Financial PlannersInvestment PlanningNews Mistakes By DIY Investors

Five Common Mistakes Made by Neophyte and DIY Investors

When it comes to financial planning, many Perth residents have a “can do” attitude. It seems like a lot of people try to go the “DIY route” when it comes to making investments. While this is admirable, investing is complicated and competitive. Amateur investors often find themselves competing against professional investors who invest for a living. It is easy to guess who usually wins and who usually loses in this scenario.

Here are five common mistakes that DIY investors make.

Failure to Calibrate Goals

The two most common variations of this are too many goals and unrealistic goals. The most common is expecting to much of a return in too short a time with too little to invest. Often, people set a budget that leaves them a miserable current lifestyle. Eventually, they can become bitter towards their budget and derail their own investment plans.

Failure to Invest Sufficient Time and Effort

It takes time and effort to create a budget and an investment plan, with or without a professional investment planner. This could also be called, “Failure to treat investment like a business.”

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Financial PlannersNews Habits for Effective Retirement

Five Habits for Effective Retirement

As the baby boomer generation ages, retirement planning is becoming a common expression around Perth. Some started planning early and some are in the “better late than never” category, but it certainly seems like Australians are paying more attention to what they need to do to retire comfortably than ever before.

While a lot of Australians still use the default superannuation funds from their workplaces, the self managed superannuation fund has become more popular every year. Many Australians also choose not to self manage, but to choose from many of the super funds that are available instead of using their workplace’s default super fund.

We can’t give specific advice to anyone without an individual consultation, but we would like to present five habits that those who are on the way to effective retirement have in common.

They are Actively Planning their Retirement

I have heard these two sayings often: “It’s never too early to start thinking about retirement” and “It’s never too late to start thinking about retirement.” While it is much better to start as early as possible, even someone close to retirement age can benefit by talking to a financial planner about retirement.

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Financial PlannersNews Financial Tips from Financial Planners Perth

Financial Tips for Singles

It’s never too early or too late to listen to one of the financial planners in our Perth office. It’s also never too early or too late to become financially responsible. Many people are under the misconception that it is more difficult for singles to be financially successful than couples.

We think that single people have plenty of opportunity to be successful. While it can be more expensive for singles to live due to only having one income instead of two, they also get to be the sole decider on where the money goes. This more than makes up for the expense of living alone.

Here are some financial tips for singles based on their generation or age. Please remember that all information is general in nature and does not constitute advice for anyone’s specific financial situation.

Generation Y

Gen Y people are still fairly young but are rapidly becoming much more financially accomplished than any other generation in history.* The most important things for a Gen Y single to do are to start living on a budget, protect their income and avoid expensive debt such as credit and store cards.

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Financial PlannersNews Money Mistakes to Avoid

Money Mistakes to Avoid

There are certain patterns or money mistakes that Perth financial planners see on a regular basis. Once we have put them on a program, those mistakes usually don’t occur as often as they used to. Remember that all financial suggestions here are general in nature and that we can’t specifically give advice to anyone’s individual financial situation without a consultation.

Settling for What You Get

This is in reference to bills and premiums. Many companies give new customers great deals but won’t extend the same courtesy to their current customers. They are counting on you to stay put and not complain. Meanwhile, it is possible to save thousands just by changing the mortgage on your home. It pays to shop around.*

Spending More Than You Earn

Credit cards make it too easy to spend money you don’t have, putting yourself in debt and paying high credit card interest rates. This is a very common malady.*

Having No Emergency Fund

It is wise to have at least three months’ worth of expenses saved up in an emergency fund. It is better to have six months’ expenses. A lot of Australians are still living week to week, leaving them vulnerable if they can’t earn money for even a month. *

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Financial PlannersInsurance ProtectionNews Protecting Your Most Important Asset

Protecting Your Most Important Asset: Yourself

Do you have disability insurance or life insurance? Many people in Perth neglect to protect their most important asset: themselves. That can be the biggest mistake a person makes in their entire life. Nobody wants to contemplate something bad happening to them in their future, but statistics don’t lie. The longer you live, the more likely you are to suffer disability, and death is something that happens to us all.

Life and disability insurance are lumped into a category called “life products.” Here are the basics of insurance products that are available to help you protect yourself from financial ruin in the event of death or disability.

Life Insurance

Life insurance pays a lump sum to your estate if you die. If you are the main breadwinner in your family and you die, you could leave your family with no income. Life insurance guarantees that your family will have money to pay expenses in the event of your death.

Income Protection Insurance

This can cover as much as 75% of your income in case you won’t be able to work for an extended period of time due to injury or illness.

