As a company, Guardian Wealth Management is committed to helping its clients create and preserve their wealth, whether they are interested in UK investments, European investments or want to focus further afield in Asian investment opportunities. We pride ourselves on our ability to remain at the cutting edge of the latest investment trends and movements.  It is therefore with interest that we note the recent research undertaken by Bank of America Merrill Lynch, which has shown that since 2007 there has been an $800 billion flow into bonds and an outflow of nearly $600 billion from equities. With S&P 500 gaining 13.4% in 2012 and the start of 2013 showing an equity-bound increase brought on by President Obama’s pledge to restart the US economy, is now the time to reassess our investments in the US stocks?

We are all aware of the investment market leaders, Google, Apple, Proctor & Gamble, companies that are constantly plastered all over the investment trade press and cited as “must-haves” for your pension pots. But who are the upcoming companies we should be aware of?

Smaller companies are usually successful at capitalising on our enthusiasm for technological advancements or for pushing the boundaries of medical science. These companies thrive on “disruptive innovation” a term, which describes a product or service, which grows to such an extent that it eventually displaces established competitors.

Driehaus Capital Management are experts in the small cap sector and has identified a number of investments themes it believes supports some good bottom-up US stock-picking opportunities from small companies driven by disruptive innovation, including companies displaying sustainable and bullish end-market dynamics. For example, as the internet grows it provides a richer stream of companies which lean themselves to disruptive innovation. Driehaus has identified some exciting opportunities for many fast moving Software-as-a-Service (SaaS) companies as well as other internet infrastructure companies and web analytic providers. In the Biotech sector there are numerous opportunities for Biotech and Pharma companies, especially those working towards unmet needs in Oncology and Rare Diseases.
In the ‘’shale gas revolution’’, developments are now benefiting manufacturing, transportation and chemical companies that supply the industry, whilst also providing a cheap energy source needed in order to re-accelerate US manufacturing.

Although investing into small cap companies can provide greater returns, the potential for risk also increases. This is a consequence, which needs to be considered by all investors. small cap stocks are less followed by analyst and therefore prices are not always an accurate reflection of the company’s fundamentals. Also, smaller stocks are less liquid and access to capital for smaller companies is harder to come by. However, on the upside small cap stocks offer the potential for higher growth as investors are starting on a smaller earning base and the size of the pool stocks is greater than in the large cap sector.

So is now the right time to invest in the small cap sector? Attempting to time an investment into any market can be a risky business. Any exposure to the US small cap sector or any other sector should only form a sensible part of your assets.

For further information on your investments including the small cap sector please contact one of our professional financial planners or visit the website for more beneficial information.

Having a retirement and pension plan in place is a must to ensuring you can have a comfortable and care-free retirement. Many people are unsure as how to go about saving for a pension, how much they should be saving and how much they could be gaining.

By acquiring the services of an established financial planners, ideally who specialise in retirement and pension planning, you can receive trusted and knowledgeable advice. A personal financial planner will take the time to sit with you and outline your options, answering any questions you may have.

So what things are worth thinking about to ensure you’re getting the most out of your pension?

Start saving early

The earlier you begin to save, the bigger return you will see in your pension fund. Starting earlier with a smaller amount is healthier for your finances as people in their twenties are often just starting out in their career. Make sure you can afford to live before increasing your contributions!

Workplace Pension Schemes

By enrolling on a workplace pension schemes, such as the new NEST Pension Scheme, you can begin to manage your contributions in sync with your career progression. NEST Pensions are a one-pot fund which allows easy access and stays with you throughout you career, making saving for your pension that little bit easier.

Contribute more

Managing how much money you employ into your pension can often be overlooked and under-appreciated. Many people are unsure as to how much they should set aside. Again, in your twenties you are just beginning to save so 12% of your income is a good place to start, rising to 20% by the time you are in your mid-thirties.

Don’t splash out

Try to refrain from splashing out when you receive a pay-rise, work bonus or financial benefit and consider making an additional contribution to your pension. Whilst living in the moment is a nice philosophy to live by, you really could begin to see your pension grow in later years.

Pay off any debts

Before you consider saving, you should look to pay off any debts, loans and outstanding payments you may have. This will not only give you peace of mind, but put you in a steady financial position when it comes to addressing your savings accounts.

