What’s missing from your money?

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Is you!

What’s missing from your money?

Ever since money was invented, humans, unlike any other living species, have to pay to live on earth!

How money comes, how you keep it and how it goes are really important issues for you. You’d like help from people who know what’s best. And you’d really like that helping hand to act in your best interest, right? Well right now, as you read this, such help doesn’t exist.

Not anywhere.

There’s a group of us operating behind the scenes to bring it to you. But it could take us 20 to 50 years to change things.

Until then, assuming we make it till then, how do you cope, what can you do, who can you turn to?

Well that’s what this is about – I call myself the financial life coach, or fiduciary.

What’s that then?

In a fiduciary relationship, one person, in a position of vulnerability, justifiably vests confidence, good faith, reliance, and trust in another whose aid, advice, or protection is sought in some matter. In such a relation good conscience requires the fiduciary to act at all times for the sole benefit and interest of the one who trusts.

To better understand the fiduciary relationship, let me explain where it does not exist, though you would think it might. You’d expect it.

The financial services industry does not offer it. The people who run the industry place profit, their profit that is, before principles. To keep it simple, let’s refer to them as greedy bankers.

Greedy bankers!

I’m doing what greedy bankers would be doing if they weren’t being so greedy.

I call myself a financial life coach. The word Fiduciary is not such a familiar term. It’s not a term you hear every day. Why would it be? Greedy bankers prefer to keep it that way.

I would call myself a financial adviser or financial planner. But those titles are already taken by non-fiduciary financial intermediaries. What I mean by that is product sales people.

Yes, their trade bodies, professional bodies and standards boards refuse to adopt fiduciary responsibilities in their codes of conduct. I know because I reviewed all 70 of them and presented a white paper to British parliament on the subject last year. I’m an ambassador for transparency, the paper is here.

These so-called advisers and planners are simply intermediaries between you and product providers. According to their regulator, the Financial Conduct Authority, they are giving advice on, dealing and arranging deals in and managing … investments. By investment, they mean giving your money to greedy bankers.

They are not … as advertised … advising you.

They treat your money as their client, not you.

They listen to you for 82 seconds before pulling out a brochure about your money.

Then they hand your life savings to greedy bankers.

People at the FCA had good intentions about changing things back in 2013; when under the description Retail Distribution Review, they banned commissions on investments. It all became a bit of a dog’s dinner really, as greedy banker lobbyists stepped in – laid off all the retail advisers – and renamed commission as contingent adviser charges for rich people and distorted the financial markets by exempting St James’ Place as a vertically-integrated firm.

Here’s the thing.

When it comes to financial advice … an investment is seldom the best solution or even an answer to your problem. In fact, in most cases it makes the problem worse.

Let’s see … when it comes to keeping your money safe, you give it away to a greedy banker!

They steal off the top and lie to you about how much they have taken. Don’t believe me? See our submission to British parliament on costs and charges then here.

What if … you invested in yourself instead? You invested the money so you no longer had to trade your time for money. You traded your knowhow instead. You created passive income from which you never had to, or wanted to, retire. You created income from what you know and are good at. What you love to do.

Your money avoids the greedy bankers.

Just in the same way that the best book to change your life if the one you write.

Bet on yourself.

All you’ve got to lose is your best life yet. So, go ahead!

Why is it the advisers and planners never mention that one?

Taking your money away to give to greedy bankers, shackled you to a life sentence on the treadmill of work existence; exchanging time for money, taking the bet you can buy freedom in the last 16 years when your time no longer has any use to them.

You’d like to avoid greedy bankers, yes?

You’d like someone who knows the score and is on your side, yes?

Well that’s the financial life coach.

Handing money over to not-so-greedy bankers, without recourse to layers of slice taking middlemen, is sometimes required to generate real returns on life savings. You are shown how to do this, it’s as easy as online banking.

The truth is. The rewards for investing in yourself mindful of the impact on people and planet can be ten-times more profitably in the long-term; as the firms of endearment studies reveal.

The best place to find a helping hand you can trust is at the end of your own arm.

Why’s this former banker any different?

