Advice from a Leader: What are some wealth accumulation plans to consider?

What does it take to build a fulfilling life with your wealth? Prudential’s Chief Customer Officer Goh Theng Kiat shares his thoughts and insights with us.

Wealth is what we accumulate to provide for our needs, achieve our goals, and to live our dreams.

A healthy majority of people — some 61% — are ready and willing to adjust their current lifestyle to fit a more sustainable approach in a bid to enhance their lives, that of others around them and for the better good of the environment. Perhaps more encouragingly, 31% expressed that they have already made significant shifts in their lifestyle habits to reflect a more environmentally-conscious one.

Everyone wants to be happy in life — I’m a big advocate of pursuing happiness. I believe our lives do become more meaningful when we challenge ourselves and work hard to achieve our dreams and enjoy our hard-earned success.

Key Essentials in a Strong Wealth Plan

In this journey, I value the importance of a sound financial plan in achieving our goals. This should be one that also includes robust health insurance plans to protect you and your loved ones.

There is much truth in the saying health is wealth. We have a good national healthcare plan in MediShield, but since everyone’s needs and cares are different, integrated shield plans can help supplement yours to fit what you require.

With the right plans in place you can be assured that your loved ones’ needs will always be taken care of.

Once you've built a certain level of wealth, you'll also need to put plans in place to protect what you accumulate. This will also put you in a better position to venture into investment solutions to help you grow your money further.

I believe in the power of choice — whether you’re a novice or an experienced investor, Prudential offers a wide range of solutions to help with your wealth accumulation goals. These are varied as well so you don’t end up putting all your eggs in one basket. Diversification of your wealth portfolio is key to minimising your overall risk.

But if investments are risky, then are they even necessary? Yes, I believe they are, and not just because you’re looking to grow your wealth.

With inflation projected to be 2-3% in 2022¹, your money must grow correspondingly — if not more — to keep up. Over time, inflation can erode a substantial amount of your cash savings and wealth, even if you were to leave it in a bank.

With all the investment and insurance options available to help you build your wealth accumulation plan, it can be confusing to know which is the right one. Just remember that ultimately, the wealth accumulation plan that best fits you would depend on your goals, your age, the time horizon you’ve set to hit your target, and your risk appetite. You must be crystal clear on where you stand and where you want to be (by when) in order to seek the best outcomes.

I encourage you to consider your ongoing financial commitments to understand how and if any of the new solutions you are considering will impact your cash flow and your current lifestyle.

Explore Wealth@Pulse on the Pulse by Prudential mobile app

Our money can work hard for us and help us to reach our goals faster. Many of our Ascend customers want to design their own lifestyles and achieve their financial goals, secure a comfortable retirement, or give their parents and children the best they can.

Take the first step towards building more wealth by exploring our Wealth@Pulse feature on our Pulse by Prudential app today. It’s an AI-powered solution with data-driven insights that gives you tools and tips towards a wealthier life.

Alternatively, you can also speak to one of our Financial Consultants for a better understanding of how our solutions can support your goals and help you accelerate your wealth accumulation journey.

We look forward to serving you and helping your wealth Ascend!

This article is for your information only and does not consider your specific investment objectives, financial situation or needs. We recommend that you seek advice from a Prudential Financial Consultant before making a commitment to purchase a policy.