How to create and save Investment Targets for your clients ?

How to create and save Investment Targets for your clients ?

Once your client gets to know his risk persona, then the MFD can start creating goals for him in the system.
Goal-based investing is a perfect ice breaker when meeting with your client. 

What Kind of Goals to create?
Based on the investor type, aspirations, and life stage the goals vary.

A middle-aged 40–50-year man can be shown the importance of investing towards his retirement, children’s education and their marriage, vacation, etc. while for someone who is young and just started earning your counseling should be geared towards unique goals like up-skilling and courses, health & emergency kitty, retiring by age 45, adventure sporting, etc. So, the goal varies for each investor but we assure you that you will not run out of content when you start talking with the client.

Creating Goals. Let’s do it!
Search for the client and under Reports and Utilities>> Risk Management, click on Create Targets.
Assuming you have already created a Risk profile of the client, you can directly proceed to create goals for the client. The Goal can be Children's education, Marriage, Wealth creation, or other goals.

For the sake of this article, let’s create a goal named ‘Vacation in Dubai’ to be done in 2 yrs which would cost around 7lacs. 




Here’s the Goal Summary….
Goal Name – Vacation in DUBAI
The goal will be achieved in – 2 yrs.
Required corpus – 7 lacs
Inflation Adjusted corpus – 7.72 lacs
Required Investments - 
Option 1 - Rs. 6,15,434 as a one-time investment.
Option 2 - Rs, 3,25,135 as an annual purchase
Option 3 - Rs. 28,337 as monthly SIP

Now in case, the client feels the monthly SIP option is not affordable, the MFD is free to go back and make adjustments to the goal.

The following What-if scenario can be played out to reduce the SIP amount further.
1. Ask the client to delay the vacation by 1 yr.
2. Add some more equity to the portfolio making the expected ROI from 12% to 14%
3. Ask the client to invest some immediate lumpsum let’s say 1 lac to bring the target value down.

Once it is done, the SIP amount gets reduced from Rs. 28,337/- to Rs. 14,730/-




By doing this simple exercise, you have done the following:
1. Break the ice with the client and commit the client to a goal and start his journey of goal-based investing.
2. You have got an immediate lumpsum investment of 1 lac.

This is just a start. You can sit with your client and discuss his various aspiration and record it in the system. You can thus shift the focus of the client from return-based investing to goal-based investing.

In case of any questions on this entire section, please raise a ticket from here or call at 90-1521-1521


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