Asset Management and Investment

Asset ManagementWe’re conservative people here in Trinidad & Tobago. We restrict our risks to mundane things like eating a pig’s foot or an iguana’s tail, having seashore cookouts to usher in tropical storms, and dancing half-clad in public streets whether it be raining too heavily or under a sun shining too hard.

But where we truly clam up, is in the sphere of our personal finances. When it comes to our money, we think it’s better to be safe than sorry and we equate savings with that safety and investments with being sorry. We’re making a mistake.

At Firstline Securities Limited we acknowledge that we have as many different types of investors as we have clients and not everyone is at a stage in their life where they can handle the risks of investment. Indeed, just as we can spend beyond our means, we can also make the mistake of investing above our limits. However, regardless of your age, your monthly income or your current savings, there is such a thing as being too conservative and it can lose you money.

For a quick example: you can have funds in a savings-type money market fund earning you a steady 6% but with Trinidad & Tobago’s current inflation rate at 10%, you’re really losing 4% of your funds. If you’ve placed the majority of your funds in that money market account, you’re being too safe and as inflation eats into your savings, you’ll also begin to feel really sorry for yourself.

What We Think Is Important

It is important that we make the effort to embrace the concept of investing and distinguish it from that of saving.

Each has its place but for the majority of us up until retirement our investments should hold greater weight to our savings. We encourage all of our clients to acknowledge the reality of investment as a necessity, not an option.

After we embrace this concept of investing, it is important that we react proactively and actually start our investment process.

This means that procrastination is out and prioritization is in.

It is important that we banish those misconceived notions of investing as a vehicle by which the already wealthy become wealthier.

Here at Firstline, we focus on wealth building, but we’re not expecting clients to come in with hard-earned millions already well invested. We expect, and look forward to sitting and talking with you so that together we can form a plan for the creation of your wealth, a wealth that begins with you and stretches for generations. Your value to us lies in the dreams and desires of your mind, not the bills of your wallet.

It is important that we relinquish the fear that we do not know enough or will never understand enough to get started with investing.

That’s what we’re here for. As your financial advisors we will guide you through the creation of a personalized investment plan. You may never think of the Bloomberg channel as interesting viewing, but what you will find is that learning about the allocation and diversification of your own funds is an easier and more approachable venture than you would have thought.

It is important that we learn to grow along with our funds.

Our company vision and mission enable us to think of ourselves as more than just asset managers but as true wealth creators – creators of wealth in money, wealth in experience and wealth of knowledge. This creation of wealth in all its varied forms cannot be achieved in a transactional manner. This is why, when you invest funds with us, it’s the beginning of our relationship, not the end.