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Be Fearful When Others Are Greedy

By Yianni Tsimopoulos | April 13th, 2012

Yianni Tsimopoulos

Managing Director
Yianni Tsimopoulos

One of my favourite investment philosophies comes from a statement made by the great Warren Buffett that states

“Be fearful when others are greedy and greedy when others are fearful”.

Without thinking, this may sound like some old man trying to be a great philosopher saying something that has no real meaning to it. But actually it is the exact opposite.

Although sounding very elementary, I quickly realised that this statement is deeper than what many human beings can comprehend without a second or third look. In my opinion, what Mr Buffett is saying closely correlates to a statement made by Sun Tzu in The Art of War, which states when the enemy attacks; retreat and when the enemy retreats; attack.

Generally when the stock market is having a great year (or week for that matter), many amateur investors become greedy and are lured by the possibilities of great gains, then of course come to the conclusion that it is now the perfect time to invest. When the rest of the world starts investing at this high point in the market, the seasoned investors generally retreat, as it can be said that the amateurs are now attacking. Although they attack with no real substance and can be defeated at any time, it is always better (easier) to destroy the enemy once they are in your territory, and thus out of their element.

Most amateur investors don’t understand market and economic cycles, let alone P/E ratios or Earnings per share data, but still you have millions of amateur investors in the stock market each year, which nonetheless retreat once they realized that they are out of their element. They realize that they are out of their element once they begin to see massive loses, and can’t figure out why.

Now don’t get me wrong. We all lose sometimes, but when you lose and can’t figure out why you’re losing, that is a sign that you are out of your element, thus a place where you don’t need to be.

The amateur investors start retreating (selling off their investments below market value), the seasoned investors follow Sun Tzu’s advice and attack. When they attack, since the enemy is outside of their element and in the seasoned investors’ territory, the blow is fatal and often financially advances the seasoned investors, while setting the amateur investor back to a place where he or she did not want to be.

When the stock price starts to decline, the amateur investors start selling their investments at very low prices, which gives all the seasoned investors a chance to buy back their investments that they originally sold to the amateur investors when the market was at a peak, now at very low prices.

Believe it or not, this happens all the time and is one of the many reasons why the rich get richer and the poor get poorer. This is one of the main reasons for the need for education in the fields of business and investing.

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Your Business is Failing

By Ross Monteleone | April 13th, 2012

Your business started out as a thrill ride, perhaps now it’s got the death rattles. You look in despair not really sure of what will happen next. Do you try to revive it or walk away…

You have learned the hard way that life is not full of successes, you now know that winter can last a long time, and being out in the cold requires more than a warm jacket and thick socks. You also know that summer can be a fizzer and spring and Autumn can feel like hell has frozen over as creditors come knocking at your door, they want and you probably don’t have to give.

To be sure you know what you are looking for, check for warning signs, so you can see the trend before things go too far.

  • Profits are dwindling – You started out making good margins and could ride out a tough business season, too many periods without profit and you start to feel the pinch.
  • Turnover has dropped – Items are sitting on the shelf longer than usual, packaging in the window is fading in the sunshine and customers know the dust on the shelf is not from a recent dust storm and the small amount of stock on the shelves is a sure fire indicator of things going sour.
  •  Staff come and go – Mainly they go and you probably have a hard time getting new staff to replace them, word is out that your business is not doing so well.
  • Suppliers and the banks are saying no – You want more credit but no one wants to play your game anymore. They are tired of having to chase you for money.
  • Your partner is asking too many questions – You don’t want the hassles or pain, you just want things to move forward, you want to have a solid income and great prospects. The nagging is getting to you and you want to be free of it and no, divorce is not something you want to take on.

What do you want to do?

Fold up and walk away, get a ‘real job’ settle down to a life that says ‘ha ha you lost.’ Or do things to turn the situation around. If like many people you take failure hard and don’t bounce back well, you may need to take a look and say “What if the pain of losing is harder than the pain of not trying… “

There are no two ways about it, business can be tough for many people and it’s often not an easy thing to diagnose and prescribe a cure for its illness.

If you have tried many things and the death rattles are loud and clear then you may well have seen the writing on the wall a long time ago and be about ready to bail out.

If you are ready to stand and fight back then you would do well to start with a solid proactive attitude, pull the business apart on paper and see what can be done to give it your best shot.

Speak to a professional business advisor who can assist you with finding the solutions needed to turn it around.

