Most people have a picture in their head of what retirement will look like.

More time with family. Travelling. Long lunches in the sunshine. Perhaps enjoying the lifestyle that motivated you to move to Spain in the first place.

But there is a problem with the way many people plan for retirement.

We tend to plan for the retirement we expect — rather than the retirement we might actually have.

What if you decide to stop working earlier than planned?

What if you want to spend more in the first few years of retirement while you are fit and healthy?

What if investment markets fall just as you begin taking an income?

Or what if, quite simply, your priorities change?

These aren’t necessarily problems. In fact, having the financial flexibility to respond to them can be one of the greatest benefits of good planning.

It’s more than a pension pot

When planning for retirement, it is easy to focus on one number: how much money you have saved.

But the more important question may be:

“What can my money actually allow me to do?”

For people living in Spain, there can be even more to consider. You may have pensions in another country, investments, property, different currencies and a Spanish tax position that has changed since you left your home country.

Looking at each of these individually doesn’t always give you a clear picture of the future.

It is about understanding how your finances could cope with different possibilities.

This is where cashflow planning can be particularly useful. Rather than simply looking at what you have today, it can help you explore how your income, investments, pensions and spending could work together over the years ahead.

It can also highlight opportunities — perhaps you can afford to spend more than you thought, retire earlier than expected, or provide financial help to your family.

Your retirement doesn’t have to follow the original plan

The retirement you imagined ten years ago may not be the retirement you want today.

And that’s perfectly normal.

Perhaps the most useful financial plan isn’t one that tells you exactly what your future will look like.

It’s one that gives you the confidence and flexibility to make choices when life doesn’t go exactly to plan.

If you live in Spain and are approaching retirement, already retired, or simply wondering whether your current arrangements will support the lifestyle you want, I’d be happy to have an informal conversation.

Sometimes the most useful question isn’t:

“What should I invest in?”

It’s:

“What could my future actually look like?”

You are still living in Spain.

Your property is worth more than it was ten years ago. Your pension and investments have changed. Your children may now be living in different countries, and your own priorities may have changed too.

Now ask yourself:

Would the financial decisions you made in 2026 still make sense today?

It is an interesting question because most of us plan for the future we expect to have.

But life rarely follows the plan.

What if things change?

When people move to Spain, they often have a clear idea of what their future will look like.

Perhaps they intend to retire here permanently. They buy a property, organise their pensions and investments, and settle into their new life.

But what happens if things change?

You might decide to move back to your home country, move somewhere else, receive an inheritance, sell your property, retire earlier than expected, or simply live much longer than you originally anticipated.

These aren’t problems. They are simply possibilities.

The question is whether your financial arrangements are flexible enough to cope with them.

And the ability to deal with an unexpected financial event without completely changing your lifestyle.

A good financial plan shouldn’t simply tell you what to do today. It should help you understand what your choices could look like tomorrow.

Try looking at your finances from 2036

Imagine you are already there.

Ask yourself:

• Where am I living?
• Am I still working?
• What income do I need?
• Where are my pensions and investments held?
• What happens if I need to sell my property?
• What happens if my circumstances change?
• What happens if I live another 30 years?

You don’t need to know the answers with certainty.

The purpose isn’t to predict the future. It is to see whether your finances are prepared for different versions of it.

This is where financial planning and cashflow forecasting can be valuable.

It isn’t a crystal ball. It is a way of helping you understand your financial future and, importantly, the choices available to you.

So, imagine it really is 2036.

If your life looks different from what you expect today, will your financial plan be able to adapt?

Perhaps the most important question isn’t:

“How much money will I have?”

It is:

“What will my money allow me to do?”

Could your financial plan adapt to your future?

If you are an expat living in Spain and haven’t reviewed your financial arrangements recently, I would be happy to have an informal conversation with you.

There is no obligation to make any changes. Sometimes, simply looking at where you are today and considering the different paths your future could take can give you greater clarity and confidence.

If you’d like to explore what your financial future could look like, get in touch and let’s start the conversation.

