posted in: Investment Advice
Client case study: Christine and Jono
GETTING THE CONFIDENCE TO INVEST
What should we do with our savings?
When Christine and Jono first came to Montara Wealth, they’d saved well, but they weren’t confident they had saved enough to start investing. And if they had saved enough, they didn’t know where best to invest that money to achieve their goals.
What they knew was that they’d seen their friends getting ahead while Christine and Jono had been sitting on the sidelines trying to work out their investment options.
“We felt we had a lot of money in the bank that was just sitting there and doing nothing,” says Christine. “That propelled us to get professional advice to find out how our money could work for us.”
Taking that first step
After comprehensively researching financial planners, Christine booked an initial consultation with our director David Hancock and Kathleen Astor our senior paraplanner.
Christine says, “We didn’t want to use the big four banks. We wanted to align with a planner who could give us the fairest and more independent advice.”
During their first meeting, they could see that David and Kat understood their motivations and reservations around money.
“We really liked their approach. Dave is incredibly knowledgeable in the market and drew on a lot of personal experience that was similar to our situation. We had a lot of common ground,” says Christine.
Working out where to invest
David, Kat, Christine and Jono gathered around the table for a series of meetings. As David and Kat got to know them, their financial position and their goals in detail, they were able to propose the investment options and show Christine and Jono how they would work. One of the initial steps was gathering the financial data we needed from Christine and Jono to run our financial models. This meant they had some homework to do.
“One of the most eye-opening experiences was having to itemise all of our spending over a month. Understanding that was pivotal to knowing where our money was even going. It was a necessary process and something we wouldn’t have done unless Dave and Kat made us do it. While it was a lot of work, it was only done once and was absolutely necessary to set us up financially in the best way for the rest of our lives,” says Christine.
Working together over six months, we built Christine and Jono’s confidence in their financial position. Their confidence to invest came from:
- knowing their numbers (starting with the most basic incomings vs outgoings)
- seeing through our financial modelling process how various investment scenarios (e.g. investing in property vs investing in shares) were going to play out over the next five to ten years
- understanding how beneficial a proposed investment was for them and that they would be able to stay on top of it
- having a trusted relationship with us. It wasn’t all about the maths, it was also about having the comfort and support through their decision-making process
Through our systematic process, David and the Montara team narrowed down the options to buying a home or investment properties. Christine and Jono chose to buy a home.
A beautiful new home
With the injection of confidence that a solid understanding of their numbers gave them, Christine and Jono started going to auctions in the Inner West of Sydney to buy a home. They checked in with David regularly for negotiation and auction tips.
“Having Montara to check in with felt like we had a little cheer squad — we’ve done the numbers, stick to your guns and go for it,” says Christine.
“We felt the Montara team was really rooting for us throughout the entire process — David was more like a good mate who wanted the best for us, not just a planner. We wouldn’t have bought something as beautiful or as soon as we did without David and Kat’s help. They gave us the confidence, they were really instrumental,” says Christine.