we concentrate on the risk that the portfolio has to take to achieve this, rather than asking the client how much risk they would like to take.
As always, the client’s financial well-being is at the centre!
The growth of happiness!
When we think of financial advice, we tend to think of terms such as investments, taxes and pensions. The job of a financial planner is, however, to direct our clients’ focus to what makes them happy, and from this to map out the investment and pension options and how to achieve them.
We can bring about this change in focus among our clients in the workplace too: just think of workshops with your colleagues, information sessions, meetings, etc.
Conclusion
Growth is certainly a constant in our society, but it should not take centre stage. Money cannot buy you happiness, but it can help you get somewhere.
The shift in focus is gradually becoming noticeable in business and society, so that we increasingly concentrate on what makes us happier, and not richer.
“Whoever asks is ignorant for a moment. Whoever does not ask remains ignorant forever.”
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Jan Van Diest, Financial Well-Being Coach.