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BVare Financial Planners and Trainers

Process

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Most of the people who contact a financial planner are probably doing it for the first time and hence have a common question in their mind.

What happens during the financial planning process?

To give an idea, listing below the broad outcomes :

  • All your financial goals are identified and quantified. Examples: How much money would you need for the higher education of your child in the year in which she will reach that milestone? How much money would you need as retirement corpus in the year in which you plan to retire?
  • Your existing net worth is calculated to see whether you already have created the assets required to meet the goal. This also brings to light any shortfall.
  • If there is a shortfall, how much you should be investing per month or per year to cover the shortfall is calculated.
  • Your existing cash flow pattern is calculated from your income and expenses which will show whether you will be able to invest the required amounts to cover the shortfall. If not, goals, goal amounts, goal timelines etc would have to be tweaked till the shortfall looks manageable.
  • The above process will also help to quantify your emergency fund and insurance coverage requirements.
  • Once the goals, net worth and investible surplus are known, the existing assets/ future investments are restructured/planned considering suitability, tax impact, risk impact (as per the risk levels you are comfortable with) and cost impact (direct modes).
  • Once the plan is agreed upon, the same is implemented in direct modes. For clients who don’t know how to purchase the insurances, mutual funds etc in Direct mode (ie, without agents), I teach them how to do so.
  • A review is done in the 6th month
  • Client can contact me any number of times during the year for any clarifications.
  • After one year, client renews the engagement if he wishes so.

The detailed steps involved are given below (The word “client” has been used for the prospective client also):

  1. Client contacts me and and expresses his interest in scheduling an introductory call. This can be done either by mailing to brijesh@bvare.com or by whatsapp at (91) 9961023640. Please include the following details while contacting:
    • Your Full Name
    • City where you are based at
  2. The introductory call is for me to understand the specific requirements and for the client to decide whether I am the right person to help him.
  3. After the call, the client informs whether he is happy to go ahead and sents his KYC docs (ie, PAN Card, Masked Aadhaar / Passport etc)
  4. Next, I will mail the letter of engagement, data sheet and bank details to the client.
  5. Client signs letter of engagement, pays the full fee of Rs.20000/- by account transfer, and shares the filled in data sheet.
  6. Once I get the above inputs, I will start working on the same. On an average, it takes at least two sessions of one hour each before the plan can be finalised. Normally, both these sessions and the finalisation of the plan will be done within 2 weeks of me receiving the filled in data sheet. Once finalised, I will email the plan to the client. Client can ask any clarifications on the plan at any point.
  7. If the client does not know how to implement the plan in direct modes, I will teach him to do so.This completes the onboarding stage.
  8. A review will be conducted after 6 months.
  9. During the tenure of engagement, the client can consult me any number of times in case of any queries.