PROCESS WE FOLLOW
PROCESS WE FOLLOW
Introductory Meeting
We provide a 30 minutes explanation of the Financial Planning process, Financial goals, responsibilities and expectations, Charges etc. We do not charge for this meeting. We will also email you the Engagement letter draft along with data sheet & documents required list for you to go through the same before deciding.
For Outstation clients, the process can be explained on Zoom app/ Google Duo app or on phone and relevant clarifications provided by email.
Signing the Agreement / Engagement Letter
Once you are convinced that you want to go ahead, we will jointly sign a “Letter of Engagement/ Agreement” (Online signing option also available) and submit a copy of the same. This will be followed by Online Risk profile assessment test and analysis. Advance payment is done after this stage as per terms discussed.
We will send you the following sheets in advance before we meet/ discuss for the 2nd time.
- Data sheet: So, you can fill up the important details like monthly expenses/ investments (detailed breakup as per format).
- Documents required list: We expect you to provide us various documents related to your insurance, investments, assets and liabilities, etc as per the details mentioned in the document.
Introductory Meeting
We provide a 30 minutes explanation of the Financial Planning process, Financial goals, responsibilities and expectations, Charges etc. We do not charge for this meeting. We will also email you the Engagement letter draft along with data sheet & documents required list for you to go through the same before deciding.
For Outstation clients, the process can be explained on Zoom app/ Google Duo app or on phone and relevant clarifications provided by email.
Signing the Agreement / Engagement Letter
Once you are convinced that you want to go ahead, we will jointly sign a “Letter of Engagement/ Agreement” (Online signing option also available) and submit a copy of the same. This will be followed by Online Risk profile assessment test and analysis. Advance payment is done after this stage as per terms discussed.
We will send you the following sheets in advance before we meet/ discuss for the 2nd time.
- Data sheet: So, you can fill up the important details like monthly expenses/ investments (detailed breakup as per format).
- Documents required list: We expect you to provide us various documents related to your insurance, investments, assets and liabilities, etc as per the details mentioned in the document.
2nd Meeting
(At least 2 hours)
We will discuss the data sheet on Zoom or relevant online medium
We expect you to provide your data sheet which includes your personal details, cash-flow statement, and your financial goals.
We will also help you to fill the data sheet in case you are not able to do so but we expect at least the expenses’ part to be filled up in advance.
During the meeting we will also assist you to
- Set your financial goals along with the year of achievement and values
- The risk profiling score and assessment test is discussed: This will help us to understand your risk taking ability in terms of investments and your expectations on returns.
- After collecting the datasheet and other questionnaires and documents (provided you have given all the documents) we will take around 7 to 10 days to prepare your “financial planning report” which include,
- Future value of Financial Goals (How much money you require in the future)
- Financial Ratios (which areas of personal finance are good / bad, etc)
- How much insurance cover do you require (life, health, accident, etc)
- Net Worth (Assets & Liability statement)
- Analysis of your existing insurance policies
- Analysis of your existing investments
- Check on the nominations & holdings
- Possibility to achieve your financial goals
- Shortfall if any and how to plan to overcome the shortfall
- Contingency Fund requirement
- Suggestions on adequate insurances
- Investment plan to achieve your goals
- Retirement planning
- Effective Tax calculation
- Suggested Cash-Flow etc.
3rd Meeting
To discuss the financial plan and its analysis/ advice/ recommendation
(Time: 2 hours)
During this discussion we will explain to you our analysis and suggestions and the rationale behind our suggestions. Here you may air your views and objections if any. Once the discussion is over, in case any minor changes are to be done, will be carried out and the final plan copy is emailed to you. We can organize a 4th meeting to discuss the final plan.
Action Plan Meeting
(1 hour)
Once we receive your acceptance of the plan recommendations, we will discuss the action plan. Here we discuss the mode of implementation and provide guidelines on how to go about. For Direct plan investments in mutual funds, we will help you open a free online account to transact.
REVIEW:
1st Review: After 3 months. Here we will review the status of the recommendations given and how much we have achieved in terms of the implementation.
2nd Review: After 6 months from the 1st Review. Here we will review the implementation status, Investment performance, rebalancing of assets if required and discuss any other queries related to goals.
Implementation
Proficient Financial Planners are into FEE ONLY services. We provide monitoring services if you opt for the same which will be done during the reviews. For implementation related to buying or surrendering of Insurance mutual funds, etc you can do it online or through your existing advisor.
In case you need our services to enable you to invest in Direct Mutual funds (Without broker and without any commissions) then we can provide you guidance on MF investment services, the details of which are given separately
Mutual funds’ investments & guidance support
(Direct plans only)
The following services will be provided under this category
- Enabling KYC compliance for all investors under a family
- Helping in the documentation for creating an online Direct MF investment account
- Helping to transact online for purchase/ sale/ switches, etc in direct mutual fund schemes
- Managing the data related to the investments
- Sending you monthly status of your investments
- Regular advice on your investment portfolio whenever you have any queries along with the half yearly reviews.