 

Sincerely,

Ross Monteleone
General Manager of Taxation

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How much deposit do I need for a home loan?

By James | April 11th, 2012

Traditionally, you’ve needed at least 20% deposit to get a home loan. It’s all about loan to value ratios (LVRs).

Loan to value ratio (LVR) – what the lenders look at

When lenders talk about mortgage deposits they refer to loan to value ratio (LVR). LVR is the loan amount divided by the value of the property. Let’s say you want to buy a property with a purchase price of $200,000. If you have a deposit of $40,000, your LVR is 80% (160k/200k).

The critical LVR – 80%

The critical LVR figure as far as lenders are concerned is 80%. If you don’t have 20% of the purchase price as a deposit, you will generally be required to pay for lenders mortgage insurance (LMI).

Lenders mortgage insurance (LMI) – what is it?

Lenders mortgage insurance provides protection to the lending institution in the event that you default on your home loan. Though lenders mortgage insurance protects the lender, it’s paid for by the borrower. It’s a one-off charge that gets included in your loan amount or is required to be paid upfront.

Lenders mortgage insurance (LMI) – owning a home sooner

You might not like having to pay lenders mortgage insurance but LMI allows people with less than 20% deposit to get into the housing market sooner. By using LMI on a loan, lenders can pass on the risk of a borrower defaulting to a mortgage insurer, so they can offer the same loan amount with less of a deposit.

No deposit home loans or 100% home loans

You might have heard about no deposit home loans or 100% loans. As the name implies, no deposit home loans are where you have no deposit and the lender funds the entire purchase price of the property. You will generally have to pay lenders mortgage insurance, but for some high earners they can be an attractive option. Family is priceless and here’s another reason why, now your parents can guarentee a part of the loan so you don’t need to a deposit which will see you in your first home sooner.

Talk to one of our finance professionals today to find out more.

Brought to you by

James Tsimopoulos AIMM MFAA REISA
Executive Director; Registered Land Agent
“Australia’s Next Generation Business Strategist”
ACL 386946

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Goal Planning For Success!

By Yianni Tsimopoulos | April 2nd, 2012

Managing Director | Yianni Tsimopoulos

Managing Director
Yianni Tsimopoulos

Investing is about putting your money to work to achieve your personal goals. So start by identifying what you want to achieve by when. Setting goals forces you to plan, and having a clear goal – ideally written down – helps motivate you to stick to your plan.

Think about your goals first. Perhaps you are saving for a holiday, for a home deposit or to pay for a child’s education. Or your goal may be to boost retirement savings. You can then see that different goals have different timeframes. You may only have 6 months or a year to save for a holiday but if you are saving for your retirement you might have 25 or 50 years.

Setting a timeframe for each goal helps you stay on track. You may have several goals, each with a different timeframe. Allocating a timeframe to each investment goal will enable you to think about how much you can afford to invest and how long it will realistically take you to reach your goal.

Sample goals and timeframes

Goal Short term
(up to 3 years)		 Medium term
(3-7 years)		 Long term
(more than 7 years)
Holiday $3000
Save for child’s education $40,000
Boost retirement savings $100,000
When do you want to spend the money In 2 years Starting in 5 years Starting in 25 years

How much time have you got?

Setting a timeframe for each goal will help you work out how much investment risk you can afford to take.

If you are saving money over a short period of time it may be tempting to use higher-risk investments. But growth investments, such as shares, are not appropriate for short investment timeframes as their value might drop suddenly, just when you need your money.

But if you are saving for a long-term goal, such as retirement in 25 years, then you have time to ride out the ups and downs in the market. This means you can take on a higher level of investment risk.

How do you feel about risking your money?

Risk tolerance also depends on your ability to cope with dips in the value of your investments. Factors that can influence your risk tolerance include your age, your ability to recover from capital losses and your health.

To decide where you fit on the risk tolerance scale, ask yourself this question: ‘How would I feel if I woke up tomorrow and found my investment balance had dropped 20%?’

If this drop would cause you to worry a lot and pull out of the investment, then a high risk investment is not for you. This is because you could pull out at the worst possible time and actually compound your losses.

If, on the other hand, a drop in the market causes you to start looking for bargain buys, then you are probably very comfortable with market fluctuations. You will be comfortable with a higher level of investment risk.

Your comfort level could be somewhere in between.

How much risk should you accept?

Your overall risk tolerance is the lesser of the risk you are comfortable with and the risk your timeframe will allow you to take. Use the investment grid below to work out where you fit on the investment risk scale. Cash is low risk and growth is high risk.

