Do you think incorporating loans into financial planning is important?

Strategic debt management is vital for wealth building. A medical client of mine used a structured education loan for specialist training, increasing income 70% in 18 months.

Key misconceptions:

• All debt is harmful
• Cash beats leverage
• Lower rates are always best

Framework:

1. Productive Debt:

• Education for career growth
• Business financing
• Property leverage

2. Strategic Liquidity:

• Credit lines vs emergency funds
• Tax-efficient structures
• Cash flow optimization

3. Risk Management:

• Insurance premium financing
• Portfolio leverage limits
• Debt-to-income monitoring

View loans as wealth tools, not burdens. Another client leveraged education financing to fast-track specialization, doubling earnings while maintaining investments.

For strategic debt insights, follow me on Instagram (@ngooooied).

Ngooi Zhi Cheng
Private Wealth Advisor
AIA FA Prestige Platinum Circle | MDRT 2022-2025

Yes liabilities are part of your personal financials

Yes

Yes very! But I think this topic is isually not explored especially for those starting out on her financial journey because insurance and savings are more important at that stage.