Ralph I can see where Jamie is getting at. Often Financial Advisors push money and share related products without knowledge of property investing strategies. Question is, by seeing a Financial Advisor you are knowling cutting yourself off to the below strategies/opportunities:
Cashflow positive props, buy/sell, buy/hold, depreciation, buy below market, renovate, wrapping, increase value, subdivide, develop. With $1m wouldnt you first explore above? I guess it's what you feel comfortable with at the end of the day.
Actually I have made a question here: Does anyone know 'the professional name' for someone who can advise on above strategies and can provide that advice as a licensed person ie no liability etc?
theycallmeBruce wrote:Haha yes, that's right They Call Me Bruce was a comedy / action movie!Terry – Great to hear your a CTA, and everything else, all the important skills you have to buy and sell properties, so I guess you save on every transaction? So do you have clients you work with remotely, ie use internet comms 100% without need for face to face meetings?
HiBruce,
I can work remotely, but not for the finance part as must meet face to face. For the law side I could.
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
Hi all:
Just in case you guys see this thread again, I've talked to 4 advisers now, and I've narrowed down to two advisers to choose from: one is very nice to talk to and with good background, the other is a little bit harsh but with more experience. Please advice, struggling at the moment
cheers
Ralph
Ralph Z wrote:Hi Terry:Thanks for your comments, I talked to two financial advisers today: one is from MLC, he's basically recommending MLC management funds; the other one is an independent adviser, he is more genuine and basically set a strategic financial plan for me, but i will need to pay for further details. I will talk to two more advisers, and I will definitely talk to accountant and lawyer. are you at Sydney? so i can talk to you if they were not so helping. cheers
Yes, I am in Sydney and I would be interested to hear what they recommend. I am in the process of setting up as a financial planner as well.
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
Ralph Z wrote:Hi all:Just in case you guys see this thread again, I've talked to 4 advisers now, and I've narrowed down to two advisers to choose from: one is very nice to talk to and with good background, the other is a little bit harsh but with more experience. Please advice, struggling at the moment
cheers
Ralph
Hi Ralph,
I would be interested to find out the fees involved. Do you have to pay any fees for the initial meetings? And how much to go forward?
What is the general gist of their advice?
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
Hi Ralph,
Missed your question – so apologies for that.
IMO truly independent advisors are much better than someone who works for major insurance firms and/or banks. I do recall seeing somewhere an analysis of whc owns what in the financial world and I found the level of interconnectedness 'intriguing'
IMO you are better off seeking someone who is truly independent. As the financial services industry moves to a 'fee for service' model I expect the quality of advice will improve. In the meantime I suspect there will be a bit of a shakeout of the system as those who are very reliant on commissions, and trailers, will have to move to a new paradigm.
But, having said all of that, the service industry is dependent on the quality of service provided by the individual you speak and meet with. Your experience (good or bad) could be an 'out of the ordinary' one and not reflective of the company or industry.
Mind you when I was investigating becoming involved in a financial planning franchise some years ago I took delivery of a franchise marketing DVD. The franchisor (a well known one) claimed that small, truly independent financial advisors were behind the eight ball due to the level of compliance required.
Your BS detector really needs to be switched on when speaking to various advisors.
Further to Terry's comments.
While a 'likeable' factor is important when looking for service the over-riding factor should be their level of knowledge.
After all you want this person to help you invest wisely – not be your buddy.
Hi Derek：
Thanks for your comments again, I've talked to 3 independent ones, and I think I've decided to go with the one whom is easier to talk and with relatively solid financial background. I will update later to share their services. cheers
regards
Ralph
Someone above mentioned that a financial adviser just tries to sell you their product, I thought they were regulating this and changing the industry as of July this year? Is this the case or has this not changed yet?
Hi Terry:
First meeting is free for all the advisers, I think that's the norm in the industry now. Once you've decided to go with them, they will charge 2000-6000 for the Statement of advice, and another 4000-8000 for ongoing management. The one I decided to go is around 3000+6000, the one with more experience charges about 5000+8000. cheers
Hi Aussieguy:
You should choose independent advisors (google independent financial advisor), they don't take commissions from any product provider, there is one adviser I talked to who would rebate all the commission back to me in case the product provider insists to give commission. oppositely, some of the advisers will just recommend their own products or from their licensed products list. cheers
aussieguy2000 wrote:Someone above mentioned that a financial adviser just tries to sell you their product, I thought they were regulating this and changing the industry as of July this year? Is this the case or has this not changed yet?I think it has been extended to July 2013
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
Ralph Z wrote:Hi Terry:First meeting is free for all the advisers, I think that's the norm in the industry now. Once you've decided to go with them, they will charge 2000-6000 for the Statement of advice, and another 4000-8000 for ongoing management. The one I decided to go is around 3000+6000, the one with more experience charges about 5000+8000. cheers
Thanks Ralph. Very interesting.
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
Terry is right July 2013 sees the world of financial advisors changing.
If you are referring to FOFA whilst most of the reforms came into play from July 1 2012 they are voluntarily upto 1 July 2013.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Terryw wrote:Ralph Z wrote:Hi Terry:First meeting is free for all the advisers, I think that's the norm in the industry now. Once you've decided to go with them, they will charge 2000-6000 for the Statement of advice, and another 4000-8000 for ongoing management. The one I decided to go is around 3000+6000, the one with more experience charges about 5000+8000. cheers
Thanks Ralph. Very interesting.
Ralph, Just wondering did those fees included legal documents such as powers of attorney, wills, testamentary trusts, SMSF set up etc?
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
Hi Terry:
no, as far as i know, they will just give you all the options, you decide what to do, and you would then need to speak to accountant and lawyers etc.
cheers
Ralph Z wrote:Hi Terry:no, as far as i know, they will just give you all the options, you decide what to do, and you would then need to speak to accountant and lawyers etc.
cheers
Gee that is fairly costly then.
Yesterday I did some financial planning training. Now I am a solicitor and chartered tax advisor and a mortgage broker. Once I set up as a planner I will be able to do the complete advice and set up all wills with testamentary trusts,inter vivos trusts, smsfs, loan agreements structures etc. I was intending on charging about $5000 to $10,000 for all this per couple and then rebate any commisisons from loans and insurances etc. There are not many fin planners that are also solicitors
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
Hi Terry:
Yes, I agree with you it is expensive. I think your background will definitely give you a lot of advantages as if you can do all those thing as a bundle. Everyone is doing upfront fee plus an ongoing fee though, you may consider that as well. I can decide just take the statement of advice and not use them for ongoing management, guess that gives client a little bit more flexibility, but the extra fee for legal and accounting issues is disappointing. cheers
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