Your partner may not have the same risk tolerance as you. If you are considering a joint investment, you may need to compromise on an investment option you are both comfortable with.

Now it’s your turn

You’ve identified your goals, know your timeframes and considered your risk tolerance. Be aware that borrowing to invest adds even more risk to a strategy. While there is potential to greatly increase your returns there is also a risk that you will greatly increase your losses. Remember, always get some advice on any investment choice you’re making to make sure it’s right for you.

Brought to you by,

Yianni Tsimopoulos
Managing Director; Registered Tax Agent
Senior Financial Advisor

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Top 10 tips to improve your home security

By James | March 28th, 2012

Home burglaries are a fact of life. Every year more than 20,000 homes in Australia are broken into – the majority during the day time when people are at work. That’s the bad news.

The good news is that there are plenty of simple, low-cost steps you can take to greatly reduce your chance of getting burgled. Remember, it’s all about making your home a harder target to break into than other people’s. Most burglars enter via a garage door, back door, kitchen or bedroom window. Burglar-proof these and you’ll significantly improve your chances of never suffering from a break-in.

1. Door locks

Have key-operated two-cylinder deadlocks fitted to all external hinged doors. A quality knob-inlock set will have a ‘dead latch’ mechanism to stop burglars using a credit card to open it.

While looking at external doors, you may also want to check that they are solid and robust. If not, perhaps you should replace them, or add a security screen. You may also want to consider fitting a wide angle peephole on your front door.

2. Sliding doors

A favourite point of entry for burglars! Fit key operated locks or patio bolts to all external sliding doors, such as patio/veranda doors.

Sliding doors can also be made more secure by inserting a wood or metal dowel into the track to limit movement.

3. Windows

An open window, visible from the street, may be the only reason that your home is chosen by a burglar. Ground floor windows are more susceptible for obvious reasons.

Make sure you have a security grill, security screen or burglar bars applied to all accessible windows, or alternatively have key-operated single cylinder window locks fitted.

4. Warning stickers

Place highly visible stickers on or near front doors and windows, which indicate an alarm system, dog or membership of neighbourhood watch. Your local police station should have an anti-crime adviser who can help provide these.

5. Light timers

Install light timers to switch on automatically if you aren’t home when it gets dark, or have gone away for a few days. The timers should mimic when you would usually switch lights on or off. They are not expensive and are available at most hardware stores.

6. Exterior lighting

Exterior lighting is also a good deterrent, provided it is switched on and off as though someone is at home. Make sure the approach to your house, especially any entryway, is brightly lit, controlled by a light timer if necessary – this also makes it safer and more comfortable if you come home after dark.

7. Motion sensor lights

These are useful to install, especially at the back of a house or apartment. Infra-red motion sensor lights are also easily available and not very expensive. An unexpected light going on is a definite deterrent to a burglar who will wonder what other security devices you have in place.

8. Alarm systems

Burglar alarms definitely increase the potential and fear of being caught by the police.

There are a wide variety of alarms available – you need to make sure that the one you choose has visible signage and is properly programmed, installed and maintained.

Some alarms are routed to a police station or alarm control centre. If yours relies on neighbourhood response, make sure your neighbours are able and willing to respond.

9. Home safes

Burglars know all the hidey holes to look for keys, valuables and important documents. The price of a good home safe is falling, so setting one up could be a good investment. Home safes need to be anchored into the floor or permanent shelving, and should not be kept in the master bedroom or cupboard. Use the safe regularly, so it becomes routine and keep the code secret.

10. Protect your ID

It’s a good idea to take photographs around your house of all your valuables – important proof for an insurance claim if you ever need to make one. This can be kept in a safety deposit box, safe, or with a relative. Receipts for bigger ticket items are also useful to keep for the same reason.

Consider taking photocopies of your passport, driver’s license and all the cards in your wallet and store these in a safe place.

 

Brought to you by

James Tsimopoulos AIMM MFAA REISA
Executive Director; Registered Land Agent
“Australia’s Next Generation Business Strategist”

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Common Dividend Investing Mistakes

By Yianni Tsimopoulos | March 22nd, 2012

In the world of investing and the stock market, you can never completely eliminate risk, but you can reduce it by making more good decisions and fewer bad ones as you buy stocks.

