Cautious to Balanced ?

greenface

Just received my annual statement from my IFA:eek: Down down down Not happy with alot of things my IFA has done for me and i know the market is down in all areas and accept the loss but belive it could have been better spread with small personal details we were not told about or warned about. My factfind (summer 2007)said we were cautious now its balanced. Why the change ?if you need more info plase feel free to ask. Thanks

Myrmidon_J

What funds are you invested in? What is the loss to date? What changes do you think could have been made? And are you suggesting these only with the benefit of hindsight?

Investment conditions are tough: even the cautious managed sector is down almost 16.0% over the past year...

exel1966

greenface wrote: »

Just received my annual statement from my IFA:eek: Down down down Not happy with alot of things my IFA has done for me and i know the market is down in all areas and accept the loss but belive it could have been better spread with small personal details we were not told about or warned about. My factfind (summer 2007)said we were cautious now its balanced. Why the change ?if you need more info plase feel free to ask. Thanks

Impossible to answer without providing the relevant info ! Did you give your IFA carte blanche to do as they please ?

dunstonh

My factfind (summer 2007)said we were cautious now its balanced. Why the change ?

Have you asked? It may be that they have increased their risk profile range.

whiteflag_3

dunstonh wrote: »

Have you asked? It may be that they have increased their risk profile range.

Would be a bit strange that they didnt have a balanced risk profile before though ?

Seems very dodgy to me, the IFA cant change your risk profile!!

dunstonh

Would be a bit strange that they didnt have a balanced risk profile before though ?

Not the name but the scale. They may have moved from a 1-5 to a 1-10. Or even from a really obsolete 1-3 scale. Some discretionary management firms dont base their risk level from cash at the starting point.

Only trying to guess as there is no information to go on and no reason why an IFA would move the risk profile (it's not our place to).

greenface

Ive thanked you all for your input i will try to answer alot in the one post In summer 2007 we seeked out found and used a IFA which we felt we liked in a local well established company. The IFA talked the talk about things we knew little of but mentioned all the relevant stuff Tax/risk/investments/future protection etc.
Through advice from IFA we have invested £300,000+ into axa investment bond split 50/50 in (A)deferred distribution and (B)property.

(A) now stands at £118K
(B) now stands at £ 88k
total paper loss of £85k (we have withdrawn £15k without penalty)

2x ISA in 2007 total 14k into L&G uk property trust now worth £9.6K
2x ISA in 2008 total 14k into Invesco perp distribution acc now £10.4k

total loss in 19 months of nearly 95k (bit more than cautious 16%)

Yes hindsight would have been usefull.:o
this is the only time our IFA has been used for investments and we were told of them so im not sure carte blanche is a issue here.
dunston i like your posts and the knowledge of information you have and thank you for that. i havent spoken to my ifa yet about my risk profile amendment .
I was told cautious in 2007 and havent been advised any differently since until i have read my statement. I am not savvi with how money and investment works and i feel i will be blinded with science if i asked.would i be able to get another isa (or who ) to look over and advise for a fee and to take it from there.
The money is a long term investment for us and our kids in the future (esp 1 who will need care when we are gone :A )
much more i can say but not on open forum thanks and please give info

Stavros_3

95k paper loss - ouch. Cannot understand why your exposure to risk has been adjusted without your consent. I would have thought 2007 would have been balanced and last year reverted to cautious, especially now. I've a similar amount invested and after 6 months I am on paper comfortably above what I invested, I'm in it long term for 5 yrs +. Whilst my risk profile is balanced my discretionary fund manager (Via my IFA) has only gone cautious until there are positive signs of an upturn and jumping in on buying opportunities. I'd be sitting down with your IFA pretty damn quick to discuss, the main topic of conversation being !!!!!! authorised you to adjust my risk profile

jem16

greenface wrote: »

Through advice from IFA we have invested £300,000+ into axa investment bond split 50/50 in (A)deferred distribution and (B)property.

I thought I remembered you asking about this IFA's advice earlier so did a bit of searching and found the thread.


http://forums.moneysavingexpert.com/showthread.html?t=803065


Did you ever meet to discuss this?

greenface

jem16 wrote: »

I thought I remembered you asking about this IFA's advice earlier so did a bit of searching and found the thread.


http://forums.moneysavingexpert.com/showthread.html?t=803065


Did you ever meet to discuss this?

Yes and up until oct i was "3% down and couldnt move without incurring penalties and locked into axa properties for 6 months" (IFAs words not mine)
i also thought the spread was across 2 inc invesco 50/50 but the invesco part is only my isa so all in with axa outside isas.
I was and am prepared to make losses and gains (hopefully)i am still not sure if my ifa has been lazy as in that post dating back some time or incompetent in the advice given.
And would another IFA be able to give me advice on this or would they not want to comment on another professional (doctors, solicitors, police)p1ss in the same pot etc.

greenface

On reading that thread(thats a year ago)shock !!!!!! i will ring my own ifa re risk amendment and advise that i am seeking another professional to see if i was correctly advised to begin. I have noticed charted IFAs are these better to see ?
My current IFA joined August 2005. in financial services since 1981, having worked for two major life and pension companies prior to becoming an I F A. expertise include Pensions & Investments, Mortgages and Protection.
. achieved the Financial Planning Certificate, CF7 Lifetime Mortgages Qualification and CF9 Pensions Simplification 2006 Update Qualification, all from The Chartered Insurance Institute and the Certificate in Mortgage Advice and Practice from the Institute of Financial Services.