Reap the benefits by saving now

It’s always important when saving for your pension to consider the present as well as the future. Life shouldn’t be a financial struggle due to your contributions. With the help of a specialist pension and retirement finance advisor, as well as the tips above, you really can maximise the potential of your retirement.

So don’t delay. For expert professional advice with your retirement planning contact one of our financial planners or visit the website for further beneficial information and free downloads.

One thing that is certain is that in our current economic state, one cannot overlook the importance of saving for the future.

Sparking Debate

The new, simple pension system that Mr Osborne has been discussing is the government’s answer to the heavily anticipated reform of the state pension. From April 2016 the basic pension of £107 a week, plus other means-tested benefits, will be increased to a flat rate of £144 a week.

This was originally scripted to come into place in 2017, but in bringing the date an entire year forward, this raises a number of questions; what are the real intentions behind this reform, the long and short-term effects and how will this affect you?

With so much emphasis on saving for our future, it is always worth acquiring the services of a reputable and specialised financial advice firm. Saving for your pension can be an overwhelming and confusing process, which is why a specialist pension planner will take the time to sit you down and take you through how you can make the most out of your retirement fund.

Why Has The Date Been Brought Forward?

The thinking behind bringing the reform forward by a year is that, in the short term, more people will be able to receive more money from their state pension. This is particularly good news for the self-employed, and women and carers who have been low earners or suffered gaps in employment.

What Are the Concerns?

Obviously, only a number of people will qualify when this new reform comes into place and the fact that some 40 million people of working age will be affected by the changes. Whilst the single-tier state pension provides a simpler end result, the transition period will be considerably longer and more complex as people begin to adhere to the new changes.

If the government gets this wrong there is the risk of the private sector suffering final salary pension closures. Similarly, businesses can lose a significant rebate from the end of contracting-out, alerting them to question the continuation of such pensions.

Why The Big Debate?

What MP’s are arguing is that more information and understanding needs to be available so that people understand how the new system will work and whether or not they are eligible. What needs to be understood is that pension funds will take time to adapt to the new changes and require flexibility.

More directly, it is important that millions of current pensioners are not overlooked who may be struggling to meet ends mean on the current state pension. What the government is aiming to achieve is a simpler fairer state system which helps people to save and plan for the future.

What has been described as a ‘cavalier’ attitude by some is simply a way of highlighting that such a change to our state pension system should not be rushed.

If you would like some professional guidance with your retirement planning then please contact one of our financial planners or visit our website for additional beneficial information.

However, even after this, there have been many changes to this reform and it seems we are even more confused than before. In a report from Unbiased.co.uk, they state that 83 per cent of financial advisors still say that confusion remains regardless of the changes made.

With the emphasis moved away from the state providing solution to the retirement the responsibility has slowly been moved to that of the individual. The introduction of auto-enrolment, or workplace pensions (NEST) in October 2012 will soon, over the next five years, have millions brought into pension schemes for the first time. However, the decreasing the annual tax-free allowance appears to have damaged pensions and saving the most. The new annual allowance, that is the maximum amount someone could save into a pension each year while still gaining tax relief, stood at £215,000 in 2006, but this has now reduced to £50,000 currently and will decrease even further from April 2014 to £40,000.

The new UK workplace pension enrolment program is in its early stages and people will have to wait and see if the government can stop itself from tinkering with it again and allow people enough time to get their heads around the present rules.

If you would like any further help or advice to do with your retirement planning or discuss the new workplace pension schemes, then please contact one of our financial planners or visit our download page on the website.

The Cyprus 10 billion euro bail out has led to banking problems across the island – but what about the hundreds of Qualifying Recognised Overseas Pension Scheme investors who have money tied up in the island?
From April 2012, the Cyprus QROPS remains a pension scheme, but they are subject to the rules set by the regulator in Cyprus, not HMRC.

Contributions may still go into the scheme – providing they are not tax relieved in the UK.
No more transfers can come in to the former QROPS from a UK pension, as it becomes an unauthorised withdrawal from the UK pensions and subject to a 55% tax charge.

The QROPS investor can:

Stay within the current QROPS under Cyprus pension rules
Transfer to another QROPS
The decision depends on the prospects of the pension fund remaining ring-fenced and intact in Cyprus – and how the government might treat the transfer.

Will the Cyprus Bank crisis affect British pensioners and QROPS transfers?

The Cyprus bank crisis continues to drag on into a second week. Originally a one off levy of 9.9% for sums of more than 100,000 EUR and a 6.75% on smaller amounts was announced. Capital controls were soon introduced and depositors could only withdraw small amounts of money from the bank.