“Plans are nothing. Planning is everything.” — Dwight D. Eisenhower

When people ask me how I became a financial adviser, they’re often surprised when I tell them it started in the British Army.

Before working in financial services, I served with the First Battalion Grenadier Guards, including operational tours in Baghdad and Basra. Those experiences taught me lessons that have stayed with me throughout my career, not just in finance, but in life.

One lesson stands above all others: Hope is not a strategy.

Before any operation, every detail was planned. We considered different scenarios, prepared for unexpected events and made sure everyone understood their role. No one expected everything to go exactly as planned, but having a clear strategy meant we could adapt when circumstances changed.

Life isn’t so different. Whether you’re building a career, raising a family, running a business or relocating to another country, things rarely unfold exactly as we expect.

I’ve been fortunate to help families from many parts of the world who have chosen to make Spain their home. While every family’s story is unique, they all have one thing in common: they’ve made a life-changing move.

After leaving the Army, I built my career in financial services in London before moving to Spain in 2020. Looking back, the industries couldn’t appear more different, but the principles are remarkably similar: prepare well, review regularly and adapt when circumstances change.

Whether you’re originally from the UK, the United States, Canada, France, Germany, the UAE or anywhere else, moving abroad is more than a change of address. It’s the beginning of a new chapter. Your financial plan should begin a new chapter too.

How can we help?

At The Spectrum IFA Group, we help internationally mobile individuals and families living in Spain bring their finances together through clear, long-term financial planning. If you’d like to arrange a no-obligation conversation, we’d be delighted to discuss your circumstances and help you build a financial plan that’s ready for whatever comes next.

Moving to another country is one of life’s biggest adventures. Whether you’ve relocated for work, retirement, a better lifestyle or to be closer to family, you’ve probably spent months planning every detail.

You researched the area, found a home, arranged healthcare, organised visas and opened a local bank account.

But there is one question that many internationally mobile families never ask: Has your financial plan moved with you too?

One of the biggest misconceptions people have is believing that the biggest financial risk is investment markets. In reality, markets rise and fall – they always have. For long-term investors, volatility is simply part of investing.

More often than not, the greatest financial risk isn’t market volatility at all. It’s poor planning.

Over the years I’ve met families from the UK, USA, Canada, France, the UAE and many other countries who have built successful careers, accumulated wealth and made life-changing moves abroad. Yet many still have pensions, investments, insurance policies and estate plans sitting exactly where they were before they moved.

Their lives have changed. Their financial plans haven’t.

Good financial planning isn’t about constantly changing investments or chasing higher returns. It’s about making sure every part of your financial life works together, wherever life takes you.

For internationally mobile families, it’s worth asking whether your investments are still suitable, your pensions are structured efficiently, your estate plan remains appropriate, your assets are protected and you’re making the most of the opportunities available in your new country.

Financial freedom isn’t simply about building wealth. It’s knowing that your finances are organised, your family is protected and your plans are aligned with the life you’re living today—not the life you left behind.

Moving abroad is the beginning of a fantastic new chapter. Your financial plan should begin a new chapter too.

How can we help?

If you’ve recently moved to Spain, or you’re planning to relocate, a financial review can help ensure your wealth is structured efficiently for your new country of residence. At The Spectrum IFA Group, we specialise in helping internationally mobile families coordinate pensions, investments, tax-efficient planning and estate planning across borders. If you’d like to discuss your own situation, we’d be delighted to arrange a no-obligation consultation and help you build a financial plan that moves with you.

Don’t Become a Spanish Tax Resident Before Reading This

For many Dutch and Belgian families, moving to Spain has always been about lifestyle.

The sunshine, relaxed pace of life, excellent healthcare and beautiful coastline make Spain one of Europe’s most desirable destinations for retirement and semi-retirement.

Today, however, more and more people are also paying closer attention to another factor: taxation.

