Another month flies by and the financial news doesn’t get any less depressing, as I write Lloyds Bank shares set a new 52 week low at around 24p per share as their senior management team flounder with stress and recruitment problems. So is it all doom and gloom out there? If you read, listen to and watch the news the answer would be seem to be yes, however, there are plenty of excellent UK companies that over the longer term will provide excellent investment opportunities. And that’s the theme of this month’s article, long term financial planning.
As you may have read, the financial services world is going through enormous change at the moment and the next few years will see many businesses having to re-think what they do for clients.
Here at Lyndhurst, we really welcome those changes and have been developing the way in which we work with clients. What we have done is to look at all the client services and products that are now available across the whole of the market and re-structured the way we work in order to take advantage of these new developments. Most of the new ways in which we work are because the balance of power is changing. Years ago, we had to rely on large insurance companies and fund managers to provide the underlying products to our clients, but over the past few years a whole way of working has developed which means we are able to control much of the process – which means a better service to our clients, and often, because we can often cut out the middlemen, we can do that at a more competitive cost.
And that’s where much of the change is taking place so that…… “Our role is to help clients identify, achieve and maintain their desired lifestyle, without the fear of running out of money”. That’s one heck of a powerful statement and one that resonates with our clients, particularly in the current uncertain times.
To ensure we can live up to that statement we work with our clients to prepare a financial plan that will meet their particular financial objectives, e.g. I want to retire at 60 and go on a world cruise! The graph below is an example of a lifetime cash flow forecast for the next 40 years showing what they can afford to do and how much they will have left. It will of course change over time as our client either saves more or spends more but it does give peace of mind that someone is looking after their long term financial well being.
- Further to my article regarding the mortgage market in the August edition, the government announced on Monday a scheme to help first time buyers get on the property ladder.
- Nationwide have followed The Woolwich into the market with 90% for first time buyers.
- As ever, before deciding what to do it pays to take advice and our experts are available in our Barnet office to take your call on 0208 4475592.
Lyndhurst Financial Management Ltd
Authorised and regulated by the Financial Services Authority