Maybe, you think life coaches are all fluff and ten-a-penny. Everyone’s a life coach, right? Promising happiness … increased performance … improved relationships … anyone with a bit of NLP training. All useful, I’m sure … for the insignificant goals we set ourselves in our limited prison of conditioned thinking.

That’s not me.

I’m a master life planner with the biggest international life planning institute … I think it also takes insider knowledge of the greedy banker system to fully expand upon your biggest dream and move you along your plan in a physical, practical way in a material world.

Let’s face it. Life coaches miss out the money.

Perhaps you see me as a former financial planner and adviser.

The compliance department asked my firm to remove me from the FCA register as I was inactive. You see you are classed as inactive if after one week you have not handed your client’s life savings to a greedy banker. And inactive advisers have to be removed from the FCA register.

Don’t get me wrong. I’m highly qualified. Chartered Financial Planner, Chartered Insurer, twice winner of the British Insurance and Investment Brokers’ Association’s Broker Prize and twice winner of the Insurance Institute of Manchester’s Jubilee Prize Certificate for my performance by examination.

But if you’re shackling clients to the treadmill by handing over their life savings to greedy bankers once a week …

Let’s face it. Financial intermediaries miss out the client.

Potentially he’s one of those unregulated con men. There’s a £4bn per annum black market in the UK open for scammers of all description that are (deliberately) left out of scope by the UK regulators (they don’t want to upset the City and see their HQs move out of London). Flogging dodgy products. Getting rich at the expense of their clients promising some get rich quick scheme that you see all over the internet. Crypto currency, property management, land, hotel rooms, parking spaces, etc.

Pension busters promising illegal access to your pension pot, falsely claiming they’ve spotted a legal loophole. Taking a chunk in charges. And sticking the balance in some dodgy property backed scheme promising high returns for low risk. It disappears. Then HMRC hit you with a tax bill you are unable to pay.

That’s not me either.

I chase those guys and send them to prison. More about that here. And I’m the CEO of Asset Recovery Network (UK) Limited.

So, who am I?

I am what others are not. I do what others should be doing and don’t. I do it … because no-body else will.

If others were really helping you, there would be no need for what I do.

I make financial life changes for the better for you.

Completely on your side. Protecting you from greedy bankers and their agents.

I open your eyes to the greatest version of yourself.

I unmask the higher-way robbers.

Together, we put in place a solid plan to get you to where you were born to be.

Zero greedy banker products are sold in the process.

You need to be told the truth. You need to be told the secrets the greedy bankers didn’t want me to share.

Practical, down-to-earth, proven, tried and tested on millions around the globe, the best financial life planning system you will ever find.

Here’s my guarantee. If you should find a better one. Let me know. I’d like to shake their hand and pass all my clients to them.

What I do is hard. It’s humiliating, gruelling, punishing, draining, exhausting and most of all expensive for me to deliver. They call me Mr Ethical, the Robin Hood of the investment industry, sometimes even a loser and dreamer. I’ve sacrificed so much … they call me stupid!

I’d be one-million pounds better off had I remained in the banks.

See. Now even you think I’m stupid.

But here’s the thing …

If I don’t do it, who will?

If not me, then who? If not now, then when?

The naysayers say to me: “If I had half the brains you have, I’d be at it too. They’re all at it. It pays, and therefore works.”

I’m not born to be a greedy banker.

I’m born to help you.

When you ignore who you were born to be you suffer pain! Real emotional pain.

Lethal.

Society has many remedies to numb the pain and keep you in the rat-race. TV. Politics. Internet. Games. Drugs. Alcohol. Food supplements. Water additives. Chemtrails … the list goes on.

But, the best remedy is to face the truth.

Be who you were born to be.

What you give away, will be returned ten-fold.

Not just financially. You’ll …

enjoy wealth in every area of your life.

For the next 20 years plus of greedy bankers exploiting people and planet until the millennials arrive on the boards, all you have is me. On your side. Showing you how to beat the system.

You start by attending Born to Be. Tickets here. It’s free.

What’s missing from your money?

You!

Learn more at www.academyoflifeplanning.com

Let’s Talk About Money

The Game Plan is a practical, down-to-earth method for planning your life and money. It doesn’t ask you to do anything you don’t love. It does ask you to do things that you’re good at and are well within your capability.

