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Christie Financial Planning LTD

Chartered Financial Planners

Call us on 0141 333 9636

Ongoing Service

Annual Payment Options

There are two options available to our clients concerning adviser remuneration for our ongoing service. The following paragraphs aim to outline these options, together with the advantages and disadvantages of each option.

Option 1: Ongoing fee (paid by the Investment Manager)

This option requires payment of the adviser remuneration to be made directly from your investment portfolio. In this instance, the Investment Manager will deduct our Annual Fee (paid monthly) from your investment portfolio, by way of a direct charge to your investments. Each month, the Investment Manager will encash the necessary number of units required from the investment portfolio to cover the fee to be paid to Christie Financial Planning Limited.

Advantages

  • There is no requirement to write a cheque, or set aside further funds, to pay Christie Financial Planning Limited for ongoing advice.

Disadvantages

  • The charges applicable to your investment will be higher, to include the payments to Christie Financial Planning Limited, thereby restricting the growth of your investment.
  • The charges paid to Christie Financial Planning Limited may be taken from tax-advantageous investments which we would otherwise seek to preserve.

Option 2: Ongoing fee (paid directly to Christie Financial Planning Limited)

This option requires payment of the adviser remuneration to be made directly from your bank account, by way of a fee note issued at each meeting you have with the firm. For example, if our review meetings are on a six-monthly basis, we will issue a fee note at the first meeting, requesting payment of 50% of the Annual Fee due, based on the value of your investment portfolio at that time. A similar fee note will be issued at each subsequent six-monthly meeting.

Advantages

  • Your tax-advantageous investments will have a greater potential for investment growth, as fewer charges will be levied against the fund.
  • Over the years the fee payments could lower your total taxable estate, therefore potentially lowering your Inheritance Tax liability.
  • Any trail commission received from the investment portfolio will be re-invested for growth.

Disadvantages

  • There is a requirement to retain sufficient funds to facilitate the payment of the fees to Christie Financial Planning Limited at each six-monthly meeting.