Personal Finance: The Importance Of Training To Take Better Care Of Your Assets

Personal Finance
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In the field of personal finance, training represents an aspect that all too often occupies a marginal – or even non-existent – space in the relationship that is established between the saver and the figure of the consultant.

This custom is most likely the result of old legacies: on the other hand, previous generations habitually allocated personal resources to limited types of investment, especially in the real estate sector; therefore, there has never been a real need to increase the cultural baggage.

However, times change, and even the financial markets evolve, without considering that technology exponentially accelerates these processes, and those who have not been able to keep up with the news have already paid the price for their inactivity in the past and perhaps will pay it more vehemently in the future.

Therefore, the need to identify, when it is decided to set up medium and long-term financial planning, a professional figure of reference capable not only of accompanying the saver in the investment choices aimed at satisfying the personal needs of life but above all that he dedicates a part of his time to the training of the client.

From this point of view, for example, a Strategic investor stands out with financial tools and information to protect, manage and invest one’s assets independently: it is a specialized portal that provides an independent consultancy service in the name of transparency and competence.

MiFID regulation and financial training in Personal Finance

The MiFID regulation further highlights the importance of financial education.

As is well known, completing the questionnaire is essential to correctly identify the investor’s risk profile and a time horizon consistent with it and the return hypotheses.

However, a part of the interview is reserved precisely for the investor’s knowledge of investment and deficiencies in this respect would preclude – or should preclude – a specific type of operation.

According to the legislation, disregarding the functioning of a financial instrument does not allow the negotiation of the same – some intermediaries require an indemnity.

Naturally, this condition is changeable, as the investor, who has taken steps to fill his gaps, can also change the MiFID questionnaire.

Training and independent consultancy services in Personal Finance

In financial consultancy, subjects who provide independent services are particularly suitable for carrying out educational courses in parallel with their activities.

The professional, free from mandates and conflicts of interest, is not accountable to any managerial structure and can wait without problems to complete the client’s training process.

The independent consultant does not receive any commission for the placement of financial products or brokerage services but requires the payment of a well-defined fee for his services at the time of formalization of the contract with the saver.

Therefore, it can make the counterparty understand that it is convenient to overweight risk instruments in certain situations, such as in hyperinflationary contexts. Still, at the same time, it does not have the need to push the subscription of a product.

Independent consultancy: optimization of costs and taxation

Another decidedly exciting aspect that can be identified in independent consultancy services concerns the possibility of maintaining one ‘s correspondence relationships with Banks or Post Offices, which deal with the mere execution of orders arranged for the construction of the investment strategy. All of this, of course, if the commission profile applied is advantageous.

Using this operating method, the customer can optimize costs, using the best intermediary for each asset class or financial instrument. Furthermore, it is possible to maintain, if not even make it more efficient, the benefit of offsetting capital losses and capital gains by opting for the declaratory tax regime.

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