In the Netherlands, ongoing discussions surrounding Box 3 taxation, wealth taxes and the future taxation of investment assets have left many investors questioning what the long-term landscape may look like. Across Europe, governments continue to face pressure to increase tax revenues, leading to frequent discussions around wealth taxation, investment income and capital gains.

Whether these changes ultimately materialise or not, one thing is certain: tax planning before an international move has never been more important.

The Biggest Mistake Expats Make

Most people spend months researching where they want to live in Spain.

Few spend enough time understanding how becoming a Spanish tax resident could affect their investments, pensions and overall financial position.

Unfortunately advice is only sought after Spanish tax residency has been established. By that stage, valuable planning opportunities may have already been lost.

Why Your Existing Investments May Need Reviewing

Typically Dutch and Belgian residents hold investment portfolios, savings structures and financial products that have been built around the tax rules of their home country.

The challenge is that once you become tax resident in Spain, those same investments may be treated very differently.

This can affect investment portfolios, capital gains, dividend income, rental income, pension arrangements, and estate planning.

Expats assume that because an asset is held outside Spain it will not be relevant for Spanish tax purposes. In reality, Spanish tax residents are generally taxed on their worldwide assets and income, making pre-arrival planning particularly important.

The Importance of Capital Gains Planning

Relocating to Spain often includes holding investment portfolios that have accumulated significant unrealised gains over many years.

The timing of future disposals can have important tax consequences. This is why many internationally mobile families review their investment structures before becoming Spanish tax residents rather than after.

How We Help

We work with individuals and families relocating to Spain from the Netherlands, Belgium and across Northern Europe.

Our role is to help clients understand how Spanish taxation may affect their existing assets and investments before they move.

This includes reviewing current investment arrangements, assessing potential Spanish tax exposure, identifying wealth tax considerations, evaluating capital gains implications, coordinating with tax and legal professionals where appropriate, and creating a financial strategy suitable for life as a Spanish resident.

Planning Before You Move Could Save You Thousands

Moving to Spain should be an exciting life decision, not a tax headache.

Whether your concerns relate to Dutch Box 3 reforms, future wealth taxation, capital gains exposure or simply understanding how Spanish tax residency works, obtaining advice before you relocate can make a significant difference.

The best time to plan is before you become a Spanish tax resident. NOT afterwards!

The future is nowhere near ready

A client contacted me recently, sending me an evaluation of her portfolios that AI had provided. She had entered details of her investment and pension portfolios and spent a considerable amount of time inputting information to give the AI as much knowledge as possible. It was the first time I had received this kind of “feedback”, and I have to say, I was intrigued to see what the report said and how we ‘stacked’ up against it.

After we reviewed the report and discussed her portfolio, it made me think that this certainly would not be the last time a client undertook this exercise, with or without my involvement. It also highlighted, alongside some positives, several significant assumptions and suggestions that, in this client’s case, were simply not appropriate.

I have highlighted some of the key concerns and points to consider. In essence, even though she had provided AI with a great deal of information, it simply did not have the experience, knowledge, or awareness to ask the right questions. It did not truly “know the client”, which is one of the most important aspects of my role. Understanding a client’s circumstances enables us to embark on the right financial journey together, tailored to them and their family at that particular stage of life.

1. AI lacks a true understanding of human goals

Investing is not just about numbers — it is about people.

A good financial plan considers:

• Retirement timing
• Family responsibilities
• Inheritance plans
• Risk tolerance under stress
• Emotional reactions during market crashes
• Taxes

AI can model risk profiles based on questionnaires, but it cannot fully understand human behaviour, fear, or changing life circumstances. When markets fall sharply, many investors do not behave rationally — and AI cannot talk you through those moments or adjust a strategy with empathy and judgement.

2. Algorithms rely on historical data — and the future is not the past

AI systems are typically trained on historical market data. The problem is simple but critical:

Past performance does not guarantee future results.

Markets change due to:

• Political instability
• Interest rate shifts
• Global conflicts
• Technological disruption
• Unexpected financial crises

AI can adapt, but only within the patterns it has already seen. Major economic surprises are exactly where human judgement often becomes more valuable than statistical modelling.