- Provide details of your MF investments whenever you need apart from sending you each month
- Providing capital gains statements at the end of each financial year for filing your income tax returns.
2nd Meeting
(At least 2 hours)
We will discuss the data sheet on Zoom or relevant online medium
We expect you to provide your data sheet which includes your personal details, cash-flow statement, and your financial goals.
We will also help you to fill the data sheet in case you are not able to do so but we expect at least the expenses’ part to be filled up in advance.
During the meeting we will also assist you to
- Set your financial goals along with the year of achievement and values
- The risk profiling score and assessment test is discussed: This will help us to understand your risk taking ability in terms of investments and your expectations on returns.
- After collecting the datasheet and other questionnaires and documents (provided you have given all the documents) we will take around 7 to 10 days to prepare your “financial planning report” which include,
- Future value of Financial Goals (How much money you require in the future)
- Financial Ratios (which areas of personal finance are good / bad, etc)
- How much insurance cover do you require (life, health, accident, etc)
- Net Worth (Assets & Liability statement)
- Analysis of your existing insurance policies
- Analysis of your existing investments
- Check on the nominations & holdings
- Possibility to achieve your financial goals
- Shortfall if any and how to plan to overcome the shortfall
- Contingency Fund requirement
- Suggestions on adequate insurances
- Investment plan to achieve your goals
- Retirement planning
- Effective Tax calculation
- Suggested Cash-Flow etc.
3rd Meeting
To discuss the financial plan and its analysis/ advice/ recommendation
(Time: 2 hours)
During this discussion we will explain to you our analysis and suggestions and the rationale behind our suggestions. Here you may air your views and objections if any. Once the discussion is over, in case any minor changes are to be done, will be carried out and the final plan copy is emailed to you. We can organize a 4th meeting to discuss the final plan.
Action Plan Meeting
(1 hour)
Once we receive your acceptance of the plan recommendations, we will discuss the action plan. Here we discuss the mode of implementation and provide guidelines on how to go about. For Direct plan investments in mutual funds, we will help you open a free online account to transact.
REVIEW:
1st Review: After 3 months. Here we will review the status of the recommendations given and how much we have achieved in terms of the implementation.
2nd Review: After 6 months from the 1st Review. Here we will review the implementation status, Investment performance, rebalancing of assets if required and discuss any other queries related to goals.
Implementation
Proficient Financial Planners are into FEE ONLY services. We provide monitoring services if you opt for the same which will be done during the reviews. For implementation related to buying or surrendering of Insurance mutual funds, etc you can do it online or through your existing advisor.
In case you need our services to enable you to invest in Direct Mutual funds (Without broker and without any commissions) then we can provide you guidance on MF investment services, the details of which are given separately
Mutual funds’ investments & guidance support
(Direct plans only)
The following services will be provided under this category
- Enabling KYC compliance for all investors under a family
- Helping in the documentation for creating an online Direct MF investment account
- Helping to transact online for purchase/ sale/ switches, etc in direct mutual fund schemes
- Managing the data related to the investments
- Sending you monthly status of your investments
- Regular advice on your investment portfolio whenever you have any queries along with the half yearly reviews.
- Provide details of your MF investments whenever you need apart from sending you each month
- Providing capital gains statements at the end of each financial year for filing your income tax returns.
Fees
we don’t charge the Mutual funds (Direct plans) service fee in the first year.
From 2nd year onwards our Fee Structure is given below for
Financial planning and Investment management as per Assets under Advice concept
and is charged only on the assets managed and advised by PFP.
| Assets under management (AUA ) in INR | Fees as a % of AUA |
|---|---|
|
Upto INR. 15 Lakhs |
Fixed Fee - INR. 15000 |
|
INR. 15 Lakhs to INR. 25 Lakhs |
1% |
|
INR. 25 Lakhs to INR. 50 Lakhs |
0.75% |
|
INR. 50 Lakhs to INR. 100 Lakhs |
0.65% |
|
INR. 100 Lakhs and above |
0.50% |
Fees
For Financial planning clients having investable assets below Rs. 10 lakhs we don’t charge the Mutual funds (Direct plans) service fee in the first year.
From 2nd year onwards our Fee Structure is given below for Financial planning and Investment management as per Assets under Advice concept and is charged only on the assets managed and advised by PFP.
| Assets under management (AUA) in INR | Fees as a % of AUA |
|---|---|
|
Upto INR. 15 Lakhs |
Fixed Fee - INR. 15000 |
|
INR. 15 Lakhs to INR. 25 Lakhs |
1% |
|
INR. 25 Lakhs to INR. 50 Lakhs |
0.75% |
|
INR. 50 Lakhs to INR. 100 Lakhs |
0.65% |
|
INR. 100 Lakhs and above |
0.50% |
