Let’s Talk About A Year-End Financial Review

As the year begins draws to a close, many of us may engage in the tradition of reflecting on the past year and setting resolutions for the next. While personal goals often take centre stage, a critical aspect that should not be overlooked is the financial realm, particularly in the context of estate planning. Undertaking a comprehensive Year-End Financial Review is not merely rote; it is a strategic move that lays the groundwork for the future you envision and ensures a seamless transition of assets when you are no longer around.

Quintessentially, estate planning is more than distributing assets after one’s passing. It is a meticulous process that involves assessing your current financial landscape, identifying potential risks, and implementing measures to safeguard your wealth.

The Year-End Financial Review offers a structured approach to evaluate the fiscal health of yoiur estate and can be quite crucial in helping you make informed decisions.

One key aspect of any yearly review involves taking stock of the current financial portfolio.

Analysing investment performance, assessing the balance of various assets, and scrutinising your overall asset allocation are essential steps in this process. A well-diversified portfolio not only mitigates risks but also helps you capitalise on market opportunities.

Beyond investment portfolios, a Year-End Financial Review provides an opportune moment to reassess your liabilities and debt obligations. Clearing outstanding debts not only relieves the financial stress, but also ensures that the assets intended for your beneficiaries remain intact.

The review should extend to insurance coverage as well. Adequate insurance protection is a cornerstone of effective estate planning. Whether for life insurance, health coverage or wealth accumulation, ensuring that your policies align with current needs and future objectives is paramount. Moreover, do take into consideration how your life stages, such as marriage, childbirth, or significant investments, may necessitate adjustments to your insurance coverage.

In the context of estate planning, it is vital to keep your will updated. By ensuring that your will accurately reflects current intentions and accounts for any changes in family structure or financial standing, it can go a long way in preventing potential familial conflicts and ensure your legacy is upheld according to your wishes.

Disclaimer:‍‍‍‍‍‍ Investment carries certain risks. You should not just rely on results as an indication of your financial needs. You should understand and familiarise yourself with any investment and the associated risks before investing. You are also recommended to seek professional advice ‍‍‍before making any decision to buy, sell or hold any investment or insurance product. The views and thoughts expressed in the post belong solely to us, and not to Manulife Financial Advisers Pte Ltd, or any other group of individuals.