Other things you should know

Recommendations based on wide-ranging considerations

We consider factors that can support or hinder your success, including your:

• short, medium, and long-term financial goals;
• assets and liabilities;
• income and expenses; and
• risk profile.

• Investment and savings:
  Including wealth creation and savings strategies; lump sum investment (including inheritance); and choice of managed investments (including wholesale and retail funds) and direct investments (shares and fixed interest).
  
  
• Superannuation:
  Including Self Managed Superannuation Funds (SMSFs) and strategies; employer and personal superannuation; rollovers; and managing contribution caps.
  
  
• Retirement:
  Including income maximisation and capital preservation; retirement income streams including pensions and annuities; and social security entitlements.
  
  
• Estate planning:
  Including estate asset planning (via will) including testamentary trusts; non-estate asset planning (eg. superannuation and other trusts); and business succession (including agreements and funding).
  
  
• Redundancy:
  Including financial audit and budgeting; investment strategy and lump sum investment.
  
  
• Insurance:
  Including risk identification and assessment; life/income protection/trauma insurance; and key person/business expense insurance.
  
  
• Taxation and legislation:
  Including tax-related planning for investments and other assets (including gearing); Family Law impact on investments and estates; effective administration of asset purchases and disposals (including Capital Gains Tax); and salary packaging.
  

• Expertise
  Our SMSF advisers are accredited SMSF specialists whose credentials are recognised by the Self Managed Superannuation Professionals Association of Australia (SPAA).
  In addition, we have developed our own sophisticated review, advice and implementation systems and processes that are SMSF specific. These enable us to efficiently manage the ongoing provision of SMSF-related services.
  
  
• Education
  We work with trustees and their advisers to help them realise the full potential of their funds by:
  • ensuring that the trust deed is up to date; then
  • utilising the tax advantages offered by their fund;
  • linking their fund to their estate plan, including identifying the right nominee for a binding death benefit nomination;
  • providing asset protection for at-risk members;
  • crafting the most appropriate pensions for the members’ needs;
  • learning about investment risk management and the need for sound investment strategies;
  • selecting which investments or insurances to acquire or dispose of; and
  • employing contribution strategies, including small business retirement exemptions.
  
  We ensure trustees understand their responsibilities in what can be a complex area.
  
  
• Risk reduction
  We unearth and, where possible, resolve outstanding problems and potential compliance nightmares. We thereby minimise exposure to potential penalties for non-compliance and unauthorised or inappropriate advice.
  
  
• Client satisfaction
  By working with the trustee’s other professional advisers, such as the accountant and solicitor, we are able to provide trustees with the very best SMSF advice and service. Our involvement also means the demands placed on the other advisers, in terms of time and effort, are kept to an absolute minimum.

• Diversification across asset classes
  Diversifying your investment across asset classes (shares, property, fixed interest and cash) reduces the overall volatility of returns - each asset class may perform differently at different times. This strategy of risk reduction underpins much of our advice.
  By taking a strategic approach to asset allocation, we seek to add value for clients over the long term. Therefore, we tend not to react to short-term market movements.
  There is a vast array of investments that may be utilised to meet your investment and lifestyle goals. In order to construct the most appropriate portfolio, we utilise a number of companies for our fundamental research, each with their own specialisation.
  
  
• A combination of the best managers
  In the case of managed funds, the underlying investment managers we employ vary their exposures to countries, industries and stocks in accordance with their investment objectives. Our preferred managers actively manage your portfolio down to the individual investment level.
  We assess investment managers both in isolation and in relation to the performance of other investment managers. We seek to combine investment managers who have different investment styles to provide consistent, long-term performance.
  
  
• Customised direct equity portfolios
  In the case of direct equities, we are able to design customised portfolios that reflect your particular requirements in terms of income, taxation relief via franked dividends, and capital returns. Of importance is that these portfolios are built on a foundation of research free from the influence of corporate mandates, and are not transaction driven.

• Making it simple for you to invest
  Our portfolio administration service makes it easier for you to manage your affairs.
  The accounting and administration for a comprehensive range of investments can be both time-consuming and expensive, especially when you consider the range of dividends, distributions, performance summaries, taxation summaries and new product information that must be managed.
  Once you and your adviser have determined your strategy and selected suitable investments, the service takes over, reducing your paperwork to a minimum.
  You’ll receive consolidated performance and tax reports so that you can easily see your entire position in one glance.
  
  
• Portfolio management – constant monitoring, timely rebalancing
  The nature of growth investments means there will be continual movements in the value of your portfolio. Monitor Money monitors these movements and compares them with the strategy in your plan. Where appropriate, we respond quickly with recommendations regarding the realignment of your asset allocation.
  
  
• You determine the level of your involvement
  • Throughout the financial planning process, you have the freedom to choose the level of your involvement, but no decision can be made without your final approval.
  • Your Monitor Money financial adviser will recommend a portfolio, which we will keep up to date, in consultation with you.
  • You can review these recommendations, and the subsequent performance of your portfolio, as you see fit.
  • We will provide the appropriate advice, information and education to help you make the ongoing decisions regarding your financial strategy that will be in your best interests.
  • We will continue to execute those decisions for you as agreed.