Retirewell -Financial Services Guide

Retirewell Financial Planning Pty Ltd
Level 24, 141 Queen Street (Cnr Albert Street)
Brisbane QLD 4000

3. WHO IS RESPONSIBLE FOR THE FINANCIAL SERVICES PROVIDED?

Retirewell Financial Planning Pty Ltd is responsible for the Financial Services provided including the distribution of this Financial Services Guide (FSG).

Retirewell Financial Planning Pty Ltd is the holder of Australian Financial Services Licence No. 247062, which was issued on 4th February 2004. Retirewell's office address is set out above.

4. DO YOU HAVE ANY RELATIONSHIPS OR ASSOCIATIONS WITH FINANCIAL PRODUCT ISSUERS?

Retirewell Financial Planning Pty Ltd is a privately owned firm. It has no ownership links, relationships or associations with any Financial Product issuer, other than in the normal commercial course of business. Retirewell’s paramount obligation is to provide financial planning advice which is in the best interests of our client and which is not ‘tainted’ by conflicts of interest. In accordance with this responsibility, we wish to bring to your attention the following commercial arrangement:

Rebate from Macquarie: In order to enhance client service, Retirewell decided in 1999 that where appropriate, we would centralise the administration of our client’s investment portfolios on to a single, electronic portfolio management and reporting platform administered by Macquarie, Macquarie Wrap Solutions. Based on our experience since then, we believe the Macquarie Wrap to be now quite clearly the best of the available platform providers, on the grounds of cost, service and investment product choice.

Without access to such a system, particularly under the new FSR compliance regime, the costs of providing comprehensive tax planning and reporting, rebalancing of portfolios and ongoing services would be much higher. In fact, it would now be very difficult to efficiently run an independently-owned, fee-based practice without the use of such technology.

It is common commercial practice for investment platform providers to pay a small rebate to AFS licensees, from the provider’s administration fees, with the level of rebate being based on the amount of funds under administration. This rebate helps to cover practice running costs and benefits the client by allowing the practice to charge lower Ongoing Fees than would otherwise be the case. Accordingly, Retirewell receives a monthly rebate from Macquarie Wrap Solutions on monies under administration within the Macquarie Portfolio Manager service of 0.22% per annum ($22 per $10,000) including GST.

5. WHAT KINDS OF FINANCIAL SERVICES ARE YOU AUTHORISED TO PROVIDE ME AND WHAT KINDS OF FINANCIAL PRODUCT/S DO THOSE SERVICES RELATE TO?

Retirewell's Advisers are authorised by Retirewell Financial Planning Pty Ltd to provide the following range of financial products and services:

• Retirewell's Services

We offer you a full range of confidential financial planning services. The most important outcome of Retirewell's processes is the management and integration of the many complex elements of financial planning to achieve your personal goals and objectives. Retirewell does this through two primary types of specialist service:

a. Comprehensive personal financial planning advice through specialist planning in the following areas:

- Wealth Accumulation Strategy Planning

- Superannuation and Rollover Planning (including self-managed superannuation)

- Retirement Financial Planning

- Social Security Planning

- Tax-Effective Investment Planning

- Gearing and Finance Arrangements

- Estate and Insurance Planning

b. A range of Ongoing Client Care services, which offer different levels of ongoing financial planning and investment portfolio review services. These services are our:

- Asset Care Service (fees are invoiced directly to the client)

- Wrap Care Service (fees are agreed beforehand and can be deducted automatically on a monthly basis from the client’s cash management trust account)

• Financial Products

Under its Australian Financial Services licence, Retirewell is authorised to provide advice and to deal in the following classes of financial products, for both retail and wholesale clients:

1. Deposit and payment products limited to:

(i) Basic deposit products;

(ii) Deposit products other than basic deposit products;

2. Derivatives limited to:

(i) Old law securities options contracts and warrants;

3. Debentures, stocks or bonds issued or proposed to be issued by a government;

4. Life products including:

(i) Investment life insurance products as well as any products issued by a Registered Life Insurance Company that are backed by one or more of its statutory funds; and

(ii) Life risk insurance products as well as any products issued by a Registered Life Insurance Company that are backed by one or more of its statutory funds;

5. Interests in managed investment schemes including:

(i) Investor directed portfolio services (otherwise known as Wrap accounts);

6. Retirement savings accounts ("RSA") products (within the meaning of the Retirement Savings Account Act 1997);

7. Securities (managed unit trusts and shares); and

8. Superannuation.

6. WHAT INFORMATION SHOULD I PROVIDE TO RECEIVE PERSONALISED ADVICE?

You need to provide us with a list of your personal objectives, details of your current financial situation and any other relevant information, so that we can offer you the most appropriate advice possible.

You have the right not to tell us, if you do not wish to. However, if you do not, the advice you receive may not be appropriate to your needs, objectives and financial situation.

