Use of Excel in Financial Planning

Sandy Robertson FIFP CFPAcumen

1Financial Planning Tips, Tools and 

Processes

Management facing excel

• Financial Independence Report

• Annual Financial Planning Report

• Rebalancing authorisation

2Financial Planning Tips, Tools and 

Processes

Management facing excel

• Fund comparison• Active passive trial• Stats on products

being reviewed• Stats on products

eligible and on the way to platform

3Financial Planning Tips, Tools and 

Processes

All process one way or another• Administration of course, but also• Simulation what if?• Stimulation OK, so I could retire

next year!• Education OK, I see it now• Planning helping, documenting

the classic 6 step process

4Financial Planning Tips, Tools and 

Processes

IFP planning process • Establish life goals• Gather data• Analyse the data provided• Prepare Financial Action Plan• Implement the plan• Review the plan on a regular basis

5Financial Planning Tips, Tools and 

Processes

Organisational benefits?• Educate self and

team• Consolidate thinking

and ideas• Customise to client

segment(s)• Leads to better

business process• Leads to scalability

Know our market• Mass affluent - not

wealthy• No inherited wealth• Income surplus and

growing capital• Busy professional

people with kids

7Financial Planning Tips, Tools and 

Processes

Financial Independence report

8Financial Planning Tips, Tools and 

Processes

Financial Independence report • Works for our main segment• Walks client through the steps• Uses a few basic financial formulas• Develops a base scenario• Runs 8 other scenarios behind the scenes• Leads to client commitment or not!• Progress in reviews measurable

9Financial Planning Tips, Tools and 

Processes

Financial Planning Report

10Financial Planning Tips, Tools and 

Processes

Financial Planning Report

• Works for our portfolio clients• Mix of text and numbers in one file• Uses a few basic financial formulas• Graphs driven from after tax cash flows• Prior year report becomes the agenda

11Financial Planning Tips, Tools and 

Processes

Rebalancing Authorisation

12Financial Planning Tips, Tools and 

Processes

Rebalancing authorisation

• My best work• All in one sheet • Tax wrap / owner / rebalancing• Reduces transactions• Context for client • Sign off starts our internal process

13Financial Planning Tips, Tools and 

Processes

Fund Comparison

14Financial Planning Tips, Tools and 

Processes

Fund comparison

• Don’t believe providers• Evidence gathering• Forms the basis for investment

committee meetings

15Financial Planning Tips, Tools and 

Processes

Active Passive Trial

16Financial Planning Tips, Tools and 

Processes

Active Passive Trial • 5 portfolios• Identical 30% low / 70% medium tilt• Identical timing and opening value• Identical platform• Real money – not pretend• Too early to draw conclusions

17Financial Planning Tips, Tools and 

Processes

Are we the finished article?

• No, the journey never ends

• This is all work in progress

• Very good prototypes

18Financial Planning Tips, Tools and 

Processes

Are spreadsheets a good thing?

You bet!

19Financial Planning Tips, Tools and 

Processes

Compliance This presentation is based on the Acumengroups understanding of current legislationand current HMRC practices, which maychange . Whilst this interpretation isbelieved to be correct, The Acumen Groupcan give no guarantee in this respect or in the future. Acumen Financial Planning Ltd isauthorised and regulated by the FinancialServices Authority.

20Financial Planning Tips, Tools and 

Processes

Thank you for listening Any questions?

21Financial Planning Tips, Tools and 

Processes