It’s a tradition in financial services to bring out a list of predictions at the end of the year, as a final hurrah before closing for the holidays. Obviously, we didn’t do that as predictions aren’t really our thing, particularly not market predictions, it’s a core part of the Walden Capital philosophy that we don’t try and do the impossible. Not being an oracle has its drawbacks, but I’d rather be honest with you about what we can do, and as importantly what we cannot.
It’s another tradition that those predictions can be a little…samey. If you’ve read a few over the years, you’ll certainly spot a pattern. There’s a “house bias” from investment managers, and you’ll often find their strategically most important fund is, inextricably, and fortuitously, exactly where they see the most potential for growth in this coming year.
We try really hard not to rehash old work at Walden Capital – although it does have to be said, that if it isn’t broken, don’t fix it.
What we do, and I think do well, is build financial plans. A plan is forward looking, and as we’ve already said, you cannot know the future with any certainty. But a plan helps. It helps by setting some boundaries about your likely actions and gives some insight into what “might happen” under particular assumptions. A plan will be ever evolving, and a regular review of your plan is critical in ensuring you zero in on an acceptable outcome for your long-term finances. But having a plan can give you a sense of security, of certainty and of confidence, that the hard yards you’re walking right now, might actually deliver the financial security that you and your family desire, and deserve. It’s hard to build a house without a set of plans.
If you really don’t want to get involved with a financial planner (and my experience at parties suggests that whilst you’re no longer in the majority, neither are you unique), there are plenty of free tools out there, ultimately with a bit of a learning curve even a spreadsheet or, at a push, a sheet of paper can do the job. It’s really just about getting your thoughts, desires and fears, out there for inspection.
Good luck in building your plan in 2025, and if you need any help from Walden Capital, a proud holder of the CII corporate Chartered Financial Planner designation, then feel free to drop us a line.
