If you want to influence matters, there is a strong argument that one should dine at the top table. Be with those who have the most power and influence.
Being on the sidelines, to some, is not an option. Winston Churchill in 1950, when Germany and France were negotiating the “European Coal and Steel Community,” warned of the dangers of Britain being on the outside, looking in.
He was calling for a partnership between a “spiritually great France and a spiritually great Germany” as the basis for the re-creation of “the European family” and wanted Britain to be alongside them.
Very topical of course, as we are faced with a decision in June as to whether we want to remain intertwined with Europe.
We will undoubtedly be sick to the back teeth by June 23rd of the remonstrations from both sides of the fence but we can’t ignore the importance of this defining decision. This blog hasn’t the capacity to even scratch the surface of the pros and cons but the debate has got me thinking about choices.
Churchill said, “If you want to influence matters, you should dine at the top table”. In my world of financial planning, the top table is when you undertake comprehensive planning, an opportunity to influence the future.
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We can sit back and not bother to vote or take up our constitutional right to influence our future.
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We can sit back and bemoan our luck that the government is attacking our pension rights.
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We can sit back and do nothing in the hope that one day we’ll have enough money.
Or
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We can do something about it.
Recently, I went to London on business and it struck me, firmly and squarely, that the majority of people working for large multinationals have very little idea as to what funds they are invested into with their large pension pots. For many, this is their largest asset yet they pay little attention to this wealth. They leave it to chance. Leaving their money in the same old investment funds.
Interestingly, in the last five years, the differential in performance between the top performing asset class (investment sector) and the bottom performer, on average, has been 41.8 % each year (source7IM). Significant….and this isn’t even looking at the different funds.
Imagine what difference a coordinated strategy would have to both the potential value and the benefits that can be taken from a pension at retirement. Even a difference of 1-2% compounded each year can make a huge difference.
