Maili was featured in an interview with The Globe and Mail, sharing her insights on why self-directed investors increasingly seek assistance from financial professionals– article by Anna Sharratt, Special to The Globe and Mail.
Read the whole article here. Here’s a preview of what Maili had to say:
Many clients need guidance on the best time to begin taking their Canada Pension Plan (CPP) benefits or tapping into their registered retirement savings plans. Some want to help their adult children buy property but worry they may drain their retirement savings. Others wonder whether their investments are too conservative to keep up with inflation, while some wonder if they’re not conservative enough. And all of them want to ensure they’re taxed as favourably as possible.
“There are all of these events,” Ms. Wong says. “This is now serious business.”
She says advisors need to take on a financial planning role for former DIY investors, determining clients’ cash flow, their future lifestyle and whether they plan to transfer wealth to younger generations. At the same time, portfolios need to be assessed to determine if there’s enough growth to ensure cash flow in the future.
By plugging in several factors – such as tax rates, rates of return, longevity projections and cash flow demands – advisors can present the client with a variety of scenarios, Ms. Wong says. These scenarios – generated by advisors and their sophisticated financial planning software – can be very illuminating for clients, she says, as they can help them decide whether to change their investment risk tolerance, give money to loved ones and inform estate planning.
“That equips the investor with a better-informed view of what is probable or likely so they can make an informed decision,” she says.
Investors should consider life insurance to pay off tax obligations when the second spouse dies. “You get a tax-free lump sum when the taxes are due,” she says, which can help pay for taxes on second properties, capital gains, or when a registered retirement income fund is rolled over. That can prevent selling off assets when beneficiaries aren’t prepared for a large tax bill.
“That’s where professional advisors can help DIYers see the different tools in the toolkit and see a big-picture approach,” she says.
If you have any questions about how this relates to you or your investment portfolio and financial plan, please give us a call at 778 655 2410 or email us at thewonggroup@wellington-altus.ca
Sincerely,
Maili Wong, CFA, CFP, FEA
Senior Portfolio Manager & Senior Wealth Advisor
Wellington-Altus Private Wealth Inc.
Board Director
Wellington-Altus Financial Inc.
Maili Wong is a senior portfolio manager and senior wealth advisor at The Wong Group at Wellington-Altus Private Wealth and the Amazon best-selling author of ‘Smart Risk.’ She has over two decades of experience in the finance industry and was named a Top Wealth Advisor and one of the Best in Province in the 2022 rankings produced by The Globe and Mail and SHOOK Research.