One example is new themes for investing, called Thematic Investing. These can be very important and highlight areas to be invested in for the future. One of these currently is Cyber Security, more companies are more worried about this and the cost to their business than any other threat. AI will not specify this in a designed portfolio, because it doesn’t speak to investment managers, visit seminars and understand the risks.

3. Hidden risk: over-optimisation

One of the biggest technical dangers in AI portfolio design is something called over-optimisation — building a portfolio that looks excellent on paper but performs poorly in real-world conditions.

This can happen because:

• Models are tuned too closely to past data
• Risk assumptions are too narrow
• Rare but severe events (“black swans”) are underweighted

The result? A portfolio that may appear stable in simulations but behaves unpredictably in live markets.

4. Lack of personalised tax planning (a major issue)

One crucial component of successful financial planning is optimising tax efficiency on investment returns, with valuable opportunities for reducing tax exposure usually determined by where you live.

• Capital Gains Tax allowances
• Dividend tax rates
• Pension strategies
• Timing of asset disposals
• Beckham Law
• Wealth Tax

A financial adviser does not simply choose investments — they structure them to minimise tax liability legally and efficiently.

AI tools often:

• Miss opportunities for tax-efficient planning tailored to individuals
• Fail to coordinate across multiple accounts (ISAs, pensions, and general investment accounts in the UK)
• Do not fully adapt to changes in personal income or tax bands

Over time, poor tax planning can cost investors tens, sometimes hundreds of thousands.

5. No accountability when things go wrong

When an AI-managed portfolio underperforms or behaves unexpectedly, accountability becomes unclear.

• Who is responsible — the software developer?
• The platform provider?
• The algorithm itself?

A regulated financial adviser, on the other hand, carries professional responsibility, regulatory oversight, and a duty of care. That accountability matters when your life savings are involved.

6. Market behaviour is not purely rational

Financial markets are influenced by psychology just as much as mathematics.

Fear (the current biggest influencer in the markets), greed, panic, and herd behaviour often drive short-term market movements. AI systems can struggle to interpret sentiment-driven shifts in real time, especially when they are caused by unpredictable global events or changing social dynamics.

Experienced advisers can interpret these conditions within a broader context and adjust guidance accordingly, rather than relying purely on data patterns.

7. Why a human financial adviser still matters

A good financial adviser does more than simply help with investment advice, they provide:

• Personalised planning based on life goals/events
• Behavioural coaching during volatile markets
• Tax-efficient structuring and ongoing optimisation
• Regulatory accountability and oversight
• Long-term strategies that adapt to changing circumstances
• Trust
• Empathy and understanding

Most importantly, they bring judgement — something AI, despite its strengths, does not yet genuinely possess.

Final thoughts

AI has a valuable role to play in modern investing. It can improve efficiency, reduce costs, and support analysis. However, when it comes to managing wealth that supports your future, retirement, and family security, relying solely on algorithms introduces risks that are often not immediately visible.

Investing is not just a mathematical exercise — it is a deeply personal financial journey. And that is exactly where experienced human financial advisers remain essential.

Cape Fear or Cape of Good Hope?

I regularly get asked, “Is the stock market high, Chris? Is it overpriced? Will it crash soon?” And the truth is, there is not one person in the world that truly knows. However, one point of certainty is that successful investment in global stock markets is achievable with careful long-term planning.

The process behind delivering this success is comprehensive, one element of which I will outline here.

A Better Way to Value the Stock Market

When most people ask, “Is the stock market expensive?”, the answer they usually get involves the price-to-earnings (P/E) ratio, which, in its simplest terms, measures a company’s current share price relative to its earnings per share. Divide the market’s current price by its most recent earnings, and you have a rough sense of value.

The problem? Earnings are noisy. They swing wildly with economic cycles, recessions, and one-off events. A company — or an entire market — can look cheap on a single year’s earnings during a boom and terrifyingly expensive during a downturn. The standard P/E ratio tells you a lot about the moment, but very little about the long-term picture.

