Reference Library

Investment Planning

Professional Financial Planning

Most everyone, regardless of their income and assets, needs a personalized financial plan. A personalized financial plan can serve as your guide in helping you achieve your short- and long-term financial goals. From buying a home or business to investing for college education expenses and retirement, a financial plan can help you achieve the future you desire.

Developing a financial plan requires time and extensive knowledge, not only of your own personal financial affairs, but of broader investment and financial issues as well. To get the customized plan you need, start with one of the most important investment decisions you can make: Seek the advice of a financial professional.

Creating a Financial Plan Uniquely Suited to You

Financial planning is a process. Your Lincoln Investment financial advisor will begin developing your plan by first gaining a clear understanding of both your current financial situation and your goals. The next step is to begin the actual construction of your plan, coordinating and implementing all of its components in an effort to achieve maximum benefit.

The process is on-going. As your financial needs and goals change throughout your lifetime, and in light of changing economic and market conditions, Your Lincoln Investment financial advisor will periodically review and update your financial plan.

Depending on your individual circumstances and objectives, your plan might include:

Budgeting/Debt Management

To keep your spending under control, it's essential that you create a budget. A budget allows you to get a handle on the flow of your money — how much is coming in and where it goes out. Your financial plan may include recommendations on how to control and reduce debt so that you can more effectively save and invest.

Tax Planning

Effective tax management may reduce, delay or prevent the impact of income, estate and other taxes on your savings and investments. Your financial plan may incorporate strategies for essential facets of tax planning.

Funding a College Education

The cost of a college education has soared. Your ability to afford college tuition in the future will most likely depend on how much you set aside today. There are a variety of ways to save and invest for college, including investments that offer attractive tax advantages. Your financial plan may include recommendations for college funding.

Insurance Planning

Insurance is crucial to your financial security for the protection it provides your family and assets. Depending on your situation, your financial plan may include recommendations for life, health (medical, dental, vision and prescription), disability and long-term care, to name a few.

Investment Planning

From money market accounts, treasury securities, fixed and variable annuities to individual stocks, bonds and mutual funds, a multitude of investment options exist. Determining which investment vehicles are right for you depends on a number of factors including your age, financial situation, risk tolerance and goals. A financial plan may include investment recommendations to help maximize your investment return.

Risk Management Planning

While financial markets offer great opportunities to grow your investments, they can involve risk . While one asset type may be performing well, another may be doing poorly. One way to help reduce the risk of investing is asset allocation.

The asset allocation method divides your investments among different asset classes — primarily domestic and international stocks,* bonds and cash in line with your risk tolerance, time horizon and goals. Your financial plan may include recommendations for asset allocation and investment strategies to help reduce the volatility of your investment portfolio.

Retirement Planning

No matter how close you are to retirement, the more you are able to save now, the greater the likelihood that you'll enjoy the retirement you envision. There are a variety of ways you can invest for your retirement, and many of them offer tax advantages which may enable your assets to grow more quickly. Your financial plan may include recommendations for appropriate retirement investment vehicles.

Estate Planning

In order to help protect your estate for your loved ones, your financial plan should include an estate plan. Among its many benefits, an estate plan can help ensure your assets are distributed according to your wishes upon your death, can avoid the delay of probate and can reduce inheritance and estate taxes. Your estate plan should also include a will, durable power of attorney, living will and medical power of attorney. Your financial plan may include recommendations for estate planning.

*International investing involves special risks, including the possibility of substantial volatility due to currency fluctuation and political uncertainties.

Asset Allocation or Diversification do not guarantee a profit or protect against a loss.