Video: What is Personal Capital?

In this video interview David Williams from My Longevity talks about the concept of Personal Capital and why it’s important retirees don’t overlook it.

Transcript

What is Personal Capital, and why should retirees not overlook this?

Personal capital is really made up in my mind of two things. It’s our capabilities and our experience and if we boil it down to that. Our capabilities grow as we leave school and we start to become employable and go to university or whatever we do.

So our capabilities grow and they probably keep growing if we’re interested, well into even our 60s. So at which point for some of us we might slow down a bit mentally or we may not be physically as capable of doing what we are doing, particularly if we have a very physical job.

So the capabilities tend to rise and then fall away in later life.

You can do as you’ll see from the Shape analyser work, you can do quite a lot to influence that and keep your capabilities in good shape, particularly in cognitive maintenance. There are things you could do, even the job you do can have a big impact on how well you maintain your cognitive skills.

So capability is one thing. Experience is the other, and of course at 20 we’ve probably got no experience much. It rises and experience is something that probably goes on increasing if we want it to, even past the period where our capabilities peak. So experience can be more valuable as we age and can be applied even though we might be less capable in some respects.

So attending to those two things separately helps us make decisions about whether we’ll stay in the work we’re doing now. Whether we want to engage with different things, maybe volunteer work that we’ve wanted to do, or grandchildren, grandparenting.