Enter the CAPE ratio.

What Is the CAPE Ratio?

CAPE stands for Cyclically Adjusted Price-to-Earnings. It was developed by Professor Robert Shiller of Yale University — a Nobel laureate in economics — and is often called the Shiller P/E in his honour.

The idea is simple but powerful. Instead of dividing the market price by a single year of earnings, CAPE uses the average of the last 10 years of earnings, adjusted for inflation. This smooths out the peaks and troughs of the business cycle and gives a far more stable, reliable picture of whether the market is cheap or expensive.

What Does History Tell Us?

This is where it gets interesting.

The long-run historical average CAPE for the US S&P 500, going back to 1871, sits around 17. Readings above 25 have historically been considered expensive. Readings above 35 have been rare — and when they’ve occurred, they’ve almost always been followed by poor returns over the subsequent decade.

The CAPE hit its all-time record of 44.2 in late 1999 — right before the dot-com crash that wiped out nearly 50% of the S&P 500 and delivered a “lost decade” for equity investors.

Before the 2008 financial crisis, it sat at around 27.5. Not extreme, but elevated — and returns in the years that followed reflected that.

Where Are We Today?

As of June 2026, the US S&P 500 CAPE ratio stands at approximately 39.9.

To put that in context:

• It is nearly 2.5 times the long-run historical average of 17
• It has been this high on only one other occasion in 155 years of data — the dot-com bubble of 1999–2000
• It sits well above the long-term average of 32 even using more recent (post-1990) data
• It has risen over 10% in the past year alone

This is not a cause for immediate panic. High valuations do not tell you when the market will correct — only that the market is currently priced for near perfection. The margin for error is thin.

Why Is It So High?

There are legitimate arguments for why today’s CAPE might overstate the risk:

The composition of the market has changed. The S&P 500 is now dominated by large technology companies — Microsoft, Apple, Nvidia, Amazon — with higher profit margins and faster growth than the industrial companies that historically made up the index. Some analysts argue a structurally higher CAPE of 25–30 may be the “new normal”.

Passive investing has changed flows. Trillions of pounds and dollars now flow automatically into index funds regardless of valuation, which may support prices at higher levels than before.

Interest rates matter. When bonds pay very little, investors accept higher equity valuations. As rates have moved higher, this argument has weakened — but it hasn’t disappeared entirely.

These are reasonable points. But they are also the same arguments made in 1999. High valuations have a habit of reasserting themselves eventually.

It is a long-term return indicator. Shiller’s research showed a strong inverse relationship between CAPE levels and returns over the subsequent 20 years. When you buy at a high CAPE, you should temper your long-term return expectations accordingly.

It works best for broad, long-term portfolio decisions — not for individual stock selection or short-term market calls.

It applies primarily to the US market. CAPE ratios vary significantly by country. Many European and emerging markets currently trade at far lower valuations, which is one reason genuine diversification remains so important.

What Does This Mean for You?

If you are a long-term investor — saving for retirement, building wealth over decades — the CAPE ratio is a useful reality check.

At current levels, the US market is not priced for average returns. That doesn’t mean you should abandon equities. It means:

• Expectations should be calibrated accordingly. Historical average returns from this starting valuation have been below long-run norms.
• Diversification matters more, not less. Markets outside the US — Europe, the UK, parts of Asia — offer meaningfully lower valuations and potentially better risk-adjusted returns over the long run.
• Income and quality — dividends, cash flow, strong balance sheets — become more attractive when the growth premium built into US valuations is high.
• Asset allocation should reflect your time horizon and risk tolerance, not just momentum or recent performance.

The CAPE ratio is one tool, not an oracle. But it is one of the most rigorously tested long-term valuation metrics we have. And right now, it is telling us clearly: the US stock market is not cheap.

That is something every informed investor should have on their radar, and just one of the many considerations I take into account as a financial adviser when looking after my clients.