Investment Planning


Accumulating wealth through investments takes comprehensive planning. Most people in our society today spend first and then try and save what little is left over. All too often there is none left to invest. Those who have money in our society are those who save first and then spend the rest. These people are the ones who have money when they really need it.

At Erven Planning, we work with our clients to help them consistently save for their accumulation objectives. We review their planning objectives on a regular basis and help them stay on track.

Asset Allocation

Asset Allocation simply means to have different asset classes in your portfolio. To work best, your asset mix should be periodically reviewed and re-balanced if necessary. To diversify your investments simply means investing across a mix of asset classes, rather than investing all of your money in just one asset class. So, if one asset class is performing poorly, this will most likely be offset by the returns of other better-performing asset classes. In this way, you are spreading the investment risk.

Contact an Erven Planning advisor today to help you develop a strategy that best suits you no matter what stage in life you find yourself.

Balancing Investment Risk

What is my tolerance for risk? This is a very difficult question for many investors. In general, markets tend to provide higher returns in exchange for bearing higher risks. Often you will find that the investments with the highest long-term returns are very volatile in the short run. It is important to be honest with yourself in assessing whether you are comfortable with market volatility, and the level you can tolerate. While it is easy in hindsight to wish you had invested in a risky segment of the market that has performed well recently, a more realistic view is to look forward at the risk that might occur in the future.

Your advisor at Erven Planning will work with you to understand your tolerance for risk, which is then used to develop an Investment Policy Statement (IPS). This IPS acts as the guiding document for setting up your investment portfolio.Part of this IPS will be the asset allocation recommendation for your portfolio.

Maximizing Growth

Our advisors at Erven Planning can assist you in developing a systematic investment plan, which invests a certain fixed amount of money each month.

Continuing a sustained discipline of investing over a period of time will spread the cost basis out over several years, providing insulation against changes in market prices.

Therefore, even a down market doesn’t have to cause panic if you’re investing for the long haul.

Asset Growth Strategy

With dollar cost averaging, you first figure out how much you can afford to stash away, then you channel that same fixed amount every month come rain or shine into your equity program. When markets go up, you can congratulate yourself for having made some paper profits. When markets go down, you figure that you’re at a bargain sale. Perhaps last month your monthly investment could only buy three units of your favorite Mutual or Segregated fund. This month it might buy four units. This is only one of the many asset growth strategies you may wish to employ.

A financial advisor with Erven Planning will explore different asset growth strategies to discover which may be right for you.

Better Rates of Return

It has been our experience at Erven Planning that many of our clients have improved their rates of return with just a little advice from us. It may be that you are not taking full advantage of investing in our pension plans at work or the opportunity that they have of being involved in a company deferred profit sharing plan. This may be partially due to their lack of knowledge in the financial instruments that are readily available to them.

One of our financial advisors may be of assistance to you to help you improve your financial rates of return.