Buying a stock solely on a hot tip

A hot tip is just that — a tip, an idea to follow up on. You still need to do your research — pull up the company’s quarterly statements over the past year or so, crunch the numbers and see whether any insiders are buying shares, and perhaps even speak with one of the company’s representatives (or at least your broker) to check on the company’s prospects moving forward.

Don’t rely solely on the word of a friend, relative, colleague, or even broker to choose which stocks to buy.

Skipping your homework

Those who win the day are the investors who do their homework and keep a cool head when everyone else is losing theirs. The best way to keep a cool head is to know what you own, what you’re buying, what you’re selling, and why. If you know you own well-managed companies that have a solid track record for growing sales, profits, and dividend payments, you’re less likely to get spooked when the market takes a dive. You can look for deals instead of looking for the exits.

Focusing solely on yield

When people start investing in dividend stocks, they automatically gravitate to the high-yield stocks. But depending on the industry, a high-yield stock can just as often be a sign of trouble as a sign of big profits. Don’t let yield blind you to a company’s growth prospects. Often, a company with a lower-than-average dividend that’s experiencing solid growth and consistently increasing its dividend may be a better choice than a company with a larger yield that’s currently in stagnation mode.

Don’t buy a stock simply because it has a high yield. Find out whether the yield is high because of high dividend payments, low share price, or both. Examine the company’s fundamentals as well as the broad market and economic environment. Perform additional research to ensure that the company is sound before you invest in it.

Buying a stock just because it’s cheap

Knowing the difference between a low share price and a good value is the difference between making and losing money; just because a stock is cheap doesn’t mean it’s a bargain. Admittedly, buying a cheap stock is tempting. However, buying a stock just because it’s cheap isn’t investing — it’s speculating or betting. To steer clear of this trap, carefully research a cheap stock’s company fundamentals. Unlike large and higher-priced stocks, you usually find very little other information about these low-priced companies. As long as you stick with the dividend investing model, you should be free of any temptation to buy a stock solely because it has a low share price.

Giving too much credence to media reports and analysis

Financial newspapers and magazines, Web sites, and investment TV and radio shows are all excellent sources of information, but they’re not always right. That’s because they rely on information from company insiders. Here a few points to remember about media sources:

  • Monthly magazine articles on investing are written about two months before publication. Conditions may radically change in an industry, the economy, or the market to make this information out of date before it even hits the newsstand.
  • Television financial personalities are entertainers first and analysts or commentators second. Television commentators tend to be big cheerleaders for the stock market, even in the face of all evidence to the contrary, because that’s what keeps viewers.
  • Web sites and blogs may have a personal agenda to promote and may not follow strict journalistic standards for accuracy.

Don’t assume any single source is 100% reliable. A company’s financial documents are always the best source. Financial newspapers and their Web sites come second. But newspapers can make mistakes, too. Always verify the information by comparing it to other sources and your own instincts and insight.

Brought to you by,

Yianni Tsimopoulos
Managing Director; Registered Tax Agent
Senior Financial Advisor

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Renovating for profit

By Ross Monteleone | March 22nd, 2012

You are likely to be entering into a profit-making activity if you acquire a property with the intention of renovating and selling it at a profit, and go about it in a business-like way. This will affect your tax obligations and entitlements.

If you renovate one or more properties you need to work out if you:

  • are a personal property investor
  • have entered into a profit-making activity of property renovations
  • are in the business of renovating properties.

Some of the questions you need to ask are:

  • Are your property-renovating activities regular and repetitive?
  • What are their size and scale?
  • Are they planned, organised and carried on in a business-like manner?
  • Are they carried on for the purpose of making a profit?
  • Do you rely on the income received to meet you and your dependants’ regular expenses?
  • Are they of a similar kind and carried on in a similar manner, to the activities of other property renovating businesses?

Example: Personal investor

Doug is a sales representative. He obtains an investment loan and purchases a property that he intends to rent out. He would not consider selling the property unless the price appreciated markedly. The property requires renovation before it would attract desirable tenants. Doug renovates the property after work and on weekends. Over the period of the renovation, the real estate market booms and Doug decides to sell the property.

Doug would not be considered to be in the business of property renovation because:

  • his intention when he bought the property was to gain rental income rather than make a profit from buying, renovating and selling it
  • Doug didn’t rely on the income to meet regular expenses as he has income from his job
  • his renovation activities where not carried on in a business-like manner, and
  • Doug did not buy the property with a view to selling it at a profit, and did not carry out a one-off profit-making activity.

Therefore, Doug is regarded as a personal investor.

