…get what you pay for –
Financial planning advice is about more than investment returns. It goes much deeper than that and as surveys show –
- clients of financial planners working to a comprehensive strategy are often financially better-off than their peers, but
- are also more at ease with their position.
Only 2 in every 10 Australians who have funds invested seek the advice of a Financial Planner. Those very wise investors are better off than their un- advised friends. The findings from a survey published during 2010 showed that those investors who worked with a financial planner were –
- Readily able to discuss the strategy they were working to;
- Understand the volatility of investment markets;
- Realise a higher level of wealth by the time of their retirement;
- Aware of their insurance cover – and
- know how they are protected by it, and
- in the amounts for which their insurance is written.
Financial planning advice readily available
Congratulations! You are most likely amongst the 2 in every 10 Australians receiving advice if you are reading this article. If you are one of the 8 from 10 not currently being advised, our services are available at your convenience. The first meeting may incur no financial cost to you – ask about this offer.
Long-term clients of the firm will be aware that we are a ‘fee for service’ business. How can you know that you are getting Value for the fee you are paying us? Let’s try a couple of measures:
- comparison with what others are paying;
- the ‘sleep at night’ test; and
- understanding your wealth position.
Financial planning advice: What others are paying –
Traditionally in the financial planning industry, advisers have charged their clients a minimum of 1% of their invested portfolio. These advisers usually set a minimum portfolio size they will work with. To ensure that minimum fee prevailed for a portfolio of less than $500,000 a higher percentage applied under that ‘scenario’. For portfolios in excess of that value, the 1% or higher applied. Up until the early 2010s, the level of service expected in return for that fee may not have been defined!
By comparison, our firm more usually –
- charges a fee for advice/ service;
- specifies the amount of the fee;
- describes the level of service to be provided;
- charges on a ‘flat dollar’ basis (as compared with a % basis),
- with the effect that as additional investments are placed and/ or the market improves the portfolio value,
we still receive the same income for delivering the same level of service! Our Financial Services Guide (FSG) clearly sets out the basis of our charges to clients. (Similar FSGs are available for each of our advisers.)
Wealth management: The ‘sleep at night’ test –
We appreciate that our clients accept the truth of our motto –
‘we listen, we understand, and we have solutions’
– with the consequence that you trust us to exercise professional judgement to ensure that your investment strategy is –
- well-founded;
- that the investment products you hold in your portfolio are there for reasons specific to your circumstances, and
- you can rest easy (i.e., sleep at night),
knowing that the professional team at our office is advising in your expressed interests in prevailing market circumstances. Our understanding of these assumptions is based on what clients voluntarily tell us or confirm in surveys.
Financial planning advice: Understanding –
Because we spend time with our clients who subscribe to one of our service packages, they –
- are familiar with the investment strategy, that
- sets out the road map to the achievement of their goals – and
- they have research material (and access to ongoing information) about their investments
- available on-line and
- accompanying their advice documentation, and
- they know and understand how and why their money is invested as it is.
Because of the way we interact with our clients, we also have an understanding of their circumstances and needs. The professional accounting experience in our team, ensures we understand your personal and business financial structures.
To arrange an appointment with one of our experienced team –
- phone our office – on 07-34213456 – or
- at your convenience, use the linked Make A Booking facility.
(This article was first posted by us in June 2011. It has occasionally been updated/ refreshed, most recently in January 2025.)
