How to review your financial plan

The Money9 Helpline hosted Finwise’s founder Prathiba Girish to help our callers resolve queries related to financial planning.

Girish: If you invest without a plan, you tend to take out the money during emergencies. Even if you are not making a financial plan, I would suggest at least write down your goals and map your investments according to those goals. It is also important that you review your portfolio and check if the funds you have invested in are performing or not. Check if the performance of funds is based on the market dynamics or funds themselves.

Rahul: I have not made any changes to my financial plan for the last three years. Why is it important to periodically review and change financial plans?

Girish: Absolutely, you should review your financial plan. This is because your life goals keep changing. Your job might have changed, your income or expenditure might have also changed or you might be getting married. Your financial goals keep on changing with these transitions. So, it is important to review and see where you stand in terms of your plan.