However, if Doug, because of his success with this renovation (either in his own right or with another or others) was to then undertake another renovation similar to the first with a view to achieving the same profit levels, he will be regarded as being in the business of property renovation.

Example: Renovation as a profit-making activity

Fred and Sally are married with two children. They renovated their home, substantially increasing its value. After watching many of the home improvement shows and seeing how other people have bought, renovated and sold properties for a significant profit, they decide to investigate the purchase of another property to renovate and make a profit.

They consider many properties, costing out the renovations, costs of buying and selling, and time frames to complete the renovations. Their research shows that they also could make a significant profit.

They sell their current home and purchase a new property which they move into while completing the renovations. They plan out the renovation in stages, including the costs and any contractors needed to complete the work. The renovation runs to schedule and when completed they list the property for sale. The property sells for a profit.

As the property renovation activities were planned, organised and carried on in a business-like manner; the purpose of buying the property was to renovate it and make a profit; and the renovations were carried on in a similar manner to other property renovation businesses, Fred and Sally have entered into a one-off profit-making activity.

GST and property transactions

Many people are actually carrying on an enterprise when making property transactions but do not register for GST when they are required to do so. (An enterprise is an activity or a series of activities, done in the form of a business or in the form of an adventure or concern in the nature of trade). Even with a one-off transaction you may still be required to register for GST because your one-off property transactions may be an ‘enterprise’.

 

Sincerely,

Ross Monteleone
General Manager of Taxation

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Japanese Banks Could Snatch $100 Billion

By James | March 5th, 2012

JAPANESE banks could snatch $100 billion of the Australian home loan market by undercutting local lenders that fail to pass on rate cuts.

At least three big banks, the $62 billion Mitsubishi UFJ Financial Group, $42 billion Sumitomo Mitsui Financial Group and $35 billion Mizuho Financial Group, are said to be considering opening here.

The arrival of those giants would be good for homebuyers, with Australia’s big four banks raising interest rates.

They blame the rising cost of funds in world debt markets spooked by eurozone woes. Finding funding is less of a problem for Japanese lenders as they have mountains of inexpensive deposits at the ready courtesy of their country’s savings culture.

The Japanese banks could take 5 to 10 per cent market share away from the Australian banks quite quickly. It is what our marketplace needs.

To get 10 per cent of the local mortgage market, the Japanese would need to write more than $100 billion worth of home loans, as the domestic mortgage sector totals $1.06 trillion, the latest Australian Prudential Regulatory Authority data reveals.

A new report by Deloitte Access Economics, one of the nation’s top teams of economic analysts, nominates the well-resourced Japanese banks as the most significant threat to Australia’s finance giants after Europe’s debt mess.

“With the eurozone crisis also haunting the horizon and rumours of Japanese competition in mortgage markets, 2012 may be a tough year for the finance sector,” its Business Outlook report, published today, warns.

Our mortgage market ticks all the boxes for Japanese banks.

Australia offered stability, growth, diversification and healthy returns, with lending margins of about 2.5 per cent.

That level of yield is unbelievably good for Japanese banks. It’s quite a compelling argument why they would look at the Australian mortgage market.

 

James Tsimopoulos AIMM MFAA REISA
Executive Director; Licenced Land Agent
“Australia’s Next Generation Business Strategist”

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The Power of Five Years

By Yianni Tsimopoulos | March 5th, 2012

If you try think back five years ago and compare it to where you are today, most people will say it looks the same. I’m not saying I can predict where the economy will be in five years, but making decisions and taking action today can change your financial future.

In just five years you can:

1. Grow your super by $250,000

If you’re getting closer to putting on the sandals and socks, you’ve probably been worrying about your lack of super. If you’re over 50 and have less than a $500,000 balance, you’ve got the opportunity to screw down your budget (as a couple) and contribute up to $50,000 a year pre-tax into super.

Just make sure your fund is balanced (part cash, majority growth assets) and isn’t ripping you with fees, and in five years you can have an extra $250,000 in super – possibly more.

2. Buy your dream home

Yes, houses are outrageously expensive, but no one is holding a white fence picket to your head. If you want to buy a house, well, buy a house.

Open up a First Home Saver Account and get a (government guaranteed) 22.5 per cent return on the first $5,500. Every dollar thereafter should be put into a high-interest online savings account, earning around 5.5%.

