Futures aren’t always right. If you find a good theory when they might be wrong let us know
Ithe yanks might hit things hard with 100bps and see what that does?
Question for the financial gurus.
I’ve been going to the same accountant for many years and they also offer a financial planning service.
My wife and I have decided that we want to retire at 55 (8 years away) and will chuck some cash each month into a managed fund.
Now my question, and this could be a how long is a piece of string type thing. My advisor wants $4500 to setup the fund (which they are using Macquarie) and also to advise on the rest of our finances. Is this excessive? And am I better off just going directly to a fund or go down the path with the advisor because they have the big picture?
It depends.
4.5k these days isn’t really excessive.
Feel free to bargain cause pulling your accounting and future fp is a bigger loss than giving a discount.
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$4,500 is a lot of money and then they will look to take a fee to help you manage it. Personally I’d keep it really simple and manage it yourself with the investments being held in both your individual names. I would also keep an eye on the management fee that the investment funds charge.
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If you’re going to put your money into managed funds, or ETFs, you don’t really need a financial advisor.
You just need to keep on top of your government entitlements like CSHC and the OAP. And track your SMSF if applicable.
I got asked for that sort of money, or maybe more, by a CBA financial advisor 15 years ago, and I decided that I knew a lot more about it all than he did.
I’m not sure I’d be going to Macquarie though. I don’t really trust them.
Years ago, I asked my cousin, a chartered accountant, what he suggests as investment managers for an SMSF. His firm used David Evans’s management, so I quickly said no. Companies like that have to churn your investments to make a quid, and they make sure that they get everything that’s coming to you.
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I’m sure they are using Macquarie as the cash account and doing all the investments direct elsewhere. I would assume it’s been setup as a trust. Seem pretty standard procedure to me.
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Congrats on being financially secure!
I know you want to knock off at 55, but don’t ignore super.
5 years can go fast(60 is preservation age I think) and then you can access an income stream out of it which will probably perform as well as many managed funds(*depending on how you do super). Plus the cash you throw in up to a point is very tax effective.
Then if you max out super contribs you could look at something like an investment bond if you have a high marginal tax rate now.
It’s got a min 10 year window (so would take you to 57 instead of 55) but again that’s paying tax at the company rate. So any gains your paying 30% not your marginal tax rate.
Use the returns from your investment bond at 57 for 3 years then get your super at 60?
I’m not a financial advisor or have an investment bond.
You can exit investment bonds early but there’s costs involved.
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This paragraph made me think that i needed the advisor. I worked out the acronyms eventually though. 
Our finances are healthy enough, but as we all know too well life can throw a few hurdles just when you think it’s smooth sailing.
The main aim is bridging the gap between 55 and 60. We probably should have focussed a few years ago though. Especially with kids that will be mid to late teens by then. But we can only try.
This has never been my strong suit unfortunately.
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Now is a great time to get greedy and start pouring cash into a suitably diversed investment for an 8 year window.
Be thankful your not 55 now!(although it’s not that bad yet….)
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Can I just say this is incorrect.
The company might only pay 30% or less (depending on the appropriate rate) but to get it out it will be counted as income and taxed at your marginal rate.
However you can pick the year you want to take it out so maybe a year when you have less income will be beneficial.
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Not a guru but
4.5k is probably about right as they need to do a financial plan etc…
your other alternaltive is ETF’s - but thats not managed at all just following markets.
Also you accountant likely gets a kickback from you using the financial advice, so ask for a cut of that 
Good website comparing managed funds to ETF’s
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That link is a good read. Nice and simple.
Yeah that was very good. Thanks for that.
I’m so bad at it!
Hahaha! What you lack in negotiation is made up for with your culinary skills.
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The OP will be retired(55 and r 8 years time) assuming post retirement income is lower and he would pay no CGT either…
They certainly aren’t for everyone and have a specific set of circumstances for someone to benefit from using one.
Worth knowing about and investigating with the aid of a professional.
You can’t make assumptions. You don’t know who is reading it or their particular circumstances.
That’s why I said with a professional.
In other news Aussie Bond Yields dropped.