Financial plan an invest DOLLARS AND SENSE KEEP IT simple yet have disclosure of all the relevant datails. That's the challenge both con- sutners and advisers face, say those in the financial planning business, but it’s a challenge too often not met successfully. Financial planning started in the _ U.S. well before it did in Canada and has developed more widely. Yet many of the concerns today semain the same. “A great deal of information is out there but managing your money is acomplex subject and takes a lot of time.” said Kathy Kristof, who took over Sylvia Porter's personal finance column for the Los Angeles Times Syndicate after Porter died. “So it’s still buyer beware. I find people who get taken the worst are those who are greedy or stupid, or who ignore their own intelligent instincts.” Financial planner Linda Taytor Lauer said in her experience, peaple are oflen not willing to pay for Ninancial advice, “and [can under- stand why. I've seen many advisers who say they are financial planners ~— and they are awful.” Lauer, who has the Certified Financial Planner (CFP) designa- tion and has been in the business of both selling financial products and working ona fee basis for 17 years, said she doesn’t provide furmal financial plans but instead condens- es her advice into simple terms. Mitchell Kauffman, of the American Financial Planaing Group, a CFP who has been in busi- ness 12 years, said people typically seek financial advice when they have a decision to make. “It tends to be a sporadic or peri- odic thing rather than an ongoing process,” he said. Lauer said most financial plan- ning involves income tax so it’s important to have the latest infor- mation on tax rules and strategies. But Tania Soussun, executive business editor of the San Gabriel Valley newspaper, said constantly changing tax laws make it hard to keep up. “The average person is con- fused, even overwhelmed, when he or she tries to figure out what ta do with money, what investments to make.” she said, “You can get help- ful information through the media and from the various seminars _ although at those you must separate the educational raaterial from the sales pitch.” Soussan said whenever a finan- cial scandal is uncovered and pubti- cized, “at least it helps make people ent more wary ubout their own finan- cial decisions,” Kristof said the kev to successful personal money management clear disclosure, to give people the opportunity to see what they are - getting into — although conflicts of interest aren't always clearly speci- fied.” Even when there is disclosure, it often comes in something like the 30-page prospectus in small print that describes the mutual fund you plan to buy. To help you find out what you need to know — in clear Janguage — before you make investment decisions, choose the relevant ques- tions from the following list: * What types of investment is this? * How much growth (%/yr.) can T expect? * How much growth is guaran- teed? * How much income can I 66 A great deal of information is out there but managing your money is a com- plex study.. expect? * How much income is guaran- teed? fs my original capital guaran- teed? ef there are any guarantees. who provides then? * flow and when will the growth and income be taxed? * How long should I be prepared to leave my money in this invest- ment? ¢ What costs are involved in (a) buying, (b) hoiding, (¢) transferring and (d) selling/redeeming this investment? «Can { get my money back at any time? How? If not, why? To find out more about your financial adviser, ask: * How long have you been pro- viding these services? What did you do before that? * How are you paid? * How long hus this company been in business? + What professional designations and affiliations do you have? * Widi which other companies or financial advisers are you involved? If the person is reluctant to pro- vide any of the above information, deal with somebody else If you are investing a significant amount, ask for the answers in writ- ing. Type or write out the questions leaving room for the adviser to pro- vide the information. Also, have the per: date your sheet and a hess card. Mike Grenby is a North Shore- based colunnist and independent financial adviser whe works with individuals; he will answer your questions in this coltann as space allows — write ta hin cla The North Shore News, 1139 Lonsdale, North Vancouver V7M 2H4, an stem and a busi- Wednesday, March 23, 1994 - North Shore News - 2 es ons ig lease for model #O4DPS4AA *48mo, $1700 down O.A.C. T.P. $44,252 ue lease for model #J3BL54AA 48mo. $1850 down 0.A.C. TP, $12,842 ape Rarer ie 48mo. $2700 down 0.4.0. TP. $14,652 H A Ere: Sore ray met ae ne aM Nah ee i 94 MYSTERE a lease for model #M2BSS4AA 48mo. $2706 down O.A.C. T.P. $17,052 STs a ie Ca eS segue }] a 94 i lease for modal #XBBASdAA 48mo. $1700 down O.A.C. T.P. $8,852 48mo, 2830 down O.A.F T.P. $16,702 REGENCY (NORTHSHORE) MAZDA 700 block, Marine Dr. North Vancouver 987-4458