You should read any warnings contained in the Statement of Advice carefully before making any decision relating to a financial product/s

7. WHAT INFORMATION DO YOU MAINTAIN IN MY FILE AND CAN I EXAMINE MY FILE?

We maintain a record of your personal profile including details of your objectives, financial situation and needs. We also maintain records of any recommendations made to you.

We are committed to implementing and promoting a Privacy Policy, which will ensure the privacy and security of your personal information. Our Privacy Disclosure Statement is set out at Section 15 of this FSG. A full copy of our Privacy Policy is available on request or may be printed from our website at www.retirewell.com.au

If you wish to examine your file please ask us. We will be happy to make arrangements for you to do so.

8. HOW CAN I GIVE YOU INSTRUCTIONS ABOUT MY FINANCIAL PRODUCT/S?

You may give us instructions personally, or by telephone, fax, letter or e-mail.

If we provide you with execution-related telephone advice, you may request a record of the execution-related telephone advice, at that time or up to 90 days after the advice is provided.

9. HOW WILL I PAY FOR THE SERVICES PROVIDED?

You will usually pay us a fee. Alternatively, we may receive a payment called brokerage, which is paid to us by the Financial Product issuer/s.

We will give a Statement of Advice containing details of our fees and any payments made to us by a Financial Product issuer/s.

10. HOW ARE ANY FEES BROKERAGE OR OTHER BENEFITS CALCULATED FOR PROVIDING THE FINANCIAL SERVICES?

Generally the payment we receive will be based on the amount you invest. It may vary from one Financial Product issuer to another and it may be varied by Retirewell.

Details of the brokerage we receive are contained in the Product Disclosure Statements for most Financial Product issuers available from your adviser. Your adviser can give you full details.

If you receive personal advice from us, we will tell you about any fees, brokerage and any other benefits, where possible in actual dollar amounts, in the Statement of Advice. Our adviser will give you this Statement of Advice, before we proceed to act on your instructions.

We may be paid by the Financial Product issuer at the time you invest or contract, and during the life of your investment or contract.
We may charge you a fee, depending on the time we spend developing your plan, or depending on the value of funds you invest.
We may invoice you for a fee when you receive our written recommendations (Statement of Advice).
You may pay us a fee for the Ongoing Services we provide, annually or in instalments.
We may receive an ongoing payment from the Financial Product issuer.

Worked Example:

For example where the Advice and Implementation Fee (or the initial brokerage) is 1.1% and the ongoing service fee (or the ongoing trail brokerage) is 0.6% pa, then on an investment amount of $100,000, a 1.1% initial fee or brokerage would equate to $1,100 and the ongoing service fee or trail brokerage would equate to $600.

Your adviser will tell you in writing in the Statement of Advice what fees we may charge you, when you have to pay, and what payments we may receive from the Financial Product issuer/s. Details of our Initial Fees and Fees for Ongoing Client Services are set out below.

INITIAL FEES

Initial Consultation

There is no charge or obligation for an initial consultation of up to one hour . This gives us an opportunity to consider how we may be able to add value to your financial situation and allows you to see how our services could help you and whether you would like us to assist you further. Time spent in excess of one hour may be charged on an hourly fee basis. At the conclusion of this meeting we will quote a fixed fee for preparing a financial plan or for preparation of a summary of your investment strategy options, which may necessarily precede the preparation of your financial plan.

Preparation of Investment Strategy Options

Fee range $300 - $1,500 + GST ($330 - $1,650)

If this service is required, the fee is quoted in advance.

Preparation of Financial Plan (Statement of Advice)

Fee range $500 - $2,500 + GST ($550 - $2,750)

This fee is quoted in advance.

Advice and Implementation Fee

Your Retirewell adviser is paid a fee for the specialist advice provided, not for selling investments.

Our major professional time outlay is spent in gathering data, researching possible alternative strategies and investments and documenting a personal, tailored financial plan with all the necessary supporting data in a Statement of Advice. Once accepted, time is spent in preparing all necessary documentation to implement the recommendations.

The Fee Scale, which is applied only to new investments, is as follows:

Portfolio Size	Fee	Example
First $500,000	1.00% + GST = 1.1%	$1,100 on $100,000
Next $500,000	0.75% + GST = 0.825%	$825 on $100,000
Next $1 million	0.50% + GST = 0.55%	$550 on $100,000
Over $2 million	0.25% + GST = 0.275%	$275 on $100,000

In addition, a once-only flat fee of $1,000 plus GST ($1,100) applies to all new portfolios. In some circumstances (eg small investment amounts), Retirewell may reduce this fee or opt to receive brokerage.

• The Advice and Implementation Fee is generally not tax-deductible as it is treated as an investment establishment cost - however, ask your Retirewell adviser for further advice in this regard.

