Creation and implementation of a Financial Life Plan (Statement of advice).
Having a personal financial plan should be more than just a piece of paper. It should be a living document that is updated as your needs and circumstances change over time.
It's core purpose is to provide a flexible framework to give you the best chance of achieving your highest financial objectives.
In addition, it should be easy to understand and follow and be transparent, demonstating clearly the benefits, costs, and risks associated with the strategy(s) and advice.
Then, proactively monitor and formally meet regularly to assess progress and provide necessary advice.
INVESTING
We demystify investing and the investment process by showing you that investments are simply financial tools needed to increase the probability of you achieving your meaningful outcomes.
Because so much work has already been done clarifying your outcomes leading to your highly personalised financial strategy, the financial tools (investments) needed are then obvious to recommend.
We have no investment product to offer.
If a new financial tool (investment/way of investing) becomes available that is better & more suitable than what is currently in place, we will recommend it.
Our philosophy to Investing in Simple Terms:
1. No one knows or has ever known or can reliably predict the future.
2. Low costs and a wide range of investments give you the best chance of long-term investment success.
3. There are many groups/ways of investing. For most investors, the most effective groups of investments are the traditional ones: Defensive (Cash & Bonds) & Growth (Listed Shares & Property).
4. Based on the latest academic research, the long-term investment return you achieve (and need), which is 85%- 95% of it, predominantly comes from the proportion you have in Defensive vs Growth.
Getting that mix right for you is the key. It is not picking the right individual investment or perfectly timing when to buy and sell that determines your long-term investment return.
What does this mean?
Invest in low-cost, well-diversified portfolios that have a percentage in defensive and growth assets that suit you personally and are aligned with your goals—regardless of whether you are investing in your personal name, superannuation, or a company/trust.
Oh, and stay disciplined. Invest for the long term (at least 5-7 years); anything shorter than that is mere speculation, or to put it another way, gambling.
For a lot of people, that’s easier said than done.
