Wealth creation: It's never too late | Bangkok Post: news

Networth

So far this year we have looked at the importance of a well thought-out financial life plan and how such a plan might be affected by the creeping stealth power of inflation. Projecting these aspects of your overall finance picture into the future is not easy as there are so many unknowns and factors to take into account.

We then looked at making a start on preserving the wealth you may have already created. This also can be baffling for many people, because placing too much emphasis on specific areas can disrupt the balance of your portfolio and subsequent growth. For example, if your assets are entirely invested in equities and the markets suffer fluctuations as they have in recent years, this can have a devastating effect on your personal wealth.

If you were heavily invested in other asset classes such as bonds or property and these suffered a similar fate you would also be in difficulty because your overall asset allocation relied too much on a single class.