• The Fee may be paid directly to Retirewell upon receipt of our Invoice, with any initial brokerage rebated to you.

• Alternatively for convenience and at the client's discretion, some or all of the Fee may be received as brokerage, with payment made to us by the financial product issuer you invest/contract with. Any initial brokerage is paid out of the Initial Fee which is usually charged on financial products. Details are contained in the Product Disclosure Statement for the relevant investment.

• For small or one-off investments, for ease and convenience of both parties we may opt to receive the standard brokerage entitlement from the relevant Financial Product issuer/s, in place of a fee.

FEES FOR ONGOING CLIENT CARE

Because of the differences in the types and levels of ongoing services required by our clients, we offer three defined levels of Ongoing Client Care services. These are:

• Asset Care Service - our premier service. (Where portfolio implementation and management is provided through a ‘wrap’ service, this service is referred to as Wrap Care.)

• Periodic Review Service

• Hourly Fee Service

Please note that the Ongoing Client Care fees are generally tax-deductible against assessable income.

The Fees for these services and their Features are outlined below.

Asset Care Service / Wrap Care Service

This is our premier Ongoing Review Service, which includes the following features:

Features

• Quarterly and/or half-yearly Portfolio Valuation Reporting

• Comprehensive, personal Reviews on a periodic basis, during which your strategy, objectives and investments are reviewed with changes implemented as required

• Periodic overview of the Portfolio as required in respect to new investment opportunities, changes in the economy, investment markets and fund management organisations, as well as the laws, regulations and government policies on tax, superannuation and social security

• One-on-one educational sessions during reviews

• Ongoing reviews of investments held in your portfolio by your adviser. (These are conducted in-house and do not usually require a personal meeting.)

• Ongoing assistance with estate planning (Wills, Powers of Attorney etc) and Centrelink requirements

• Unlimited telephone or personal consultations, as requested by the client

• Full brokerage rebate on portfolio switches of managed funds

• Discount brokerage on share transactions

• All reasonable assistance to keep client's financial affairs in order

• Our client newsletter - The Retirewell Report

• Invitations to client briefings and special events, as well as seminars on topical issues

If you wish us to provide this comprehensive ongoing review service, the fee is calculated on the following basis:

• Asset Care fees are normally payable annually in advance and are based on the portfolio valuation at the annual review each year. By arrangement, they may be paid by periodic debit from a nominated bank account.

• Wrap Care fees generally will be deducted on a monthly basis in arrears from your portfolio’s cash account.

Self-Managed Superannuation Fund (SMSF)

In order to cover the extra work and time incurred by Retirewell in dealing with an SMSF - where the SMSF is under the Asset Care/Wrap Care Service fee and Retirewell acts as the main liaison between the trustee/s of the SMSF and the fund administrator/accountant, an extra flat fee will apply to the annual Asset Care Service/Wrap Care Service fee.

Fee range $500 - $800 + GST ($550 - $880)

If this fee is applicable, the amount is quoted in advance.

Periodic Review Service

This is designed for clients who would like to ensure periodically that their strategy and investments are still appropriate. It provides:

Features

• A personal Review on an agreed periodic basis, during which your strategy, objectives and portfolio are reviewed

• Standard Implementation Fee (1% / 0.75% / 0.5% etc scale + GST) for funds placement or changes, with any excess brokerage rebated to client

• Our regular newsletter The Retirewell Report

• Invitations to seminars on topical issues

• Appointments on hourly fee basis, with a minimum appointment fee $150 + GST ($165)

Fee

Generally in the range $350 - $1,500 + GST ($385 - $1,650) per annum, depending on the portfolio size and complexity and the timing of reviews.

Hourly Fee Service

This is not a formal service but rather a statement of the basis upon which we are able to provide ongoing service to those clients who:

- are suited by the nature of the advice required

- have small or very simple portfolios

- wish to self-monitor

- do not wish to utilise our other Ongoing Care Services

Fee

- Minimum Appointment Fee $150 + GST ($165).

- The Hourly rate chargeable depends on the complexity of the work involved. Our current rates vary between $180 to $360 per hour + GST ($198 to $396 per hour).

- Standard Implementation Fee (1% / 0.75% / 0.5% etc scale + GST) for funds placement or changes, with any excess brokerage rebated to client.

11. PROVISION OF RECORD OF ADVICE

13. WILL ANYONE BE PAID FOR REFERRING ME TO YOU?

Where you have been referred to us by someone else, if we pay them a fee or other payment in relation to that referral, we will tell you in the Statement of Advice who will receive that fee or other payment and the amount they will receive. Please note that it is not generally Retirewell’s practice to pay referral fees or other referral payments.

