When it comes to financial preparedness and retirement, Maybank Trustees Berhad CEO Nor Fazlina Mohd Ghouse highlighted the critical importance of planning ahead, particularly through the creation of a will. Her remarks served as a powerful reminder that while death is certain, thoughtful planning can ensure a secure and dignified old age.
She said that effective financial planning extends far beyond immediate concerns, focusing on a structured pathway that incorporates the vital element of a will.
"Planning well would provide a life that was not depressing during old age.
Given that women, on average, live longer than men and often inherit the majority of assets and liabilities in traditional family structures, Maybank added that their estate plans frequently determine the final distribution of wealth.
"However, many women may have historically been less involved in financial decisions and often shoulder caregiving responsibilities.
"That’s why Maybank Trustees Berhad is particularly focused on empowering women to take a more proactive role in wealth management,” they added.
"Such plans should focus on developing a structured financial pathway and considering the importance of having a will other than just Faraid.”
She elaborated on the distinction between a will and Faraid, the Islamic law governing the automatic distribution of assets.
"For the Muslims, we always have this distort where when there is already Faraid, there is no need for a will," Fazlina said.
"But then, who is going to take care of your assets (in a way that benefits you), who takes care of your liabilities? It is yourself and when you have a will instrument in place, you will have to phases where you need somebody to step into your role to administer before the distribution comes into play.”
"This is what we do at Maybank Trustees Berhad; we are a subsidiary of the Maybank Group for over 60 years and why we want to advocate for people in writing a will is because that is the basic estate planning," she said.
A will is particularly advantageous for parents with young children. "You will have the advantages of appointing someone who knows your family's dynamics, who can take care of your children and who can take over your role when you are not around,” Fazlina added.
This ensures that guardianship and family care are handled according to the deceased's wishes.
Long-Term Vision: Financial Security in Retirement
At the "She Leads 4: Don't Go Broke in Your Golden Years" event hosted by Sinar Daily recently, Fazlina encouraged attendees to adopt sound saving and investment habits.
"Old is gold, you don’t want to retire feeling sad so you have to make sure you create a saving habit that can make you give back to your families; such as having something to invest in and making sure the money grows.”
"We are Asian people; Asian people are living longer but are we living longer and better financially?” she asked.
If there's one key takeaway from this it's planning for the future. Starting with a well-drafted will is essential for securing a legacy and ensuring that one's financial affairs are managed according to their wishes.