As a financial planner, it never ceases to amaze me how so many people have a blind spot when it comes to the cost of investing. They drive miles out of their way to save pennies on a litre of fuel. Or they spend hours online researching different holidays in the hope of shaving a couple of hundred pounds off the cost. Yet when confronted with one of the biggest purchases – and in some cases, the biggest purchase, they will ever make – namely their investments, they let their guard down. Financial planning is hugely valuable. It provides clarity and peace of mind. But many clients pay too much for it. Compounded over time, this can make a huge dent in eventual returns. To add insult to injury, the advisers they use often recommend expensive, actively managed funds, which are very unlikely to outperform a simple low-cost index tracker over the long term. In many cases, clients are paying between 2 and 2.5% every year when their advice fees and investment fees are added together. Some pay even more than that. Here at RockWealth we do things differently. We normally charge a fixed advice fee linked to the service delivered, value added, complexity and time. Where a percentage charge would be cheaper for a smaller portfolio, we will explain that option. A fixed fee can cost less over a long planning period, but this depends on your circumstances and is not guaranteed. Also, we exclusively use cost-efficient funds. The total cost includes advice fees, platform charges and underlying fund costs. Financial MasterPlan, implementation and ongoing advice should be considered separately. Compare like-for-like services and assumptions rather than treating an illustrative difference as a forecast. Here at RockWealth we are able to provide a full independent financial planning service including a full review of your circumstances, building you a financial plan for life to ensure you do not run out of money or, just as importantly, that you do not leave behind too much and miss out on achieving your life aims and objectives. We use the very latest financial planning software and have access to market leading low cost terms on investment/pension portfolios and platforms. We are able to advise clients face to face - including digitally via Zoom, Skype, Microsoft Teams etc - leaving no barriers to geography as we have clients all over the UK. We also, unusually, offer a fixed fee basis (initial and ongoing) if that is a more suitable route for clients. Please contact us for a free, initial no obligation initial discussion. The value of investments can go down in value as well as up, so you could get back less than you invest. It is therefore important that you understand the risks and commitments. This is not personal advice based on your circumstances. So you can make informed decisions for yourself we aim to provide you with the best information, best service and best prices. If you are unsure about the suitability of an investment please contact us for advice.
Pension advice that could cost your family the equivalent of 2 starter homes!
