Financial Planning - Is It Time For You To Actively Reallocate Your Assets?

Hi! Have you taken into account recent developments that may affect your wealth building goals?

I prepared this note for my GET BETTER ezine subscribers and got to thinking that perhaps readers of my blog will also benefit from it. Those of you who have taken wise, active steps to build your own retirement nest egg, in particular, might appreciate this quick rundown of what's happening in the global investment arena.

You're probably aware that inflation woes in the US are on the rise. This suggests that new Fed chairman Ben Bernanke will continue to raise US interest rates in an effort to tame that awful price-eroding monster!

A great article to read on the subject is found here.

An even simpler explanation of why inflation is such an important factor is found here.

Whether or not you're in the US now is immaterial. Whither America goes, the rest of us are sure to follow.

At least as far as interest rate strategies are concerned, that is!

For instance, in my own country of Malaysia, I've had to sit down with many of my elite consulting clients and discuss the possibility of equities (read: stocks) tanking. Furthermore, with interest rates having risen and looking set to waft higher still, the outlook for bonds is also rather grim. (For those who don't know this... yet, bond prices and interest rates tend to move in opposite directions. So, if interest rates go up, bonds are expected to fall.)

Of course, some of my clients are in a position to ride the expected drops and can thus take advantage of the anticipated lower prices. For a clear explanation of why this is a good idea for some people at the right times of their lives, read this piece.

And if you're interested in reading about how capital market volatility can be strategically harvested for decent long-term investment returns, curl up and read this lengthy article.

For now, I'm urging those of my clients who are in no position to handle too much volatility to intelligently reallocate their funds away from bonds to money market instruments, which tend to be stultifyingly boring investment vehicles with one huge redeeming quality:

They provide great stability at a time when investors are rushing away from the anticipated storms in the equity (stock-related) and fixed income (bond-related) markets.

I suggest you take a careful look at your portfolio, the underlying economic currents in your country, whichever it might be, and the immensely pertinent actions and reactions of the most important economy on the planet - Uncle Sam.

Happy long-term wealth accumulation.

By the way, if you'd like to join others who have opted to have me work with them, please take the time to decide if this option is right for you...

You may begin doing so by asking this vital question:

Are you able to spend thousands of dollars but much prefer to only invest hundreds?

If so, I've launched a 'lite' version of my elite life planning consulting package. This shorter, online-based version lasts a whole three months, and focuses on the three core life planning areas of personal finance, goal-setting and time management.

The price of this 13-week email- and online-based consulting package is less than a tenth of my regular consulting one.

If you're interested, drop me a quick email to

mailto:sales@RajenDevadason.com
(or simply copy-and-paste sales@RajenDevadason.com
into a fresh email) with

'Rajen, please tell me about your new consulting package',

in your subject header.

Warning: This service is NOT for everyone.

Please only write to me about it if you are 100% serious about joining this programme.

Thanks. Stay well.

Warmest regards,

Rajen

Rajen Devadason is CEO of RD Book Projects and its sister company RD WealthCreation Sdn Bhd. He lives in sunny, peaceful Malaysia with his gorgeous wife Rachel. He's a Malaysian Securities Commission-licensed financial planner, a life planning consultant, a professional speaker and a serial author... which probably explains why he's so exhausted! Some of his books are available here, and, if you're interested, here are some quotations he reckons are accurate, bold or cool.

Financial Planning - The Role of Giving

Hi! Truly wealthy people - regardless of the size of their bank account - understand the importance of giving to charity.

We live in a wonderful inter-connected world. I don't think we'll ever fully realise just how linked we are to one another until we get to the other side of Eternity. In the meantime, it is wise for us to remain aware of what is happening across our tiny planet and to take the time to help heal the wounds of others... if and when we can.

Very recently another quake in Indonesia killed more than 6,000 people. You're probably aware of it; after all, most people are!

But only a tiny fraction of humanity has responded with tangible, material help. Are you among that minority? Have you already done something to help the survivors?

If you have prayed for them, I salute you because I know God hears.

If you have prayed for them and also given of your hard-earned money to help alleviate their suffering, I stand up and salute you!

I'm about to send out a brief message to thousands of my GET BETTER ezine subscribers, urging each one to pray and give. I welcome you to join them. If you already know of a solid, effective charity that is doing a great job in the hardest hit parts of Indonesia, please give to it. But if you want to help, yet don't know how to do so, I recommend Mercy Corps.

Check it out for yourself. And if you understand the core importance of intelligent, effective, directed giving within a holistic financial plan, please act.

Thanks and take care.

Warmest regards,

Rajen

Rajen Devadason is CEO of RD Book Projects and its sister company RD WealthCreation Sdn Bhd. He lives in sunny, peaceful Malaysia with his gorgeous wife Rachel. He's a Malaysian Securities Commission-licensed financial planner, a life planning consultant, a professional speaker and a serial author... which probably explains why he's so exhausted! Some of his books are available here, and, if you're interested, here are some quotations he reckons are accurate, bold or cool.