Wealth management

Kirkmain

Whats size of estate (property, stock, cash, chattel) is considered large, and would be worth engaging with a wealth management advisor?

Also how do they charge. Is it a fixed cost per advised or is it calculated as percentage of the estate value they are being asked to manage?

thank you

HappyHarry

You should be using an Independent Financial Adviser, who may or may not be a Wealth Management company.

It varies from IFA to IFA what size of assets they would advise on. Typically £250,000 plus though there is a huge variance depending on the company you end up speaking to.

IFAs will do both charging structures. Speak to some and find one that fits your style.

Floss

My IFA openly admits that my portfolio (5 figures) is one of their smallest. 

Personally I would be asking this question on a board more fitting such as the Savings & Investments board, rather than this Over 50s board....

Kirkmain

Floss said:

My IFA openly admits that my portfolio (5 figures) is one of their smallest. 

Personally I would be asking this question on a board more fitting such as the Savings & Investments board, rather than this Over 50s board....

5 figures being £10,000- 99,999? Do you mind sharing how much they charge you for this?

Thanks I will repost, Still relatively new so not aware of what suboards about available

Floss

Kirkmain said:

5 figures being £10,000- 99,999? Do you mind sharing how much they charge you for this?

Not without digging out my most recent agreement, but I feel it warrants the planning & advice I've received for my personal situation.

Allabarra

After 12 years, my investment of £325K reached £465K .... after 15 years, it has now fallen to £312K  less than I invested and I am 75. My financial adviser has made his commissions and has lost nothing. Neither have the companies invested in.  They say you need to look at the long term. I did. Now, I wish I had put my money in banks and ISA's. I would be much better off.    The final straw is that now my Pension has been crystallised.. whilst dragging their feet forwarding my sum to invest elsewhere.. they left it invested and it has lost a further £2000 in a month. which is more than it will earn in 5 years in the better investment.  The problem is that it is impossible to make these investments without a Financial Advisor who will milk you for as much as he get away with. 
Finally at the end of all this, even with the protection of guaranteed income, I need to live to be 95 just to get 90% of my investments back. Hopefully, one day this will be criminal.

HappyHarry

Allabarra said:

After 12 years, my investment of £325K reached £465K .... after 15 years, it has now fallen to £312K  less than I invested and I am 75. My financial adviser has made his commissions and has lost nothing. Neither have the companies invested in.  They say you need to look at the long term. I did. Now, I wish I had put my money in banks and ISA's. I would be much better off.    The final straw is that now my Pension has been crystallised.. whilst dragging their feet forwarding my sum to invest elsewhere.. they left it invested and it has lost a further £2000 in a month. which is more than it will earn in 5 years in the better investment.  The problem is that it is impossible to make these investments without a Financial Advisor who will milk you for as much as he get away with. 
Finally at the end of all this, even with the protection of guaranteed income, I need to live to be 95 just to get 90% of my investments back. Hopefully, one day this will be criminal.

Your investment with an IFA has lost money over the last 15 years - since 2009?

I’m sorry, but I find this very hard to believe.  Have you been drawing funds in the meantime that you might have forgotten about ? That is the only rational explanation I can think of.

MarzipanCrumble

Look at the pensions board and/or ask advice there.

TBH many lost money on investments over the covid period and then again possibly under the Truss Government.  

Albermarle

MarzipanCrumble said:

Look at the pensions board and/or ask advice there.

TBH many lost money on investments over the covid period and then again possibly under the Truss Government.  

Just to expand on this.

The only people who would have lost money during the main Covid period, are those that pulled out when markets dipped. The markets quickly recovered ( in 6 months ).
Globally stock markets reached a peak around November 2021 and then slumped but are now ahead again.
The main issue has been problems with bonds/gilts, normally seen as low risk investments, which have reacted badly to interest rate rises. Liz Truss did not cause this but she did fan the flames to some extent.

Albermarle

Allabarra said:

After 12 years, my investment of £325K reached £465K .... after 15 years, it has now fallen to £312K  less than I invested and I am 75. My financial adviser has made his commissions and has lost nothing. Neither have the companies invested in.  They say you need to look at the long term. I did. Now, I wish I had put my money in banks and ISA's. I would be much better off.    The final straw is that now my Pension has been crystallised.. whilst dragging their feet forwarding my sum to invest elsewhere.. they left it invested and it has lost a further £2000 in a month. which is more than it will earn in 5 years in the better investment.  The problem is that it is impossible to make these investments without a Financial Advisor who will milk you for as much as he get away with. 
Finally at the end of all this, even with the protection of guaranteed income, I need to live to be 95 just to get 90% of my investments back. Hopefully, one day this will be criminal.

There are very few investments that you need a financial advisor for. It is normally a choice of whether to use one or not.
As a previous poster said to not make any money over the last 15 years must mean some very bad investments, or some other reason, like being invested in individual companies? which is risky.

Neither have the companies invested in. 

Floss

@Allabarra Financial advisors act on instructions and work to your risk appetite. It sounds like you may have agreed to higher risk investing for potentially high results rather than lower risk that would have lower results.

Perhaps you should contact the FCA if you have concerns about your IFAs actions.