Money Management

August 4, 2008 (LBO) – Sri Lankan savers, faced with the prospect of the value of their savings being eroded by record inflation, are being advised to save early in life and diversify to spread the risks. Top money management professionals say the public must adapt to financial planning while saving a part of the limited income as a precautionary move.

"Financial planning is important because many of us have a limited income and it allows us to decide between what we want to allocate, what we want to consume and what we want to save," says Murtaza Jafferjee, chief executive of stock brokers JB Securities.

Financial planning is the process of identifying, planning for, and meeting goals related to financial needs of individuals, families or businesses.

This includes saving money and planning for college, retirement, taxes and other emergencies.

While savers have different motives, the most fundamental motive is a precautionary one.

Even a person just starting out in a career should think of retirement, though that date could be 30-40 years away, says Jafferjee.

"Most people, when they think of retirement think 'I have my whole life ahead of me,' and if you are at the age of

Subscribe
Notify of
guest
0 Comments
Inline Feedbacks
View all comments
Top
0
Would love your thoughts, please comment.x
()
x