Depositors could now lose up to 60% of their savings and instead of a levy; the banks will offer shares which may never return capital. On top of this, the Financial Times has been reporting on widespread corruption with nearly 20% of all deposits withdrawn in February before the crisis and Russians, apparently being offered to get their money off the island, but incurring hefty sums.

Cypriots and foreigners can only take 1,000 EUR when they leave the country.
Anyone who was in the Cyprus QROPS will be protected under the old rules and won’t be punished for unauthorized payments, as long as no more UK tax relieved monies are added into the QROPS. Members can either stay put in Cyprus or move to somewhere like Malta which is also in the EU and has over 65 Double Taxation Agreements which can severely reduce your tax burden if you live in Europe. But, questions have been asked over Malta as well.

Investor options

Retirement savers in Cyprus schemes have decisions to make, but obtaining a pension transfer analysis valuing the fund from the provider is a good first step.

Guardian Wealth Management can give you professional financial advice in regard to QROPS, contact one of our financial planners for expert guidance or visit the download page on the website.

Studies published in 2012 in the Lancet have shown that daily doses of aspirin may reduce the chances of developing or dying from cancer earlier than previously thought and also preventing tumours from spreading. Some U.S studies have shown that up to 25% of people aged 50 and older are already taking aspirin each day, mainly to prevent heart disease.

Aspirin
Bayer AG, based in Leverkusen, Germany, invented aspirin and has sold it since 1899. A bottle of 500 generic 325- milligram aspirin tablets can be as cheap as £0.15p in UK supermarkets. The drug aspirin, which is based on salicin, which is a chemical found in the bark of the willow tree. It was first mentioned about 2,400 years ago by Hippocrates, an ancient Greek who was also considered as the father of Western medicine.

Cost to Pensions
If more people begin taking aspirin daily, the pension costs for men in the U.K. could rise by 0.7% within 20 years, according to a statement from a report by Risk Management Solutions Inc. Actuaries’ assumptions about costs for pension funds have more recently been questioned as medical advances and changes in behaviour help people live longer. This has been identified as a possible additional cost to US pensions of $100 billion as people live longer and require their pensions, longer than originally calculated.

At Guardian Wealth Management we can help guide you through your financial planning for retirement and also help with medical insurance, for further expert professional advice please contact one of our financial planners or visit our download page on the website for more beneficial advice for now and your future.

Whether you’re a sprightly, young twenty-something, a responsible family man or would rather not mention your age, your retirement shouldn’t drift to far from your thoughts.

Start saving

With the government introducing new workplace pension legislations that ensure that employers are obliged to offering their employee’s a simple, one-pot pension scheme, the focus really is to start putting the pennies away as early as possible. This scheme has been introduced to ease the strain that the State Pension is feeling.

By making people more aware of the importance of their pension early, they will only benefit as they see their savings grow over the years and decades. What many people lack is direction and understanding when it comes to retirement planning, which is why it is important to attain the expertise of an experienced financial advisor.

They will be able to guide, advise and teach you as to how your pension will work, how you can benefit and aid you in planning for a richer retirement.

What to do at what age?

With so many things to consider from the expense of living to the impact of your lifestyle, knowing what to do with your money can be half of the problem. Luckily, the guide below will make things crystal clear.

The twenties

Now is the time to focus on clearing any debts and loans you have rather than putting away huge sums for your retirement. You will most likely be in your first proper job and understandably living costs and the lifestyle you lead take priority. One thing you should look at doing however is opening up an ISA account and putting away what you can afford.

The thirties

The thirties can be a busy and stressful decade for many families and individuals. It is important to sit down and re-establish your finances. With higher expenses, new prospects and even new faces entering the fold, now is the time to reassess your outgoings and debt. You should already be enrolled on your company pension scheme and contributing to your long-term investment pot.

The forties

If you haven’t started saving by now, do something about it! Pensions and retirement pots work by interest over long periods of time. Keep building your ISA and at this point, your earnings may be at their peak. Make sure you take advantage of this and dedicate a substantial contribution to your pension. Don’t waste pay-rises and bonuses make the most of your earnings.

The fifties

Arguably the most important decade when it comes to retirement planning now is the time to get serious. Maximise your contributions to your pension pot. You may have a retirement date in place so calculate what you will need to save and what you can afford. Seek the advice of your financial advisor; they may consider using a Self-Invested Personal Pension (SIPP) for greater understanding and control of your investments.

