Part 2 of 3-Part Series Age and culture are additional factors which link to the SR, but are oft overlooked. As people age, the SR decreases as they spend more of their savings which they put aside in their younger days. Culture plays a large role shown by a country like Japan having a SR of around 60% while in…

Part 2 of 3-Part Series Savings can of course and often are invested into stocks, bonds, real estate etc., and this is why savings are so important. The lower your SR, the less amount of money you are able invest into your future. However, it is not always a matter of simply putting more money aside to save, because this…

Part 1 of 3-Part Series And so, we come to perhaps the most discussed topic in personal finance and maybe finance overall, saving! We’ll explore the savings ratio which is included in our list of vital personal wealth ratios, but we’ll also explore why some save more than others. It seems like a straightforward topic, but there are a lot…

Part 2 of 2-Part Series The higher the LR, the more liquidity you have, and it is easily calculated as well as managed. While it might not be easy to increase your liquid assets, managing your personal spending can increase your LR you are not liquid enough. That isn’t to say this ratio is used to determine whether your lifestyle…

Part 1 of 2-Part Series The next ratio in the list of important financial metrics we use is what is known as the liquidity ratio. Like the equity ratio, the liquidity ratio (LR) is more often found in business when determining their financial positions. What it measures is the companies’ ability to pay off its debts without raising outside money,…

Our Equity Ratio Part 2 of 2-Part Series I know, you’re probably now wondering what is the difference between equity investments and fixed income investments and you should be! A fixed income investment means you receive interest or dividend payments at regular set intervals of time until the stipulated date known as the maturity date. When you reach this date,…

Our Equity Ratio Part 1 of 2-Part Series Here at Kismet, we treat wealth management a little differently from others. We believe that managing your wealth involves more than your stock portfolio and should account for all aspects of your life. Your financial life operates much like a business. There are many moving parts which are independent of each other,…

Your Estate Planning Part 3 of 3-Part Series Another aspect which you may want to consider is setting up a trust. A trust is a legal entity that holds your assets for your beneficiary and disperses them according to your instructions. A trustee is named who will be in charge of the distribution as per your wishes. A trust can…

Your Estate Planning Part 2 of 3-Part Series Next steps in estate planning would typically include stating your Power of Attorney (POA) and ensuring you have sufficient life insurance to protect your family. POA’s are documents which give the person of your choice the power to make decisions about health, finances and legal matters in the case that you are…

Your Estate Planning Part 1 of 3-Part Series Estate planning is one of the most difficult things you will likely make in your financial planning journey, but in our eyes, it is also the most important. It is also the most overlooked aspect because as humans we do not like to consider our demise. It’s very understandable, it’s not the…