A young couple can live off one wage and save the other. It’s an old-fashioned idea but one worth putting into action if you consider this: a couple earning $120,000 combined should be able to live off $60,000 a year and save the rest. In five years you’ll have $200,000 – a very nice deposit on your home.

3. Knock a decade and $100,000 off your mortgage

There are people in the early 90s who were hit with 23 per cent interest rates, but they sucked it up and got on with things. Just because the bank gives you 30 years to pay off your loan doesn’t mean you need to take that long.

If you pay an extra $500 a month off your mortgage, you’ll slash 10 years off the loan and save over $100,000 in interest. It’s like compound interest in reverse. And once you’ve paid off your home you’re on your way to becoming independently wealthy.

4. Build an entirely new career

I worked through university at a place where the full-timers made bitching about the boss part of their job description. That was 10 years ago. Today I’m told that most of them are still there, still dragging their feet to work.

Don’t be like them. Over five years you could gain a new qualification, learn a new skill, dramatically increase your earning power, and be on your way to doing something productive with your life.

5. Start compounding your wealth

Compounding is the greatest financial force on earth – it’s the great leveller of life in that it takes time, not large slabs of money, to make it work. Yet most people never get themselves into a position to make it work. Socking $1,000 into the market today and adding $500 a month could be worth $40,000 in five years – and $330,000 in 20 years.

I’m fully aware the economy faces plenty of challenges. But I also know the power of having a plan. So, I tell my clients to stop worrying about things they can’t control and instead focus on a five-year plan that, if they sticks to, will completely turn their financial lives around. And yours too.

Source: Scott Pape;  Barefoot Investor

Brought to you by,

Yianni Tsimopoulos
Managing Director; Registered Tax Agent
Senior Financial Advisor

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Financial Tips For The Year Ahead

By Yianni Tsimopoulos | February 28th, 2012

A number of weeks have now passed since we heralded the start of the New Year. If you’re like most people, this is about the time where the tensile strength of those New Year resolutions – made so enthusiastically a few weeks earlier – are tested.

Have your resolutions held up against the stress and strain of life post festivities?

If you’re still going strong, well done! If not, then why not start fresh from today?

2012 is, after all, the auspicious year of the dragon. It is said to be a year full of promise and change; a great time for business and money making schemes.

With this in mind, here are a few tips to help get you ahead this year.

Set Your Goals

One of the most common (and commonly broken) New Year’s resolutions is to save more money. But nobody saves money for the love of saving money. To make this resolution stick, you need to first know what you’re saving for. Set some measurable goals with deadlines and remind yourself regularly of what you’re really working towards.

Set Your Budget

So often, people who earn good money complain that they don’t know where all their money goes. In order to save money, you need to know what you’re spending. Determine how much income is coming in, how much is being spent, where it goes and how frequently. Then work out how much you need to save to achieve your goals. Break this down to how much you need to save per pay packet. The key is to ensure your budget is both realistic and sustainable. Give yourself a little room to still enjoy life and remember to reqard yourself when your goals have been achieved (without breaking your budget of course).

Get The Best Deal

One of the simplest ways to make more money is to always get the best deal. Review your mortgage and check the interest rate you’re paying. The Reserve Bank has been decreasing rates lately to help reduce any negative effects of the European debt crisis. Are you getting the best deal? Compare interest rates and the mortgage features that are important to you and don’t forget about the exit fees. While you’re at it, shop around for the best deal on your electricity, gas, mobile, internet and insurance.

Are You Protected?

Life inevitably changes and your level of insurance may be inadequate for your circumstances. Income protection is often the most overlooked type of insurance but it covers you if you’re sick or injured and temporarily unable to work. It can ensure your living expenses such as rent, mortgage, household and medical bills can still be met and what’s more, it is completely tax deductible. Review your insurance today and get the right level of cover.

Check Your Super

If you have mutliple super accounts, you’re probably paying multiple fees. Consolidate your super and check that you haven’t exceeded the $25,000 cap on super contributions for people under 50. You don’t want to be slapped additional tax after all that super saving!

Get Smarter

Make 2012 a year for more education and better advice. Whether it’s reading the finance section of the paper, subscribing to one of the consumer finance magazines, doing a short course to increase your financial IQ or meeting with your financial adviser – the more informed you are, the better your decisions will be.

For more information and specific advice for your needs, please contact your financial adviser. The year of the dragon is your chance to start anew, so make it a good one!
Brought to you by,

Yianni Tsimopoulos
Managing Director; Registered Tax Agent
Senior Financial Advisor

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