Planning means saving according to target

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Saving is good, planning is better, because it means moving from being a saver (an activity Italians have a good attitude towards) to an informed investor. Traditionally, there has been a less obvious tendency here.

In the latest report on investment choices of Italian households prepared by Consob (concerning data for 2022), the percentage of subjects who plan and draw up a household budget has decreased: 12% compared to 16% in the previous year. In any case, the percentages are still quite small and the approach is not always correct. According to Consob, planning among Italian households “prioritizes the sustainability of expenditures (41% of cases), but this is not always monitored (only 20% of the sample controls and/or compares it with the plan), which does not facilitate the identification and prioritization of needs and wishes (mentioned by only 18% of investors), which in an abstract sense should be the first thing to be assessed.”

Therefore, as Consob experts emphasize, the correct approach is to identify needs and wishes, rank them in order of importance according to their time structure, and organize income and expenditure in such a way that resources are guaranteed to meet the planned needs.

Investing is not so much about making money through finance as it is about having the necessary resources at the right time. What to do? Financial advisors can help, they provide their services like all professionals, paid through investment shares (in simple terms) or fees or intermediate solutions. What happens? «The definition of a financial advisor is a family planner – explains Alma Foti, vice president of the advisors association Anasf, responsible for the field of citizen training. We meet with savers and think together about their needs, we put their dreams in the right time frame, transform them into achievable goals. Then according to their risk appetite, we build a portfolio. Through the financial education that financial advisors provide us, savers become conscious investors. 2020 was a year of very intense emotions and as a category we increased the percentage of clients who are concerned. What makes it special is that we support each of our clients in the financial planning process, thus helping them to manage their emotions. “The contribution of advisors is therefore precisely to guide the correct planning, where the focus is not on the profitability of the portfolio or some of its components, but on the achievement of goals over time.