If you have ever thought of seeking financial advice and want to get a foot on the investment ladder, you don’t necessarily need large amounts of money to see a professional or start investing.
Young investors sometimes think that cash, direct property and shares are their only investment options, although there are a number of ways to build your wealth as well as seek assistance from a Financial Adviser including the following:
Investing with Wholesale Managed funds:
Clients with smaller investment portfolios of $50,000 or less tend to invest directly outside super, with 80.6% holding cash assets and 28.8% direct Australian equities. While only 4.5% hold international shares, 2.1% any type of bonds and 0.3% residential trusts*.
At a time where markets are down across the world, it is seen by many as a perfect opportunity to access investments you originally thought were not possible. You can do this through wholesale managed funds via low-cost platforms available with a number of providers who have millions of dollars under management and use Investment managers with proven track records. These investments have options available across the four major asset classes being cash, fixed interest, property and shares.
The average superannuation member has 2.62 super funds** and consolidating super can be a lot simpler for younger clients then they think while allowing for a greater opportunity to accumulate wealth to meet retirement savings goals.
If appropriate for a client’s circumstances, there are a number of low cost platforms on par and in some cases even cheaper then industry superfunds out there.
If you do have a number of superannuation funds and want to find out about what is best for your needs, it is best to seek assistance from a Financial Adviser who can identify features of the account including fees, insurances, investment options and strategies available.
Protecting your Wealth:
Your world can dramatically change through unexpected illness or injury. An adviser can help you establish measures to protect your wealth and design a tailored solution to suit your needs. With a financial safety net in place you can be better prepared to support yourself and those depending on you, should something unexpected happen.
A financial Adviser can choose to either charge you a fee for putting a protection strategy together or have commission charged directly from an insurance product depending on what you decide to do. It is worthwhile noting that if you went directly to an Insurance provider, most of them charge automatic commission out of the product and this poses the question whether it is worth seeking assistance from a professional and potentially having no extra costs?
Growing your wealth with a regular savings plan:
A regular savings plan can be a great way for young clients to start building wealth early on by taking advantage of fluctuations in the market and using it to their advantage by purchasing more units/shares at a lower price. You can use a regular savings plan in say a Managed investment starting with an amount as low as $3000.
Starting a strategy like this on a low cost platform can reap benefits in the long term as an investment vehicle to fund expenses such as educational costs for your children or purchasing a property.
The above is just a few examples of how seeing an Adviser can help you if you want to get your foot in the door and build a strong foundation for your investment plan. If you would like to speak with myself about this further please contact the office on 02 9188 1547 or email me at Ronald.email@example.com
I will be able to have an initial discussion as a complimentary service which will give me a chance to see how I can add value to your situation and also help to identify any areas of concern and opportunity for you.
*** Information was also gathered from the BT Financial Group website
This information does not constitute financial advice. It has been prepared without taking account of your objectives, financial situation or needs. Because of this you should, before acting on this information, consider its appropriateness having regard to your objectives, financial situation and needs.