The Game Plan Generator has four important components, which when completed will change your life in one month. The third part of four, is where we see the dramatic change in belief and confidence in my students. This is where we talk about the money. And, this part is called the Financial Freedom Forecaster.

At ‘The Game Plan’ (TGP) one-to-one coaching programme, this is one 90-minute session, 120-minutes for couples. At Your Money or Your Life Bootcamp it’s a full day. But, always the transformation in the student is amazing; you will witness stress and anxiety altering to sheer delight.

Here’s a couple of ‘Before & After’ examples from two students brave enough to take to the stage when I asked them to join me at the last Born to Be in March 2019.

This is part of the Financial Freedom Forecaster report.

Student 1 Before TGP

Fig 1: Cash Flow Before Student 1
Fig 2: Net Worth Before Student 1

You must also remember that the ‘Before’ picture is where you are dissatisfied in all areas; mind, heart, body and spirit. Here, right now, we are simply looking at the money. The cash flow diagram (Fig 1) shows age along the horizontal and cash along the vertical. The blue bars represent enough money. The red ones, a shortfall. The black line is expenditure.

The red bars show a problem in retirement. Net Worth (Fig 2) shows that if this isn’t resolved, the student will fall in to debt in their old age or become a liability on their family (negative £2m by age 90!)

Imagine how you’d feel right now if that was you. Painful, yes? We’re about 15 minutes into the conversation in the third 90-minute session of four.

After TGP

Fig 3: Cash Flow After Student 1
Fig 4: Net Worth After Student 1

This is the picture at the end of 90 minutes.

Remember that the AFTER picture is doing what you love!

Through a few simple suggestions – that the student agrees are do-able and not too challenging – the outlook changes dramatically. We even stop trying to grow the business at age 70 as the numbers became too big to illustrate.

How do you think the student felt after that meeting? Amazing wouldn’t you say? Relieved perhaps! Jumping with joy I’d say!

The truth is, when you sell knowhow you earn while you sleep and never need to retire.

The difference in net worth at age 90 after a 90-minute conversation – was a staggering £7,500,000!

Student 2 Before TGP

Fig 5: Cash Flow Before Student 2
Fig 6: Net Worth Before Student 2

Your first impression with Student 2 might be, there’s no problem. There are no cash shortfalls in Fig 5. A financial adviser might agree, and walk away. Not that a financial adviser would be interested in this student, as they have less than £100,000 in investable assets. Not so a life planner!

Remember, ‘Before’ is doing work you may currently hate. Struggling day-in-day-out doing the same old boring job barely able to make ends meet, from 16 to 66 (50 years) on the bet you can buy freedom in the last 16 years.

Problem: This student has no money to have a bit of a life until their old age! They are simply locked in to a treadmill of work existence, struggling from one pay-cheque to the next, juggling overdrafts and credit cards, until retirement.

After TGP

Fig 7: Cash Flow After Student 2
Fig 8: Net Worth After Student 2

Here, Student 2 wanted to keep things as they were at home, until the youngest was aged 18 (in 4 years time). Then, in year four, Student 2 becomes debt free, and mortgage free, giving up the day job they dislike and living the life of dreams from then on.

The side-line business is sold in retirement for £2.5m. The difference in net worth at age 90 is £2,750,000 better off.

In both cases remember – no financial products were sold. I’m not a product salesman. I leave that to your product sales people. Anyway, 95% of stuff you can do yourself these days. I show you how to DIY the 95% on Your Money or Your Life Bootcamp, if that’s needed.

There were THREE people who took to the stage at the last ‘Born to Be’ at the Crown Hotel in Harrogate in March. The third, Student 3, decided to defer their decision to start working with me by six months. So, I don’t have their details.

Note: deferring start could cost thousands of pounds per month in the cash flow analysis. This time next year you may wish you had started today.

So, what’s your ‘Before and After’?

Is it worth you taking a couple of hours on a Sunday morning to find out more?

It’s absolutely FREE and you get refreshments included.

So, what are you waiting for? Book your place today.

Book your ticket for: ‘Born to Be’ at the Crown Hotel in Harrogate on Sunday 23rd June.

FOR FREE TICKETS – CLICK HERE

For further information see http://www.aolp.co.uk.

The Big Switch-off: prepare for Sunset?

