Comments for Platinum Financial Services Commentary

Comment on Neglected Expat Investments by Andrew Wood

Andrew Wood — Mon, 07 May 2012 02:04:08 +0000

Thank you for your contribution Robert. You mention that your “life has been made easier and more profitable by having a long-term and trusted adviser”. I could not agree with you more.

The key here was your personal relationship, which ultimately saved you money and possibly substantial grief. I always recommend to my potential clients that in choosing an adviser this is key. The relationship must work for these clients and they need to be totally comfortable with the consultant who will be looking after them. Only upon meeting several candidates will they be able to judge this. Doing their homework on such matters as regulatory environment is essential. Is the firm directly regulated, and if not, do they voluntarily subject themselves to a regulatory regime? The reputation, experience and staying power of both the firm and the individual consultant are critical to you. Taking account of all these factors will enable you to make a fully informed decision.

Comment on Neglected Expat Investments by dr robert cooper

dr robert cooper — Wed, 02 May 2012 05:21:21 +0000

Andrew, I could not agree with you more. I have no spare money to invest other than what is already tied up, but underline the picture you paint of the expat. At the normal end of working life even those who have kept a house in the home country often cannot afford to return to live in it. In my case I turned 65 a year ago and was awarded a State Pension of GBP18/week. I appealed from overseas (Laos) on the grounds that I had worked several years in France and contributed to the French system. (Anywhere in Europe is reciprocal.) My appeal was granted and GBP18 rose to GBP70/week. A payment was made into my UK bank account. Three months later I was informed a mistake had been made: I had worked in France before the EU came into being, and therefore contributions made in France did not count: further payments of the GBP18/week will not be made until the addition made on the wrong assumption that work in France is included is recovered. Luckily I receive a UN pension and do not rely on any national govt. But I still continue to work every day here in Laos and let out the house in the UK I cannot afford to live in. The UK govt gets not one penny in taxation revenue through that let. My UN pension and money I make in Laos stays within Laos, where I likely will stay until I die — when my house passes under Trust to my daughters in the UK. For a govt looking to maximise its revenues, the UK often acts as if it intends to minimise them.

My life has been made easier and more profitable by having a long-term and trusted adviser in Switzerland. Last year that adviser had to phone me to say he was being made redundant after 30 years of service to UBS and this was his last advice: cancel all accounts with UBS and get out of Swiss Francs. I did, and transferred my SF to Laos. Weeks later UBS slapped a large admin-cost on all accounts and the Swiss Franc’s value was deliberately changed. That adviser had helped me a lot, but it is evident to me that he did so because of our long-term trust (and occasional beers after work in Geneva) — I trusted him and that trust was supported by a very strong organisation. All things change. Take an adviser by all means, it should save you money — legally — but look carefully at the adviser, get to know him, and do not equate the individual 100% with the company supporting him.

Comment on Reviewing Your Banking Arrangements by Andrew Wood

Andrew Wood — Wed, 18 Apr 2012 06:05:43 +0000

Hi Robert,

Many thanks for your feedback on this article.

I firmly believe that all us expats need to thoroughly review our banking arrangements annually and probably even more frequently. As you pointed out banks can change their stance on specifics about accounts overnight and then as a customer you could be left with a disadvantageous account which had serviced you well for a number of years. It is sometimes more that the bank actually wishes to deter that type of account in favour of something which is more advantageous to them as a going concern. As “human going concerns” we need to ensure that we are top of things and respond appropriately to these changes so that they work in our favour when possible. I applaud your action in being on top of this, even though UBS advised you of the change.

Thanks again, Regards

Andrew

Comment on Reviewing Your Banking Arrangements by dr robert cooper

dr robert cooper — Tue, 17 Apr 2012 04:46:55 +0000

Wise words Andrew. There are many advantages in having several bank accounts in different countries but also disadvantages. Your advise to review regularly is spot on. I cancelled my UBS account when advised that new UBS policy meant it would cost an enormous amount to maintain a current account with credit card. The account had been free up to that point, with minimum balance, and as a good client of 30 years I did feel a bit let down by what had been a good banking service. But at least UBS let me know and make the choice — other banks might not. Fidelity to a good bank makes sense, but banks, people and life situations change — the good bank in your thirties might be a bad bank for you in your sixties.

People might also be advised to review their accounts in the light of life changes. An extra credit card on your account given to a young bride at the height of love can cause you grief when later in life you find your account not only emptied (legally) but a chap on your doorstep with divorce papers. It’s amazingly easy to forget such things or to think ‘it will never happen to me’. Good advice.