Association of Female Executives of Trinidad and Tobago

Financial Independence

Written by Danielle A. Jones, M.A.
Assistant Vice President, Group Corporate Communications, Unit Trust Corporation

Stiletto. Tiramisu. SUV. Equity Fund. Of these four words, which can’t you define within 30 seconds? If the answer is equity fund, you’re not alone. A snap poll of ten women on the streets of Port of Spain revealed only TWO (2) could clearly state an equity fund is a type of mutual fund that invests primarily in equities or stocks. AS women, we can AND DO talk about just about anything these days…anything BUT money management.

The reality is, while women are climbing the ladder and definitely putting cracks in the glass ceiling, we are not saving enough and DEFINITELY not educating our children (or each other) about money management. Chances are, you are more likely to talk to your friends about a visit to a “personal doctor” than a visit to a financial advisor.

Independent ladies, we have to look out for each other. It’s time to start the conversation to move towards true independence. Here are a few tips every woman should share with their friends about money management:

Make a Budget and Stick to It: You would not plan go to the beach in a business suit. Plan your finances so you won’t sweat at the end of the month! We’ve all heard it – but how many of us listen? Write down what you plan to spend each month and compare to actual expenditure
Pay yourself First: Your mobile bill is important. So is your future. AT ALL TIMES, save before you spend money on ANYTHING ELSE. Starting and keeping standing orders (direct deposits) is a great way for even the most spendthrift person to save money each month (before they “get their hands” on the funds).
Understand the Financial Products You Own: You took the time to figure out how Facebook and your iPod work, take time to understand how your investments work. Early withdrawal fees, management charges, penalities and restrictions can limit your access to funds (and eat away at your nest egg). Take the time to FULLY understand ANY AND ALL financial products you own. Ask questions and no who you can call if you have additional ones. Its your money, don’t spend it without at least knowing WHY.
Diversify: You would not where the same pair of shoes for every occasion, you need more than one type of investment to meet your savings needs. There are a variety of ways to save and invest money. Balance your savings plan – have equity AND income mutual funds, invest in real estate AND start up businesses. Open long term AND short term savings products. The idea is simple, don’t put all your eggs in one basket.

So the next time you see her, you know, the trendy, beautiful female in the best shoes with the neatest makeup, take a moment to chat with her on how she plans to save for her future. Look her in the eye and give her the tips above. Help her start a savings plan and set her on the path to financial independence. Start the conversation about money management today – even if it’s a quiet, reflective conversation with yourself.

UTC offers eleven (11) financial products and services to meet your long and short term financial needs. Visit www.ttutc.com for more information or call 625-UNIT to begin to give greater definition to your financial plan.

For more tips on financial management and on “starting the conversation” join the UTC Facebook Group or follow TTUTC on Twitter.

Danielle A. Jones, M.A.
Assistant Vice President, Group Corporate Communications
Unit Trust Corporation
#82 Independence Sq
POS

Email: djones@ttutc.com
Tel: 625-8648 (unit) ext. 8121