With the banning of rebates for platform providers, all trail commission/fees will be turned off by 6th April 2016 at the latest. This could mean the loss of many thousands of pounds for many firms unless urgent action is taken. Yet, it could also be a great opportunity for advisers to grow business and ensure good consumer outcomes.

On average, IFAs could see £20,000 wiped off their annual revenues in the coming months, and 49% are unprepared for what they need to do to protect their business. If you are one of them, the Academy can help you by providing a tailored revenue preservation strategy document for you in just 24 hours, based on your cash flows and client service agreements.

The FCA’s Policy Statement PS13/1 switches off trail commissions, the payments have already started to go with providers contacting your clients, and will all but disappear by April 2016 (the ‘Sunset Clause’). So, you have six months to prepare for your last pre-sunset annual client reviews, to re-adjust your ongoing service payments to adviser charges. If you want help building your sales and service processes ahead of these reviews, in order to protect and grow your recurring revenues, the Academy can lend a helping hand.

Nigel Barker-Smith, running his own IFA firm in Leeds, says: “The Academy pointed out all the work we did for a client that the client values and would pay for, and yet we were barely charging enough to cover the cost of the review meetings. We had £3,000 per month trail commission at risk, and in just 24 hours the Academy had found us in total an additional £10,000 per month adviser charges that the client would value and pay for”.

The Academy of Life Planning Limited (AoLP) is a co-operative of dedicated and experienced financial service professionals and business developers who offer their unique talents on a consultancy basis to help firms navigate the difficult challenges ahead. If you would like to talk about your particular circumstances, and find out more about us, we offer an hour introductory Skype meeting at our expense. If this is of interest to you, please Email me, Steve Conley, at steve@aolp.co or call me on my mobile on 07850 102070 to arrange a meeting.

Telling you more about what we can do

  1. As it is …

On average, every adviser stands to lose £20,000 per annum in trail commission linked to inactive client relationships, starting now and finishing in 18 months’ time. You will no doubt be preparing your firm for those final conversations with clients still on trail commission; the conversation about re-adjusting ongoing service payments to adviser charging. As your last annual client reviews before the big switch off are almost upon you, some meetings may have passed already. You may be aware that some providers have already communicated to your clients asking if you are still in touch and servicing them, and a few, such as Standard Life, have already started bulk converting clients to clean share classes, with others preparing to follow suit as early as mid-2015, i.e., Co-funds, Skandia and FundsNetwork. So in the next few months you will need to have re-evaluated your client bank and ongoing service proposition, and know exactly what you are going to say to your clients. We can help.

  1. How this impacts on you and your practice?

Latest research suggests that a half of advisers are still confused about the sunset clause, the practicalities advisers will have to undertake in order to avoid any impact to their income and the potential regulatory implications.

In Policy Statement PS13/1 the FCA confirmed its commitment to create more transparency for the consumer. This policy statement came into effect on 6th April 2014 and, with it, changes to the way in which platform providers were able to accept and handle rebates they received from the investment funds. This created two significant changes for many platforms, as not only would they have to charge the investor directly, but also offer clean share classes. The implementation of these changes created a number of logistical issues for platforms and advisers which were fully recognised by the FCA. Whilst these rules apply to new business from the above date, the sunset clause allows platform providers the period up to 6th April 2016 to implement these changes to all their legacy business.

You are impacted because platforms and fund houses decided that they were going to move to clean share pricing, to avoid having to unpick trail commission bundled into the fund pricing to be paid to you. So your trail commission stops.

The FCA is also considering levelling the playing field and extending the same principles to non-platform products, such as investment bonds and pensions. Some Life and Pension companies, such as Aegon, have already explored turning off trail commission, unless the client still confirms that they are in touch with their adviser. You can, and should, expect all trail income to stop in the not too distant future.

  1. So what does this mean for your business?

Some IFA firms we have worked with knew that they had to look at their ongoing service and investment propositions in readiness for these client conversations, but were a little unsure how to go about it.

We found:

Trail commission represented up to 50% of recurring revenue for some of our firms, equivalent in some cases to what the IFA was personally drawing from their business in terms of salary and dividends.

These firms typically left no profit in the business, so when the trail went, so did their personal drawings.

