Financial Planning in Mexico PDF Print E-mail
Monday, 12 November 2007 12:46

To enjoy the finer things in life in the years ahead, or simply to provide for a more secure future, you need to build a sizeable capital sum. For most people the only way to do this is to save for it on a regular basis.

Financial planning for the future is a sensible idea to most people but, sadly, too many do too little too late. There could be many reasons for this or it could just be that people are put off by what they think is a boring and complex subject.


Research shows that when people finally think about making plans for the future, they have three main priorities:

  • To be financially secure
  • To protect and provide for their families
  • To maintain their independence in retirement


Every investor is considered unique, each having a different set of circumstances and reasons to invest. Whether saving for a child's education, providing for the family or to fund retirement, investments are a way of making your money work for you. Good financial planning is about assessing an individual's circumstances and structuring the effective development of a client's financial assets and savings capacity.

Building Capital

To allow you to enjoy the finer things in life in the years ahead, or simply to provide for a more secure future, you will need to build a considerable capital sum. The only way for most people to achieve this is to save for it and to save regularly so that, before long, it becomes a habit. In this way savings can grow surprisingly quickly giving you peace-of-mind and the ability to afford the things you really want. Financial planners can assist in evaluating which savings or investment vehicle would best suit you, based on your personal circumstances, goals, attitude to investment risk and tax situation.


"According to the International Labor Organization, by 2025 there will be only 1.5 wage earning people for each ageing dependant in Western Europe."

Retirement planning is the art of creating and protecting wealth throughout your working life in order to maintain your standard of living during retirement, when the objectives are to maintain purchasing power, to manage capital and to preserve the value of your estate. It could also include tax planning to ensure that financial growth and returns are optimized in net terms. More and more individuals and companies are making their own arrangements to provide for a secure financial future after retirement as governments around the world now recognize their practical inability to provide adequate retirement benefits.

Early Retirement

Leaving the work force before the age of 65 is a tough task. Planning is vital and so is the advice of a professional financial advisor. It is necessary to take into account many things including inflation, healthcare coverage and penalties for early withdrawals (if applicable to your pension). Good advice is essential. How much will you need? Expenses drop in retirement, right? Think again, costs don't always drop as much as you'd expect and may even rise, after all you have much more time on your hands. You may decide to travel more, join a golf club or get that knee operation that is long over due. Of course your spending won't be constant; it may start high but as you start to slow down so should your expenses. You have to plan 100 percent for your retirement. What returns should you expect in retirement? Financial planners will help you find the best funds with regard to your attitude to risk. Proper planning as early as possible is vital.


With education fees always increasing, saving for your children's education requires a long-term plan. And like saving for retirement, the earlier you start your plan the better. Depending on your own circumstances, you may choose to target one or all of the different stages of your child's education:

  • primary
  • secondary
  • university/higher education

Net disposable income can be significantly diminished by a heavy school fee commitment and giving rise to compromise on your own financial status. However, planning in advance to make sure that the necessary funds are available can mean financial freedom for yourself whilst at the same time providing an excellent start in life for your child. Making the necessary financial arrangements today will mean that the decision whether to go on to higher education can be decided on ability, not financial standing.

Wealth Management 

Wealth Management is the process of maintaining and protecting the assets that a person has acquired. There are essentially only six types of asset:

  • cash
  • bonds
  • equities
  • property
  • commodities/derivatives
  • collectibles/antiques



Last Updated ( Tuesday, 28 October 2008 11:31 )