Divorcing? You need a financial adviser

by Infinity

When you are planning a wedding splitting up seems like an impossibility, but with one in three marriages ending in divorce, it is perhaps wise to have a think about it anyway. At the beginning of a relationship we all think that we won’t be the one in three and yet a third of us end up being just that!

Let’s not forget that Pitt and Jolie appeared on the Today show singing each other's praises in the wake of her extensive cancer prevention surgery. At that time Brad said ‘She was doing it for her kids, and she was doing it for her family, so we can be together.’ Yet just ten months later Angelina was so opposed to Brad's parenting style that she could no longer bear to be together.

In this case, the question on everyone’s lips was did they or didn’t they have a prenuptial agreement. With a widely reported joint net worth $400 million and a brood of six children, Brad and Angelina might have been wise to put one in place. However, the problem with prenups is that they are deeply unromantic and start a couple off on a negative note by highlighting a lack of faith in and commitment to the marriage on one or both sides. It’s trying to bring a business negotiation to a union based on love and that doesn’t really work, which is one reason why most people don’t have one.

So what are the options if you do find yourself splitting up with your husband or wife? How do you safeguard your assets if a financial settlement process becomes necessary while also ensuring that this traumatic life transition is as easy for your children as possible?

One tip is to get your own financial adviser on board. Divorce almost always involves lawyers – no matter how amicable both sides start out. When it comes down to the nitty gritty of sharing up all your joint possessions, things become tricky. Lawyers are not however trained to quantify your long-term needs. That’s why, while often overlooked, a financial planner is absolutely key. This is especially true if you have been a stay-at-home parent and/or if you have tended to leave your ex to manage the household finances.

Trying to share a financial planner is a bad idea. They will have split loyalties and won’t properly be able to represent your interests. If you and your partner have been using the same one, now is the time for one of you to find a new one.

Here’s what a financial planner can do for you:

• Help you assess the value all jointly owned assets and work out what costs are attached to them.
• Quantify your long-term needs including a retirement fund, insurance, education fund for your children etc,
• Avoid you getting into a situation where all your assets are illiquid (particularly a family home) which could lead to financial difficulties down the line,
• Keep your best interests at heart,

Having all this information at your fingertips will give your lawyer leverage in pushing for a deal which will cover your future requirements.?You only get one shot at the divorce settlement that will affect the rest of your life so it’s key to get as fair a deal as you can.

If you are in the unfortunate position of getting divorced and you’d like some impartial financial advice to safeguard your future, please drop Alex a line,

Get in touch with Alex here or at [email protected]

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Tilney (now rebranded as Evelyn Partners) is an award-winning financial planning and investment company that builds on a heritage of more than 185 years. They have won numerous awards and their clients include private individuals, families, charities and professionals. They presently look after more than USD70 billion.

At Evelyn, your personal wealth is their personal responsibility.

Evelyn's award-winning services are now available in Asia exclusively through Infinity, and can be applied to new and (probably) existing investments.

To learn more, drop Alex a line.

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Get in touch with Alex here or at [email protected]