The valuation of these firms was unprotected, as valuations are typically based on a multiple of recurring revenue or profits. So the value built up in a firm over a lifetime was put at risk

These firms typically provided a number of ongoing services for their clients for which they were not making the appropriate level of charges; such as year round office services, ongoing review meetings, planning and modelling or investment service propositions.

Firms had re-evaluated client banks to tick boxes for RDR, but had not properly segmented clients for specific service propositions, and had not written to clients with options for fair and honest service solutions with explicit transparency on costs.

  1. By working with these firms we were able to:

Review cash-flow forecasts, against client service agreements, to identify revenue opportunities; that if acted upon could potentially protect the firm from loss of trail commission, and in some case create additional revenue and hence value for the practice principal(s).

Analyse client banks to identify specific customer segments for targeted ongoing service propositions, and propose a practical approach for each client conversation about services and pricing, on a client by client basis.

Propose an alternative approach for clients who might no longer fit the firm’s service, that would still bring recurring revenue into the firm.

Write out a sales process and develop a centralised investment proposition that reduces conduct risk for the firm, and at the same time, generates recurring revenues based on assets under advice.

Source the technology and expertise necessary to facilitate the change successfully.

  1. Trailing off, means legally disengaging clients:

Don’t just bite the bullet on loss of trail and consider it job done. You have to legally disengage the client to limit firm liability. Where trail is stopped, consider disengaging clients via a formal process evidencing the arrangement. In the absence of disengagement, you may still remain on the hook for advice given. If you do nothing the platforms and providers may disinvest non-responding clients, busting them out of ISAs and clocking up CGT bills. Some clients can’t be disengaged, as the platform will require the appointment of a new adviser, and few would be willing to take on a client with insufficient wealth to warrant your ongoing service proposition. Some providers, eg Novia, even apply an additional 0.5% fee if your former client does not obtain another financial adviser within a month of them being disconnected from you…..seems unfair, but that is what is happening as we speak, so advisers need to look at this entire issue in a more detailed manner.

  1. Our credentials:

We are a firm of ex Chartered IFAs and industry leading proposition architects, helping firms just like yours. Whilst our primarily focus is on serving the ‘underserved’ clients, i.e. the ones who might no longer fit your business model, at the same time we are also looking to help regulated firms, like yours, profitably and sustainably serve the served. We can also provide you with the opportunity to earn on those clients you choose to exit from your business. In essence, we complement each other, and that’s how we can work successfully together.

The expertise in our team:

  • IFA practice principals (direct and AR)
  • Compliance officers
  • Chartered Status
  • Registered Life Planners
  • Market leading investment product managers
  1. Our proposal

We help you to fully understand the content of paper PS13/1, the implications this could have on your firm if not addressed and the need to have a robust system in place to facilitate a move to adviser charging for existing clients.

The fact that we are writing to you has already demonstrated that you are an RDR survivor, and are an adaptable and resilient firm.  You are not about to let your business sustain damage at this late stage by failing to prepare properly for these coming changes.  For you, administrative tail-chasing is not an option. For a cost of just one day’s consultancy charges, we can prepare an operational overview and risk report, based on your bank reconciliation or cash flow forecast, together with your client terms of service, to show you revenue opportunities that can more than compensate for your loss of trail commission.

Make your business process changes in a controlled and timely manner. We can advise you on the practicalities advisers have to take in order to avoid loss of income and the potential regulatory implications.

The Academy of Life Planning Ltd has its registered office in Clint in Harrogate. It provides Life Planning and Financial Education with planners based in Yorkshire, Lancashire, Essex and London. Founder Steve Conley was former head of investments at HSBC until 2012, when he left to set up the Academy to serve the underserved.

We are a co-operative of dedicated and experienced financial service professionals and business developers who offer their unique talents on a consultancy basis to help firms navigate the difficult challenges ahead. If you would like to talk about your particular circumstances, and find out more about us, we offer an hour introductory Skype meeting at our expense.

If this is of interest to you, please contact us today to find out more, Email me, Steve Conley, at steve@aolp.co or call me on my mobile on 07850 102070 to arrange a meeting.

See our website on http://www.aolp.co/what-we-do/financial advisers/ .