Tom and Jane came to us for investment advice. Jane’s father had recently passed away and left her and her sister his property. The property had been sold and the cash split 50/50 between Jane and her sister. Jane wanted advice to how best to invest the money.
The couple have one daughter, Sarah, who is currently studying for her A-levels and therefore still living at home and financially dependent. Jane works for the NHS, so has an NHS pension scheme, and Tom is employed by a large company with a decent benefits package, including a pension he and his employer pays into. They were both comfortable with the financial protection they had in place.
We asked the couple to look forward 30 years and asked the question, “if all goes to plan, what might the highlights be?”. It’s never an easy question, but in our experience, once the first idea comes the rest follow much more fluently. After giving them some time to discuss and ponder, the result was:
So, the hard part was done, now we just needed to put a plan in place to see if we could help them achieve this.
Firstly, Tom and Jane didn’t have much in cash savings to cover emergencies or occasional spending, so we held back £15,000 in a savings account.
The ‘last family holiday’ would be planned for the following summer, after Sarah had finished her exams. They wanted to make it a special one, so we also held back £7,000 in cash for this purpose.
Sarah was intending to take a year out before going to university. John and Sarah didn’t want her to get into too much debt; they therefore reserved enough money to pay all of her university fees for the two years. This would still be a couple of years away yet, so we put the money into Premium Bonds. This ensured the money was not exposed to capital risk but stood a chance of earning a better return than a savings account.
The remaining objectives were all more than eight years away, so we recommended an investment portfolio. We would use their ISA allowances in full immediately, with the balance of the money invested in a taxable account alongside it. Each new tax year we would move money from the taxable account to the investment ISAs to make full use of their allowances. This would continue until all of their money was held within the much more tax-efficient ISAs.
We split the investments into two portfolios: one with a lower risk profile, with enough money to cover Sarah’s wedding costs and the Australia trip, as that money would likely be needed sooner. The other portfolio was taking slightly more risk and therefore had the opportunity for higher returns, seeing as the capital wouldn’t be needed for at least 15 years. Fluctuations in value therefore did not matter to them and they were comfortable that they understood how the investment might behave.
Tom and Jane now feel they have a plan in place for their future and have used Jane’s father’s money to really benefit the whole family, just as he would have wanted.
“As a freelance photographer, finances in life can be precarious. Never able or inclined to delve into the world of stock markets or areas other than the standard offer from banks and building societies. I was recommended to Annetts and Orchard, who around 2004 started to advise me and handle any monies that I had available. We are not talking about vast sums, so don't be put off. Their professional but friendly way of doing business has kept me on a very happy footing since and never once have I felt badly advised - not the case with some friends of mine. Always with their client in mind my portfolio of funds has grown at a rate far higher than any individual could hope for. Retirement with a solid financial background is an area I could only have dreamt of. I would have no hesitation in recommending Annetts & Orchard, the sooner you start the better life will be.”
A client since 2004
“I would like to thank Annets & Orchard for helping me review my pension policies and for your honest advice of how I should reinvest my ISA when it reaches maturity. I thank you especially for helping to rearrange my Critical Illness and Life Assurance policy. You made a very sensitive subject a lot less painless with your professionalism, friendliness and understanding of my changed circumstances. You also have a good sense of humour, which helps as most of the things we had to sort through were quite heavy going for me.”
A client since 2013
“I have used Annetts & Orchard for the last five years. During this time, they have assisted me with a first-time mortgage and more recently a mortgage for my new house, as well as home insurance for both. House buying is extremely stressful, but I felt that this was one less thing I needed to worry about. Annetts & Orchard found the best product for me and the whole process from start to finish was as seamless as possible. I would not hesitate in engaging their services again in the future.”
A client since 2010
“I have been with Annetts & Orchard since 2008: I needed mortgage advice, and they were recommended to me by a trusted colleague. As my personal circumstances developed and my financial needs have changed over the years, the team have advised me on a range of pension and investment issues, and I feel I now have a solid financial plan in place. What I value is how Annetts & Orchard take the time to understand my needs and explore different solutions with me - I feel in control of my financial future but with the support and guidance of experts.”
Dr P Hornsby, Wokingham
A client since 2008
“I wanted to send a private message to say that, for what it is worth, I have worked for hundreds of companies over the last seven years whilst here - the biggest compliment I can give you and your company is that if someone came to me to ask for a recommended company for advice, you would be top of the list by a long, long way.”
A professional connection
“I was recommended Annetts & Orchard by a colleague who found their helpful and professional approach both useful and reassuring. I have certainly also found this to be the case. Looking to invest savings while ensuring a safe future for my family, I find that the team make uncomplicated and appropriate suggestions. They are never pushy and most importantly listen. I am very comfortable leaving them to handle my investment portfolio.”
A client since 1998
“My husband had just died aged 50 and I required a sympathetic and professional approach. I couldn't have asked for a better team. They were knowledgeable, efficient and kind. Without a doubt they helped reassure me and reduced my stress. Since 2011, the team have been attentive and willing to discuss any concerns I may have. The investment choices have done well for me. I would highly recommend them to anyone requiring financial advice.”
A client since 2011
"Annetts & Orchard have provided excellent financial advice and support to my 97-year-old aunt for some time. By providing sound financial help and making the investments on our behalf, we were freed from the worry and burden of decision making. I can therefore thoroughly recommend Annetts & Orchard, as I have seen for myself the excellent service they have provided to my aunt over a number of years."
A client since 2008
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