3 valuable reasons your financial reviews are important

Published: October 5, 2023 by Jennifer Armstrong
Two people shaking hands in an office.

Creating a financial plan is just the first step to reaching your goals. While you may have carefully set out what you need to do, financial reviews are still essential.  

Often, it’s advised that you review your financial plan once a year or following major life events. Over the next few months, you can read about why reviews are a part of your financial plan and the times when you might want to make changes. 

Here are three reasons why you shouldn’t skip reviews.  

1. You can use your review to check you’re on track to meet your goals

Even the best-laid plans can go awry. 

A whole host of outside factors could affect the outcome of your financial plan, from interest rates to financial shocks. Financial reviews can provide a snapshot of your finances and help you understand if everything is still on track.

A review is a chance to look at things like how your investments have performed and what the projected long-term returns mean for your future. 

Financial reviews mean you could identify potential obstacles in your plan sooner than you might if you didn’t carry one out. It may give you a chance to respond to possible risks and limit the effect they’ll have. 

Going through your plan regularly may also help you feel more in control and boost your wellbeing overall. Knowing that a professional is handling your finances with your aspirations in mind could help you focus on other areas of your life. 

2. You can update your financial planner about changes in your life

Your circumstances and goals should be a central part of your financial plan. What you want to achieve with your money may affect which decisions are right for you.

While you’ll often set out long-term goals when you first make a financial plan, things can change. 

As part of your financial review, we’ll not only discuss how your assets have performed but whether your plan is still suitable. So, talking about your aspirations is essential.

Perhaps since your last review you’ve decided you want to: 

  • Receive a higher income in retirement because your lifestyle or financial commitments have changed 
  • Take time away from work to raise children or care for a relative 
  • Retire earlier 
  • Gift a lump sum to your child to help them reach their goals
  • Start your own business. 

New goals might also affect your long-term finances.

For instance, if you want to take time away from work, you may pause pension contributions, which could affect your retirement income. By making these decisions part of your financial plan, you can understand both the short- and long-term effects and how you could keep other goals on track. 

3. Reviews provide a great opportunity to ask questions or address concerns 

Your financial reviews are the perfect time to ask any questions or bring concerns you might have to your financial planner. 

Perhaps a period of investment volatility means you’re worried about how market ups and downs could affect your income in the future? Or maybe a news story about retirees running out of money has made you worried? 

Feeling anxious about your finances could cause unnecessary stress or even lead to you making decisions that aren’t right for you. So, using your review to talk to your financial planner about what’s on your mind could help you stay on track and feel comfortable when handling your finances. 

Of course, if you have any questions or concerns, you don’t need to wait until your review to bring them up. You can contact us to speak to one of our team when you need to. 

Do you have questions about your financial plan or review?

Whether you’d like our support in creating a financial plan that suits you, or you have questions about your review, you can contact us.

Our goal is to help you have confidence in your finances and make the most of your money in a way that aligns with your aspirations. 

Next month, read our blog to discover two key reasons why you might want to make changes to your financial plan following a review. 

Please note:

This blog is for general information only and does not constitute advice. The information is aimed at retail clients only.

The value of your investment can go down as well as up and you may not get back the full amount you invested. Past performance is not a reliable indicator of future performance.


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