Recently, Bruce Grieve met with a couple in their mid-40s who were looking for financial advice.
They had not received advice in the past, despite their strong income, having a healthy surplus cashflow and sitting on cash of over $1m.
They were looking for strategic advice with regards to the cash as well as ongoing opportunities. In our research, we identified opportunities to maximise their super contribution strategy, which allows them to accumulate capital in a far more tax effective vehicle going forward. This is likely to result in significant tax savings over the years ahead. Additionally, one of their super funds had approximately 30% of the assets invested in cash, which had a drag effect on their performance. We were able to reposition their super funds into a portfolio that is rebalanced regularly to ensure that cash build-up does not occur in the future.
Additionally, one of the clients had been unable to secure any life, disability, or trauma insurance due to existing health concerns. Through our research of several key insurance providers, we secured the desired cover without any premium loadings or exclusions. Additionally, the cost of this insurance is approximately $2,000 per annum cheaper than the equivalent level of cover with his previous super fund.
In reviewing the impact of the strategic and investment advice over the next 14 years, the upside to these clients after advice fees is likely to be over $800,000. They now have a clear plan for the future and peace of mind that they are on track to achieve their financial goals.