I n d e p e n d e n t F i n a n c i a l A d v i s e r s

Latest financial planning news

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I n last year’s newsletter we were preparing clients for the

introduction of the new Pension Freedom rules – the

removal of the restrictions as to how you draw your pension

benefits. It’s no exaggeration to say this was probably the biggest

change to the pensions industry for decades, so the question is,

how has it been received?

We had few fears that clients would go bonkers and withdraw their

funds for a fancy car or blow-out vacation. In fact, as we suspected,

the new rules were greeted with great

excitement as with careful planning,

the new regime can add considerable

flexibility to how and when pension

benefits are taken. Our new cash

flow planning tool has been acquired

to help clients understand the many

scenarios, some of which turn

traditional retirement planning on its

head. Give us a call if you would like a demo.

2015 also saw another year of global market volatility and naturally

times like this bring back the question of threshold for investment

risk. Our Wealth Management Service addresses this subject

head-on and the fundamental strategy of reducing volatility is key to

the appeal our proposition.

Finally, 2015 saw thousands of smaller employers impacted

by Auto Enrolment legislation and over the next two years

every employer will be required to enrol their staff into a qualifying

workplace pension scheme. We have developed a low cost and

simple scheme to deliver an effective solution to our clients owning

businesses, details of which can be found on our website

www.staffbenefits.net

TeamMeet the

Philip HarperPhilip has been in the financial services industry all his working life. He formed Financial Management in 1991 following careers broking in London and heading the financial services division for an accountancy firm in Berkshire. He is a member of The Personal Finance Society.

Matthew Wright Matt has been working in financial services for nearly 30 years. Having first qualified in Financial Planning in a 14 year career with NatWest he has spent the last 15 years working as an Independent Financial Adviser specialising in both Employee Benefits and private client work.

Chris HockinChris has been in the financial services industry since the early 1980s starting off in the general insurance side of the business before becoming an independent financial adviser in 1986. Since that time he has had several successful managerial roles and has been advising and helping both corporate and private clients alike. He is a member of The Personal Finance Society.

Vanessa CarverVanessa had a long career in the financial services industry. Starting as Manager at AXA heading a national project in association with Law firms. From there she spent 10 years at Financial Management as an IFA specialising in Employee Benefits. After 3 years working in the education sector, Vanessa returned to Financial Management working in research and paraplanning.

Amyr Rocha-LimaAmyr has many years of experience working for multinational wealth management companies. As a business consultant, he specialised in reviewing and restructuring financial planning processes. Now as a Chartered Financial Planner and Associate of The Personal Finance Society, he works to ensure that his clients achieve their personal and financial goals.

financial management, Penn Barn, By the Pond, Penn, Bucks HP10 8LB01494 817151 www.staffbenefits.net info@staffbenefits.net

Paul WakefieldPaul spent 20 years with Barclays qualifying as an Associate of the Chartered Institute of bankers and advised clients as a Barclays Premier Banking Manager involving Full Financial Planning. Paul now specialises in Whole of Market Mortgage advice and related protection advice which has been his focus for the last 10 years.

Mary Berry Cookery writer and judge on BBC’s The Great British Bake Off

“Financial Management

acquired Penn Barn from

Paul and me in 2006 and

since then they have helped

us with various aspects of

our financial planning”

financial management is a trading title of Philip Harper LLP which is authorised and regulated by the Financial Conduct Authority.

Need a helping hand with Auto Enrolment?

· Sign up in seconds· Simple to register· Low cost

Visit our website to request a personalised report www.staffbenefits.net

cons

olid

atio

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Pension ConsolidationBring your pensions together and we will help you keep them on track.

Philip Harper Managing Partner

ISa

A new approach to Business Protection

“Predictability helps investors grow their assets with lower volatility and gives them confidence in planning for their income requirements in retirement.”

Amyr Rocha-Lima APFS Chartered Financial Planner

Reduce Riskinvest in a diversified mix of asset classes

Celebrating 10 years of PruFund10

Edward and Sophie came to us on a personal

recommendation from a friend and took advantage of

our initial consultation, which is at our expense.

