Retirement imminent for executive couple with big future plans

[DRAFT — The wording of this client story is not final and has not yet been approved as a financial promotion.]

Background

Mr & Mrs D met at university. It remained a tight union, which later resulted in marriage, and having both achieved good degrees, they successfully entered the corporate world. Growing up, they had both enjoyed a comfortable home life, but their own parents had not made adequate plans for their retirement. Mr D had seen first-hand how his parents were forced to downsize, earlier than they’d hoped, in order to raise capital from their property. In addition, following retirement, their quality of life faced compromise.

Their own children had long flown the nest and soon there would be time to spend with their grandchildren, as well as being able to indulge in some superb trans-world trips. Whilst by no means blinkered by the need to save and invest for their future, Mr & Mrs D’s busy working lives had diverted their attention from the essential and more intricate financial planning that would stand them in good stead. This was coupled with a pre-conceived aversion to dealing with any specialist in this area and, as a result, delaying the inevitable.

Support from the team at Arkana

Mr & Mrs D were recommended to us, and we arranged an informal, no-obligation meeting in their home. It became clear that the pair had a very clear view of how they wanted each of their pending retirements to pan out. When they started their careers, they had deliberately saved substantial amounts with the aim of enjoying a secure retirement. They had demonstrated prudence and regularly invested large amounts of capital, in order to build funds over the longer term. To an extent, their financial acumen had been more than adequate, having accumulated large lump sums, but they had now reached a point where professional financial advice was imperative to see them into and through their retirement.

They were quite honest at the meeting, explaining that they just wanted sound advice, whilst stressing that they did not want to feel like they were being sold to. We are fully aware of this concern when establishing a relationship with new clients and quickly put their minds at rest, telling them that the approach they perceived is in no way part of our ethos or methodology. Further time and chatting reaffirmed this.

The next step

We took on board all of Mr & Mrs D’s concerns and main requirements to create a highly considered financial plan. This comprised a lifetime cash-flow analysis, which gave a comprehensive projection of where their money would be spent. Working together, we endeavoured to make this as accurate as possible and, because they were both from an analytical background, they appreciated the detailed results that ensued.

Our help & advice

• We produced a clear and tailored report to outline the key issues Mr and Mrs D faced and explored the solutions.
• Due to the complexity of their pension arrangements, the variety of investment vehicles and shares, and the size of the funds, it was advantageous to consider a very wide and broad range of solutions, afforded to us by our excellent relationship with Quilter. We were able to formulate a portfolio which took into consideration tax-efficient income, Inheritance Tax and Capital Gains Tax planning, all with a view to reaching their targeted net annual income of £100,000.

The outcome

There was no doubt that the analysis and high-level advice was key to instilling full confidence in Mr & Mrs D. They had a strong grasp of all the proposals made to them and could move forward with full knowledge of how their financial future would unfold. They felt that all the groundwork, research and instigation had been carried out impeccably for them. They always felt in control and enjoyed valuable advice and reassurance along the way. We had built up a trusting and enduring relationship.

What this does not do

This client story is general information, not personal advice. What is right for you depends on your own circumstances, and we would need to understand those before making any recommendation.

The value of investments and the income from them can go down as well as up and you may get back less than you invested. Past performance is not a guide to future performance.