Investment planning
Whether you have a short term (eg travel) or long term goal (eg retirement) the issue is how to select , grow and then protect your hard earned investment.
The importance of acting now to prepare for the future need is shown below:
The calculations below assume re-investment at a constant 5%pa yield for the periods specified,
Investment |
5 years |
10 years |
20 years |
40 years |
$2,000 |
2550 |
3350 |
5300 |
14,079 |
$5000 |
6400 |
8100 |
13266 |
35,200 |
$20,000 |
25500 |
33500 |
53000 |
140,790 |
$21,000 |
28102 |
37600 |
67349 |
216,000 |
The difference by investing an additional $1000 (to $21000) in the latter case and obtaining an additional 1%pa return is clearly substantial. Do you need help to find that extra $1000pa and that additional 1% pa?
What you already know
- What you currently wish to invest – a lump sum or a periodical amount
- How soon investment funds are required- at a specified date or at retirement?
- If not at retirement, how much is required ?
- Initial home loan acquired and amount currently outstanding ?
- Personal/ Investment loan details
- Level of insurance- Life, Salary continuance, Trauma, Total and Permanent Disability Insurance, Business Insurances.
- Level of existing investments
- Current net income and savings capacity
Some ways an advisor can assist you
- How to diversify your investments to reduce volatility.
- How to test the suitability of your current risk tolerance
- How to grow your assets in a sensible manner by investing/cutting expenses each year.
- How to protect hard-earned assets from loss due to ill health, bankruptcy, divorce etc.
- The potential benefits from debt consolidation
- How to pay debt off earlier
- Whether debt repayment is preferable to placing funds in super
- The pros and cons of an investment property purchase.
- If you were to retire today, how much would you need annually in retirement.
- Whether your current savings capacity can achieve this outcome?
- How to fund any savings shortfall needed to fund this retirement income.
- How to invest for children.
- How to diversify your investments to reduce volatility.
- What is the best investment vehicle to use
An advisor will identify other issues specific to your situation.
What to do now?
As a minimum:- Enter your postcode and area of interest above for an obligation free contact with an experienced and appropriately qualified advisor.
- Review the Superannuation and Retirement sections to assist with your total retirement objectives.
- Review the Estate Planning section. Are there threats to your will stipulations?
- Use the above to pro-actively address your total position, not a limited part of your situation