Read about one of Carol's client's experiences with financial planning and how he went from confusion to financial security.
#1. Client Introduction
Richard is a 43-year-old senior manager in the medical instruments manufacturing industry, earning an annual income of approximately RM230,000. He is single and often too busy with work to pursue a relationship. With both of his parents having passed away, Richard has two younger sisters who are married and financially independent. His demanding job has left little room for a personal life, and he is beginning to think about his future beyond his career.
#2. Client’s Problem Before Meeting and How He Met Me
Richard had been investing with his cousin, a Unit Trust Agent, in PRS, EPF, and Cash Trusts. However, he grew concerned after seeing an Investor Alert from the Securities Commission regarding a Cash Trust product his cousin had recommended, in which he had invested RM220,000. Not wanting to strain their relationship, Richard quietly searched for a professional financial planner and found Wealth Vantage Advisory online.
When we first met, Richard shared his frustration with the investment and his broader concerns. As a single man with no immediate family, Richard had already dealt with the complexities of being the executor for his parents' estates. He wanted to ensure his assets were well-organized to avoid causing similar challenges for his sisters in the future. Although he was knowledgeable about various investments such as property, gold, unit trusts, shares, and options, his busy schedule made it difficult to manage everything effectively.
With his employer planning to relocate the business to Thailand, resulting in his layoff by early 2025, Richard was also worried about his financial future. He wanted to know whether he could retire at 45 or if he should seek a less stressful, lower-paying job to finally have time to meet his "Miss Right."
#3. Advice and Implementation
I began by helping Richard gain a clear understanding of his cash flow, assets, liabilities, and life goals. Although he was a diligent saver, his approach of accumulating funds and then seeking high-return investments left him vulnerable to scams and inefficient asset allocation. We focused on increasing his savings ratio in the first year of our engagement, ensuring his funds were better allocated and less susceptible to risky investments.
Next, I assisted him in mapping out his life goals and aligning them with his resources, income, and bonuses. We created a financial plan to assess the feasibility of retiring at 45. Through our analysis, Richard realized that early retirement was within reach, giving him newfound confidence in his financial future.
Beyond retirement planning, we also addressed his wealth transfer needs, including setting up a will and ensuring he would be taken care of in the event of a critical illness or comatose, not just after his passing. Additionally, I actively managed his investments, reallocating them to better suit his risk appetite and financial goals.
By illustrating the weighted average return of each investment, Richard understood how this reallocation made his money work harder for him. We also secured sufficient wealth protection to cover debt cancellation or provide for him in case of critical illness or total permanent disability.
#4. Changes in Client Experience
After one year of working together, Richard now has a clear understanding of where his hard-earned money is and how it is working for him. He has peace of mind knowing that if anything happens, he is financially secure.
#5. Client and Advisor Hopes for the Financial Future
In the second year of our engagement, Richard has become much clearer about his goals. Unlike in the first year, he now confidently articulates his desires, such as retiring at 45 with a monthly income of RM12,000. This kind of clarity and certainty is deeply satisfying for me as his financial planner. It reassures me that the work we have done together has helped turn his dreams into tangible goals, and with our continued partnership, I am confident he will achieve them.
#6. A Personal Note
I am truly honoured that as our one-year engagement approached its end, Richard was the one to suggest a meeting to discuss our second-year engagement and his financial plan. His willingness to share his positive experience with his sisters, relatives, friends, and colleagues, and his enthusiastic recommendation of my services, is immensely gratifying. Richard’s testimony about the value of the advisory fee and how my guidance has helped him identify and address financial blind spots underscores the worth of our work together. It is incredibly rewarding to see how the proactive management of his investments has made a significant difference in his financial journey.
What do you think about Richard's story? Share with us in the comment section.
About The Author
Carol is a Registered Financial Planner (RFP) under the Malaysian Financial Planning Council (MFPC). She also holds a Capital Market Services Representative License (CMSRL) and Financial Advisor Representative License (FAR) from Securities of Commission (SC) & Bank Negara Malaysia (BNM). Carol joined the financial industry back in 1998, starting with providing singular solutions in life insurance products. Since Carol resolutely decided in taking a holistic, personalized approach to bring all the pieces of her clients’ financial life together, she is now a licensed Financial Planner with Wealth Vantage Advisory (WVA).
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