WRAPS - Take Control of Your Investments

What Is A Wrap?



How does it work?

The system works by unifying all of your various assets and investment plans into one central point of control.

Essentially it’s a portfolio builder, dealing service and tracking device all rolled into one. The WRAP service collects every activity and procedure into one investment process which can then be tracked by you, at home.

Choose from an extensive range of options to create a portfolio that is right for you. You can transfer your existing portfolio exactly how it is or opt for a completely new set of tax efficient products and funds.

Then, select the income you want, arrange for regular withdrawals and transfers into your personal bank account….you can even buy stocks and shares to enhance your portfolio.

You will get accurate and reliable 6-monthly statements from the provider with total documentation of all purchases, sales, deposits and withdrawals. Alternatively you can manage your portfolio completely online.

 
The Benefits


The WRAP Investment Portfolio Service is a fast, easy way to control your finances from one central point.

The WRAP service is essentially one central holding administrator for all of your investments. This allows you to tailor your portfolio without the hassle of dealing with multiple providers.

First, it handles all the dealing of investments in one easily accessible place. Secondly, it provides a variety of tax wrappers within which your investments might most efficiently be held.

All of this means one charging structure, one series of statement and one easy way to control your investments.

Not only that, you can track both your investments, funds and their performance online, 24-hours a day through the internet. Or when you prefer face to face contact we are on hand to discuss any questions you may have.

You can also be sure that you have choice – the entire UK fund market is open to you.

It will enable us as your adviser to help you manage your finances more accurately and with greater care, speed and service.

If you would like to know more about our WRAP portfolio management service then contact us on 0871 271 1280 or e-mail info@reevesifa.com

Save for a Child's Future with a Young Saver Plan

Save for your son, daughter, grandchild, niece or nephew and enjoy a TAX-EXEMPT lump sum and sickness benefits of up to £400 a week.

With a Young Saver Plan it is designed so you can save from just £7.50 right up to £100 a month, knowing there won't be a penny in tax to pay on the growth of the fund or on the final lump sum payout on maturity in ten years or at age 18. You can increase or reduce your premiums at any time to suit you, and parents or guardians have the option of withdrawing up to 25% of the value when the child is aged 11.

The plan includes sickness benefits too, so if the child is ill and the parent or guardian has to take time off work to take care of them, they can claim up to £400 a week from the child's 5th birthday.

Just look at what the Young Saver Plan has to offer:

Flexible savings - Save from as little as £7.50 right up to £100 a month and vary your premiums to suit your circumstances.

TAX-EXEMPT growth and lump sum - You won't have to pay a penny in tax on the growth of the savings fund or on the final lump sum payout.

Sickness benefits for peace of mind - After the child's 5th Birthday, the parent can claim up to £400 a week in benefits to help cover the costs, if the child is ill for over 4 weeks.

You can make a withdrawal at age 11 - While the plan is designed to run for at least 10 years, parents or guardians have the option of withdrawing up to 25% of the fund when the child reaches age 11.

With the costs of bring up a child apparently growing year by year, saving a regular amount each month to build up a useful lump sum really does make sense for families today.

So for example if you saved just £1 a day for the least amount of time the plan is designed for the child would theoretically have over £3,500 when they turned 18, which could be put towards a variety of things.

To speak to one of our experienced advisors about a Young Saver Plan then call Reeves Independent on 0871 271 1280 or e-mail info@reevesifa.com

Please Note all references to taxation are to UK taxation and are based on our understanding of current legislation and H M Revenue and Customs practice which may change in the future.

Case Study - Should I Draw Pension Income Before I Stop Working?

A new client approached me recently with the above question. He had been self employed for most of his working life and had just over £50k in his personal pension. The client was 61 and his wife 59.

Two questions sprung to mind.

Does he need either the income now or any of the tax free cash? This was quickly followed by what else does he have that has a monetary value and what are his retirement plans?

Following an in-depth fact finding exercise the following was established. He and his wife have little else except a small pension for her (£17k), their unknown state pensions and their home, which was valued at £200k with a small mortgage of 12k. Crucially they also had no clear plan of their retirement cash flows or their range of options that they had available to them.

Ideally he would like to pay off his mortgage as the payments are eating away at his cash flow and he is concerned that the interest rates are going to rise. Furthermore he has no need to draw income from his pension funds as they are both still working and plan to continue for as long as possible.

The client has a number of options and needs to satisfy both short and long term requirements.

What was decided?

It was decided that he would take the maximum tax free cash from his pension and pay off his mortgage. The excess amount would be invested into an ISA (Individual Savings Account) - either cash or stocks and shares, which would be dependent upon more thought and a comprehensive risk profile questionnaire.


Despite not requiring it, it was decided he should take the maximum income from his drawdown pension contract allowing 120% of the annuity (annual) income. This would be saved into further ISA's, which would be attainable when they eventually decided to or are forced to retire. Hence, having taken the maximum permitted tax free lump sum from the pension, they were then planning to enjoy a further accessible tax free benefit.

Ultimately the clients' strategy was to maximise accessible money rather than secured long term income. This decision took into account a number of different tax issues, investment risk considerations, state benefit means testing cogitations, life expectancy and more.


Furthermore the clients have resigned themselves to having to sell and downsize their home at some point to support their finances. The above strategy means that this decision will come later, rather than earlier in their retirement and that they will have money to enjoy some luxuries in their lives when they can appreciate them more.


The above is a brief summary of a real case at Reeves Independent. However each client we deal with is unique and has different priorities and objectives to consider when deciding on their retirement plan. To speak to one of our experienced advisors about our specialist retirement planning service contact us on 0871 271 1280 or e-mail info@reevesifa.com with any questions. 

Reeves Independent's Fund Report 26/03/11 - 02/04/11

Another week has passed since the Japanese disasters and the markets seem to be back to some sort of normality with 95% of our funds producing gains for our investors.

Our outstanding fund this week was the “iShares S&P Timber & Forestry” fund in our aggressive portfolio, which produced a return of 5.04% for our invested clients. However it was not the only fund within our aggressive portfolio to do well, as half of the funds experienced over 3% growth.

Additionally our cautious portfolio also had a pleasing week with all 12 funds generating positive returns. Furthermore our balanced portfolio had an excellent week returning an average of 2.04% for clients.

If you would like to know more about any of our funds or our portfolio management service then contact us on 0871 271 1280 or e-mail info@reevesifa.com

2011 - The Investment Story so Far!

2011 has been a rollercoaster ride so far. With many predicting a year of strong global economic growth a succession of unforeseen incidents have changed the landscape considerably. Earthquakes in New Zealand and more significantly in Japan along with the political destabilisation of North Africa and parts of the Middle East have had an impact on global markets the full extent of which have not yet been fully realised. So how will these events play out on the economic stage?

If you are concerned about your investments or would like some specialist advice then call Reeves Independent now on 0871 271 1280 or e-mail any questions to info@reevesifa.com