Although this FAQ is designed to be helpful it is not a complete discussion or a substitute for advice. It may not cover important issues that affect you. Depending on your situation, you may wish to contact us for further information or advice.
What sets Foresight Financial apart from other advisory firms?
We are a small business offering a personal service to our clients.
We do not have any obligations in place to provide specific amounts of business to any one provider. This means we put our clients first and will ensure that you receive the best advice and recommendations to suit your investment planning requirements.
Why talk to Foresight Financial and not my bank?
Our aim is to give you the very best tailored advice with a personal level of service.
Your bank is probably only going to offer you one of their own products and they certainly wont be impartial. We won't simply sell you an investment product because we can, we look at your situation and help you find the best solution(s) to meet your needs.
Because we are a small family business, we are able to put our clients first. There are no out of town telephone numbers to call, no call centres in other countries, just good old fashioned service. Furthermore, our business is based on “face to face” contact so we are always happy to meet with you at a time and location which suits you.
How much will it cost to use your services?
Foresight Financial Planning receives a portfolio servicing fee should you choose to invest, and this helps cover our costs for the work we do for you. These fees vary depending on product provider and/or the amount invested and will be detailed to you clearly prior to you agreeing to invest.
If you would like to use our services and would prefer us to work on a fee basis, please let us know.
Why should I use a Financial Adviser?
A report by Russell Investments estimates that the value of an adviser in 2022 is 4.30% per annum.
As a qualified adviser, Michael must maintain a minimum educational standard and have specific qualifications, so he can provide the best advice to you. Strong regulatory procedures are at the cornerstone of this.
What investment providers do you work with?
We work with many different providers and as we have no allegiance to any one provider over the other, we can bring on new providers at any time.
Those that are currently on our list are:-
- ANZ Investments
- Fisher Funds
- Lifetime Retirement Income
- Nikko A M
- NZ Funds
- Select Wealth Management
- Synergy Investments
I'm from out of town - can you still help me?
Of course we can - we have clients from all over New Zealand and some are also overseas.
Whilst our business has primarily been built on face-to-face advice, we realise it's a changing world and if you prefer us to work with you in another way (via email, Zoom etc), it's absolutely no problem.
Just let us know what works for you!
What returns will I get?
We cannot guarantee returns.
Based on our research and personal circumstances, we will make recommendations that we believe are appropriate for you. However, we cannot guarantee that they will perform in a particular way.
The performance of each product depends on investment markets and the features, risks, fees and charges in relation to the product.
I've heard of Dollar Cost Averaging but I don't know what it is?
Dollar-cost averaging is when you regularly invest the same amount in a particular investment, regardless of the share price. This means that when the price is high, you’ll purchase fewer shares, and when the price is low, you’ll purchase more.
The strategy aims to average out your cost per share over time, rather than catching the market at a specific high or low point.
Say you want to buy some shares in a company. They might cost you $2.40 per share today, $2.50 next month, and $2.20 the month after that.
If you’d invested $100 each month, you’d have 127.12 shares with an average price of $2.36 per share. But if you’d purchased all $300 worth at today's price of $2.40, then you’d only have 125 shares.
Sometimes you might make small gains (like in this example), other times you might make small losses. The idea is that if the investment’s share price is generally increasing over time, a dollar-cost averaging strategy can help to average out the price you pay for your shares along the way.
How often should I review my investments?
At least annually but do remember that we are looking at your investments on an ongoing basis.
We provide ongoing reviews and we can email you regular fund updates so you can see how your funds are tracking.
We can also provide advice and updates on whether your investment funds should be rebalanced. Rebalancing refers to the process of returning the values of a portfolio's asset allocations to the levels defined by an investment plan. Those levels are intended to match an investor's tolerance for risk and desire for reward.
Of course, if something major changes in your life that may impact on your investment planning, please do let us know.
What else should I know?
That's a really tricky question because none of us know what we don't know!
What we will say is that we'll communicate everything to you and we'll make things as simple as possible.
We also have access to independent research tools, so you can be sure you'll get the very best advice.