Following this meeting, we conducted a full

review of their existing assets. This showed us that the

couple had a number of investment products with high

charges and volatile returns. We reviewed their financial

objectives and lifestyle goals and produced a Cash Flow

A Pru–Prufund Cautious Fund 85 in GB (48.56%) B ABI Mixed Investment 0–35% Shrs TR in GB (34.55%)

50%

40%

30%

20%

10%

0%

-10%Sep 08’ Jan ‘10 May Sep Jan’11 May Sep Jan ‘12 May Sep Jan ‘13 May Sep Jan ‘14 May Sep Jan ‘15 May

A

B

It is important to review your investments on a regular basis to ensure they continue to meet your expectations. And, with many people expecting the current low rates of interest to continue, your cash deposits may not provide the returns you would like.

CaSe STUDY

With this in mind, investing in a multi-asset investment fund could be an option worth considering.

The PruFund range of funds are designed to deliver smoothed growth. By investing in a range of assets, the fund is less exposed to significant changes in the values of individual assets.

Prudential’s investments specialists will constantly look for the best opportunities for growth within a wide range of investment areas.

UK and global exposure to investments with holdings in a number of different types of assets (including company shares, fixed income bonds, property and cash) offering excellent diversification.

A unique smoothing process which is designed to help protect an investment from some of the daily ups and downs you might associate with a direct investment.

Expected Growth Rates (EGR) applicable to each of the funds are normally applied on a daily basis. The EGR is set quarterly by the Prudential Directors having regard to the expected long-term investment return on the underlying assets of the funds.

Prudential PruFund Growth - Expected Growth Rate: 7.10% p.a. The fund aims to maximise growth over the medium to long term by investing in shares, property, fixed interest and other investments. The fund currently invests in UK and international equities, property, fixed interest securities, index-linked securities and other specialist investments.

Please remember that the value of your investment may go down as well as up. You may not get back the full amount of your investment. What you will receive will depend on how your fund performs.

Pre-defined unit price adjustments, which will be applied if the fully transparent investment process requires them to do so.

Prudential PruFund Cautious – Expected Growth Rate: 6.50% p.a. The fund aims for steady and consistent growth through a cautious approach to investing. The fund currently invests around 70% in a well-diversified portfolio of fixed interest securities and holdings of cash and money market instruments. The balance is invested in UK and international shares, property and alternative assets.

Expert Guidance

www.staffbenefits.net

It’s a great target to aim for and one we encourage all our clients to try to achieve.

• We arrange a wide range of ISA investments to suit beginners to advanced investors

• Ready-made portfolios, chosen and managed by our recommended experts

• Income Portfolios delivering great levels of consistent tax-free income. Perfect for those in retirement.

• An alternative option to a Cash ISA paying a highly competitive expected growth rate and no pre-set term.

• Monthly Contributions to spread the cost.

• On-line access

£15,240 will continue to be the ISA allowance for the 2016/17 tax year.

If you’re the owner or director of a small or medium-sized enterprise (SME), you will know that losing one of your key employees could have significantly detrimental consequences for the business.

In a survey just published by Legal & General, 40% of SME directors said that their company would cease trading in under a year if they lost the business owner or a key employee. And yet 50% of SMEs do not have any cover in place. Is your business one of them?

Business protection can help protect your business from financial losses incurred as a result of an owner or key employee dying or

being diagnosed with a terminal illness. These policies allow your business to continue to trade by ensuring that key individuals can be replaced, debts can be repaid and shares can be purchased from the deceased owner’s estate.

Take a few minutes to run through the following key questions, which might help you decide whether you need business protection or not:

• Does my business rely heavily on one or more key individuals?• Could my business survive without those individuals?• What could go wrong if the business owner were to die or be

diagnosed with a terminal illness?• How would I – or the board of directors – retain control of the

business?• Is there a documented agreement in place about what would

happen?• How much money would I need to keep the business going?• Where would that money come from?

It pays to consult an Independent Financial Adviser when it comes to business protection. Here at Financial Management, whilst we can’t protect your key employees from injury, illness or even death, we can protect your business from the after-effects.

Forecast to help simplify their future needs, in line with

their attitude to risk and income requirements.

We powered their financial plan with the PruFund,

which offers the added security of stable growth and

smoothed investment returns. This gave Edward and

Sophie additional peace-of-mind, as otherwise their

investments may have been eroded if returns were poor

or volatile. With the appropriate investment strategy in

place, they were able to enjoy an income rate of

5% per annum, without creating an additional tax

liability, secure in the knowledge that they won’t run

out of money.

By having a clear understanding of their financial

objectives, we were able to simplify their investments,

helping them get the most out of their retirement

savings.