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NewsSuperannuation Fund Boost You Superannuation Funds

Simple Information That May Boost Your Superannuation Fund

Our financial planners would like to address some of the questions they have been asked about superannuation funds in our Perth office. One of the more common questions we get is “What can I do to boost my super?” While we can’t give specific financial advice on a blog, we can provide a few tips and techniques that may help you boost your super.

Have You Set a Retirement Date?

Basic financial planning starts with setting a retirement date. It can be evolved, recalibrated or changed at any time, but a retirement date is essential for helping you focus on growing your super. The age at which you plan to retire will play a role in what strategies you will use.

Formulate a Plan

If a person formulates a plan, they are more likely to get to where they want to go than if they don’t. Like the retirement date, it’s a matter of focus. It can also get you to thinking about what you actually have to do to retire comfortably.

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News Financial Literacy in Australia

The Government Wants to Make Us Smarter About Money

Those who offer financial services in Perth and across Australia are applauding an ongoing government effort. Courtesy of the Australian Securities and Investments Commission (ASIC), Australians are going to continue to become smarter about money. ASIC plans to enhance their website called “Money Smarts” and extend the reach of its Money Smarts program to more schools than it currently reaches.

The changes are part of a three year program that is designed to help raise financial literacy in Australia. The Organisation for Economic Co-operation and Development (OECD) is teaming up with ASIC to provide a national framework that encourages the government, business and education sectors to cooperate and help improve financial literacy.

This news comes on the heels of a recent OECD survey in which 15 year-olds across the globe participated in testing to determine their financial literacy. Australians came in fourth, only to China, Belgium and Estonia, out of 18 highly-developed countries. The baseline or average was 500. Australia scored 526 while China scored 603, beating second place Belgium by 62 points.

These changes are going to happen, even though funding for the program was cut 12% in the May 2014 budget.

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News Want to Save Thousands of Dollars

Do You Want to Save Thousands of Dollars?

When first time clients or potential clients talk to our financial advisors in our Perth office, the conversation usually turns to a common question: “How can I save money?” While we can’t give specific advice here and recommendations will be general in nature, it is safe to say that most people have resources they don’t know they have.

When we don’t budget properly and don’t watch where our money goes, we spend a lot of money we don’t know we’re spending. Often, it is on things that we don’t really need. A recent study by moneysaverHQ, part of News Corp Australia, revealed that the average Australian could save $8,000 a year by substituting less expensive alternatives for popular discretionary purchases.

Recent ABS statistics show 3% annual inflation, the highest since 2011. Alcohol and tobacco are up 7.1%, education is up 5.1%, health is up 4.9% and recreation and culture are up 3.3%.

How to Save Painlessly

Here are the moneysaverHQ suggestions on how to save money every day and how much they will save the average Australian.

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News Retirement Planning with Financial Advisor in Perth

Approaching Retirement? You May Want to Try These Money Moves!

If you have talked about retirement planning to a financial advisor in our Perth office, you probably know how diligent and thorough we are in helping our clients leave nothing to chance when planning their futures. While we never give specific financial advice in blog posts due to the individual and unique nature of every financial situation, we would like to present some general actions that are worth consideration for anyone approaching retirement.

Pay Down as Much Debt as Possible

Ideally, you could start your retirement with a “clean slate,” owing nothing. We know that life is not always ideal, but paying off debts is a great place to start for most Australians.

Pay Off Your Mortgage

If you own your home free and clear, you are free of what is usually the largest monthly financial responsibility for any family. It is a lot easier to enjoy retirement when you don’t have to make a house payment every month

Set Your Affairs in Order

This means filing a last will and testament. In the event of your untimely death, your heirs will need access to your money. Lack of a will can cause it to be tied up in court. It will save a lot of grief for your survivors.

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News Choosing the Best Financial Advisor for Your Needs

Choosing the Best Financial Advisor for Your Needs

Choosing a financial advisor in a city like Perth can be daunting. There are so many that it can be difficult to know who is legitimate and who isn’t. Sometimes it seems like anyone can hang a sign on a door and tell people they are a “financial advisor.” Here are some tips to finding the perfect financial advisor for your needs.

Trustworthy Firm

You want a financial advisor who works for a trustworthy firm. This can be a local firm or it can be a national firm. Whatever the case, you want your financial advisor to work with a firm that has a track record of success. You want a financial advisor whose company has much more to lose by misleading you than they have to gain.


You want an experienced financial advisor. If you do get a beginner, you want to make sure that they are being mentored by someone else in the company with a lot of experience. The stronger the company behind the advisor, the more likely it is that the advisor is subject to constant review and feedback to ensure high quality performance.


You want a firm that has a great reputation for obtaining results for their clients. This is usually the result of a variety of factors, leading to the next requirement.

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