Reap the benefits and enjoy a richer retirement

The key really is to start making those savings early. Whether you’ve just started in an exciting new job or are a veteran of your industry, how you are going to spend your retirement should never be too far from your thoughts.

If you would like further information regarding your retirement planning then contact one of our financial planners or visit the download page on our website.

As Chancellor George Osborne delivers the 2013 Budget on Wednesday 20th March, what are we to expect?

Mr Osborne has stated that he is determined to do the right thing by the economy. He is quoted as saying the Budget would help people who “want to work hard and get on, own their own home and save for their retirement.”

With the end of the current UK tax year approaching ensure that your finances are up to date. Contact one of our financial planners today to discuss your finances and what the 2013 Budget could mean for you.

The Budget brochure will be available for download on the morning of Thursday 21st March.

The latest figures from the Office for National Statistics (ONS) have also revealed UK workplace retirement saving has hit a 15-year low.

Membership of UK workplace pension schemes dipped to 46% in 2012 – the lowest level since 1997.
The ONS data stated, those in professional occupations were most likely to have a pension, with 74% putting money into a retirement pot whereas, just 19% of people in sales and customer service jobs were saving into a workplace pension in 2012.
Last October automatic enrolment was launched by the government, in an aim to ensure employees were opted into a company pension scheme unless they stated otherwise, which should result in 10 million people signed up for a pension over the next five years.

The further government proposal for the single tier £144 a week flat rate state pension, in 2017 will reduce the extent of means testing in the UK state pension system, making it more effective for individuals to contribute into additional personal pensions.

For further professional retirement planning advice please contact one of our financial planners or visit our download page on our website.

Whilst some of us may dream of retiring before we start to go grey, like anything in life, planning and preparation for your retirement is essential. Retirement should be a time where you can kick back, enjoy life and spend time with your family, all without the worry of where that next payslip is going to come from.

Have You Thought About Your Retirement?
The thought of retirement isn’t just for those breaching the larger digits either. Whether you’re just starting out in the big wide world of work, are a senior and established ‘ball player’ or would rather not mention your age, the earlier you begin to plan for your retirement, the more benefits you can reap.
Many people begin to plan their ‘bucket list’ early, with adventures and places they want to explore in their retirement. These are more than attainable with a little investment, planning and discipline on your part as well as the trusty aid of a reputable and established financial planning firm.

Call In The Professionals
With percentages, rates and legislations as unpredictable as life itself, by acquiring the experience and expertise of a qualified financial advisor, you can begin to sensibly and realistically plan for the retirement you dream of, for that reason Guardian Wealth Management is the perfect choice.

But Why Should I Plan For Retirement?
Planning for retirement ensures that you can afford to lead the lifestyle you wish once you have stopped working. You cannot quit working if you have insufficient funds as you financial position is not strong or safe enough for you to retire. By planning early, you can begin to not only save but be rewarded by long term interest.

Earlier The Better – When Should I Start Saving?

The sooner the better if you have begun employment, nothing should be stopping you putting that extra bit of cash away for those years to come. In fact, your place of work may even have a workplace pension in place so always investigate and see how a workplace pension can benefit you.
By investing early on your pension, you are only enhancing the chances of saving for the retirement you deserve. More importantly, should you opt for early retirement voluntarily or experience health issues in the future, then you can be safe in the knowledge that your finances have had time to grow for you and your family

Great – How Much Should I Start Saving?
This isn’t a question that has a definitive answer. This comes down to what you can afford to save, your annual income and your retirement plans themselves. By sitting down with a specialist retirement planning advisor, you can begin to outline the figures and goals for your retirement plans.
What is important to remember is that your retirement fund is a long term investment, it takes time to grow and nurture for you to really reap the benefits. So start early and watch your savings grow as the years go by and the prospect of retirement edges closer.

Plan For Tomorrow, Live For Today

Your retirement is what you make it and unfortunately, we live in a world that revolves around money, investments and savings. So whether your retirement is years or decades away, planning early for those retirement ventures should be one of the first thoughts on your mind when you open your pay slip.

Whilst early planning doesn’t solidify an early retirement, it does ensure a better, more fruitful retirement.

If you require further retirement planning advice then please contact one of our financial advisors or visit the download page on our website.