Quality Financial Advice will enable you to have a meaningful life with lifelong peace of mind.  These are all very important but how will this impact your savings?  Can this even be quantified?  The answer is YES.  Recent studies have shown that the value of good long-term sustained financial advice can be valued.  The advice gap can be placed at 4.8% of your investment value over a person’s lifetime.  This means you can potentially earn up to 4.8% more over the long term by implementing advice received from a professional financial planner like Ultima Financial Planners.  The 4.8% return consists of creating a return expectation framework (1.3%), maximum tax efficiency (2%) and a dynamic withdrawal strategy (1.5%) and can be illustrated as per the chart.

Most balanced investors will earn 2.6% real growth (this means 2.6% more than inflation) on their investments whilst the average aggressive balanced return fund will deliver 4% real growth.  Our studies have estimated that an additional 4.8% can be achieved by partnering with a professional financial planner like Ultima Financial Planners and implementing the advice received.

We have further calculated that you will virtually be doubling your savings over a 25 year period if 3% more growth per annum is achieved whilst contributing R2 500 per month and starting with a capital amount of R1m.  This means that even if we conservatively estimate that 3% more growth can be achieved over a lifetime then the impact on your savings will be significant.

General trends found in all our research showed that people with financial advisors tend to:

• Enjoy more wealth than those who are not;

• Accumulate more assets in their lifetimes;
• Hold more financial assets in retirement than those who are not;
• Act and invest in a more tax efficient manner;
• Are prepared to retire comfortably as opposed to those who are not.