Monitoring the plan

Executing the plan is not the end of financial planning. Your investment consultant needs to monitor the plan periodically and update you on the performance of your investments. Depending on the financial scenario in the country and the market trends, some changes may be suggested in the plan. For example, if you have taken a unitlinked insurance plan and the markets are showing a steady upward trend, you may be advised to switch from an income plan to a growth plan. Conversely, if the markets are volatile, you can divert some of your resources from equities to debt instruments where the risk is minimal.