14. WHAT SHOULD I DO IF I HAVE A COMPLAINT?

We are committed to providing you with the best possible level of advice and service. As part of that commitment, we are focused upon maintaining high levels of client satisfaction by providing efficient and accessible systems for resolving any client complaint. If you have any complaint about the service provided to you, you should take the following steps:

Contact your adviser and tell your adviser about your complaint
If your complaint is not satisfactorily resolved within 45 days, please contact Anthony D (Tony) Gillett, Director of Retirewell, or put your complaint in writing and send it to The Complaints Officer – Retirewell Financial Planning Pty Ltd, at Level 24, 141 Queen Street , Brisbane Qld 4000. We will try to resolve your complaint quickly and fairly.
If you still do not get a satisfactory outcome, you have the right to complain to the Financial Industry Complaints Service (FICS). The FICS may be contacted on 1300 780 808 or on (03) 8623 2000 or write to PO Box 579 , Collins Street West , Melbourne Vic 8007 (Fax: 03 9621 2291) or email: fics@fics.asn.au

If you have any further questions about the financial services provided by Retirewell Financial Planning Pty Ltd, please contact your Retirewell Adviser on (07) 3221 1122.

15. DETAILS OF RETIREWELL'S ADVISERS

16. THE REAL VALUE OF ONGOING CLIENT SERVICE

• The Necessity for Ongoing Management

Once your financial planning strategy has been implemented, our role has just begun.

Financial planning should not be treated as a one-off event, but as an ongoing process. There is only one thing guaranteed in your personal financial planning – that circumstances will change. These changes may be due to external circumstances, such as changes in the economy, investment markets, legislation (particularly in the areas of tax, superannuation and Social Security), funds management and so on. Or they may be due to changes in your personal circumstances as you progress through your life, such as changes in your income needs, capital requirements, family situation, health or personal goals. Thus your investment strategy and the choice of individual investments chosen to fulfill that strategy, will need to be regularly reviewed to ensure your changing future lifestyle needs and objectives will be met.

• Different Needs Require Different Levels of Service

Because each of our clients is an individual with his or her own special needs, goals and resources, each portfolio must be personally “tailored” to fit the individual's requirements. What's right for one will be quite inappropriate for another. This leads to the use of a wide range of strategies and investments, some of which will require active and regular monitoring and reporting, whilst others will need much less active management. After implementation of your strategy and financial plan, our goal is to help keep you on track to achieve your long term financial planning goals through an ongoing review process at a level which is appropriate to your needs. To achieve this, Retirewell Financial Planning has evolved three different types of Ongoing Client Care Services: our Asset Care and Wrap Care Services, our Periodic Review Service and our Hourly Fee Service.

We have a strong commitment to deliver the “right” level of service to each client, where the service level parameters are clearly understood, at a cost which is effective for all parties.

• The Real Value of Ongoing Care

The real value of the ongoing client care services Retirewell provides is not so much the provision of investment information or market commentaries, it lies in our continued understanding of your changing needs and applying our professional knowledge, expertise and skills to meet those changing needs. We have found through experience that the major benefit we provide lies in helping our clients to understand, adjust and cope with changes in both external and personal circumstances. This ensures that their strategy and investments are kept attuned to the achievement of their long term financial and other goals.

In summary, the major benefit we provide our clients through the use of our ongoing client services is greater peace of mind.

17. PRIVACY DISCLOSURE STATEMENT

(This statement is applicable to any person who is a client of Retirewell Financial Planning Pty Ltd)

In order to comply with the requirements of the Privacy Act, we are required to advise you that this firm holds personal information about you. The information has been and will continue to be collected by us for the purpose of providing you with financial services including:

(a) the preparation of your financial plan;

(b) the provision of financial planning advice to you;

(c) making securities and investment recommendations;

(d) reviewing your financial plan;

(e) reviewing securities and investment recommendations;

(f) other purposes which we consider necessary for your financial well-being.

We are required, pursuant to the Corporations Act, certain regulations issued by the Australian Securities and Investments Commission and the Rules of Professional Conduct of the Financial Planning Association, of which Retirewell Financial Planning Pty Ltd is a member, to collect information about you for the purpose of providing you with the services referred to above. If you do not provide us with the information requested by us, we may not be able to provide you with the services you require of us.

We will from time to time disclose information about you to representatives of this firm and to other professionals, insurance providers, superannuation trustees and product issuers in connection with the purposes detailed above. In the event we consider it necessary to use or disclose information about you for purposes other then those detailed above, or related purposes, we will seek your consent.

You are entitled to obtain access to the information which we hold about you by contacting your Retirewell adviser on (07) 3221 1122 or by writing to us at Retirewell's business address.

A copy of Retirewell's Privacy Policy is available on our website at www.retirewell.com.au or upon request from your Retirewell adviser.

“Annual income twenty pounds, annual expenditure nineteen nineteen six, result happiness.

Annual income twenty pounds, annual expenditure twenty pounds nought and six, result misery”

Mr Micawber, from David Copperfield by Charles Dickens