*** WELCOME TO RJ WEALTH MANAGEMENT ***       --- PEP ALLOWANCE: Don't waste your 1997/98 annual allowance of GBP6,000 -- act NOW! ---       *** NEW: TESSA top-up service now available -- ask us for details ***       --- Unit trust special report available FREE -- see below ---       *** Gordon Brown's first Budget -- what does it mean for YOUR savings? Read our analysis! ***      

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|          M A N A G E M E N T                                  |
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RJ WEALTH MANAGEMENT
Independent Financial Planning for Your Future

Established 1991  |  Serving Clients Across the United Kingdom

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About Us PEPs TESSAs Pensions Budget News Links

   IMPORTANT: Investments can go down as well as up. Past performance is no guarantee of future results.   

Welcome to Our Web Site!

Hello and a very warm welcome to the RJ Wealth Management web site! We are absolutely thrilled to be on the Internet at last. This really is the future of financial information and we hope you find our pages useful and informative.

This site is still growing (aren't they all!) but we have tried to pack in as much useful information as we possibly can. Please do bookmark this page and come back regularly -- we are adding new content all the time.

We have been helping individuals, families and business owners plan their financial futures since 1991. We believe that good financial planning is not just for the very wealthy -- whether you have GBP50 a month spare or GBP50,000 to invest, we can help you make the most of it.

Why choose an independent adviser? Unlike the tied advisers you will find in your high street bank or building society, we are able to look at products from across the entire market to find the very best deal for you. We are not obliged to push one company's products -- our only loyalty is to our clients.


About RJ Wealth Management
Our Philosophy

We believe in plain English. Financial planning can seem horribly complicated, with jargon flying about everywhere. Our job is to sit down with you, understand your situation and your goals, and then explain your options in straightforward language that actually makes sense.

We have seen too many people sold complicated products they did not understand and did not need. That is not the RJ way.

Every client receives a written report setting out our recommendations and the reasons behind them. You are always in control.

Our Services at a Glance

Service From
Initial consultation FREE
PEP review & advice No fee*
TESSA advice No fee*
Pension planning No fee*
Full financial review GBP150
Mortgage advice No fee*

* We receive commission from product providers. Details available on request.

Personal Equity Plans (PEPs)
*** TIME IS RUNNING OUT! Use your 1997/98 PEP allowance before 5th April 1998! ***

PEPs remain one of the very best ways to shelter your investments from the taxman. Any growth and any income within a PEP is completely free of UK income tax and capital gains tax -- and you do not even have to declare it on your tax return. What could be simpler?

The 1997/98 PEP Allowances

Type Annual Allowance
General PEP GBP6,000
Single Company PEP GBP3,000
Total per person GBP9,000
Per couple GBP18,000
Popular PEP Funds We Recommend

We have access to PEPs from all major fund managers. Some of the most popular with our clients this year have been:

UK Growth:
 - Fidelity Special Situations
 - M&G Recovery Fund
 - Perpetual High Income

International:
 - Henderson European
 - Gartmore American Growth

Income-focused:
 - Invesco Income
 - Jupiter Income

Did you know? If you and your partner have been investing the maximum PEP allowance every year since PEPs were introduced in 1987, you could between you have sheltered over GBP100,000 from the taxman -- and that pot is growing entirely tax-free! It is never too late to start.

What about the Government's new "ISA" proposal? You may have read speculation in the press about Chancellor Gordon Brown replacing PEPs with a new "Individual Savings Account" from 1999. We are keeping a very close eye on developments. Whatever happens, existing PEPs will be protected -- but it is important to use your current allowances while you can! We will update this page as soon as we have firm information.


TESSAs -- Tax-Exempt Special Savings Accounts

A TESSA is a deposit-based savings account where all the interest is completely free of tax, provided you leave your capital in the account for five years. They are offered by banks and building societies, and they are one of the safest tax-efficient savings vehicles available.

TESSA Facts

TESSA Allowances
Year 1 maximum deposit GBP3,000
Years 2-4 maximum per year GBP1,800
Year 5 maximum deposit GBP600
Total maximum over 5 years GBP9,000

TESSA Top-Ups: If your first TESSA has recently matured, you can roll the capital (not the interest) into a new "Follow-On TESSA" at any bank or building society. We can help you find the very best rate available -- rates vary enormously between providers, so it pays to shop around!
Current TESSA Rates (correct as of November 1997 -- verify with provider)

Provider Rate (gross)
National Savings Bank 7.10%
Halifax 6.85%
Nationwide 6.75%
Abbey National 6.60%
Barclays 6.15%

Rates change frequently. Ask us to run a full market comparison for you at no charge.

Pension Planning
"The best time to start saving for retirement was 20 years ago. The second best time is today."

Pension planning is probably the single most important financial decision most people will ever make -- and yet it is also the one that is most often put off. We understand. Retirement seems a long way away. But the mathematics of compound growth mean that every year you delay costs you dearly in the long run.

Types of Pension We Advise On

Personal Pensions
Ideal if you are self-employed or your employer does not offer a company scheme. You get full tax relief on contributions at your highest marginal rate -- a GBP1,000 contribution costs a basic rate taxpayer only GBP760.

Executive Pension Plans (EPPs)
For directors and senior employees. Can allow very substantial contributions, particularly for those who started pension saving late. We have considerable expertise in this area.

Section 32 Buy-Out Policies
If you have left a company pension scheme, a Section 32 policy can preserve your guaranteed minimum pension while potentially offering better overall investment performance.

Additional Voluntary Contributions (AVCs)
Already in a company scheme? AVCs can top up your eventual pension, and you get full tax relief on every pound you pay in.

Free-Standing AVCs (FSAVCs)
Similar to AVCs but you choose the provider independently of your employer, giving you much greater investment choice and flexibility.
The Power of Starting Early
(Illustrative figures only -- for guidance purposes)

Start Age Monthly cost Pot at 65*
25 GBP100 GBP198,000
35 GBP100 GBP98,000
45 GBP100 GBP42,000
55 GBP100 GBP14,000

* Projected at 9% pa growth. Values are not guaranteed and are for illustration only. Inflation will reduce the purchasing power of any sum. Past performance of investments is not a guide to the future.

The state pension in 1997 is just GBP62.45 per week. That is GBP3,247 per year. Is that really enough to live on?

FREE Pension Health Check! Not sure if your existing pension is performing? Bring your policy documents along to a no-obligation meeting and we will review the fund performance, charges, and projected benefits -- completely free of charge. Many of our clients have been pleasantly surprised -- and some have been very glad they came to see us!

Budget Special: July 1997
What Gordon Brown's first Budget means for your savings and investments

Gordon Brown's first Budget as Chancellor of the Exchequer on 2nd July 1997 contained some significant changes that will affect investors and savers. Here is our plain-English summary of the key points:

Advance Corporation Tax Abolished

This is the BIG one for pension funds and PEP investors. From April 1999, pension funds and PEPs will no longer be able to reclaim the dividend tax credits on UK shares. This reduces the effective yield on equity investments held in these wrappers.

Our view: This is unwelcome news, but it does not change the fundamental case for PEPs and pensions. The tax advantages remain very significant. However, it may be worth reconsidering whether income-focused equity funds still make sense inside a PEP for some clients.

 
Windfall Tax on Utilities

A one-off windfall tax on privatised utilities raised GBP5.2 billion. If you hold privatised utilities shares (British Gas, BT, water companies etc.) you will have seen some movement in share prices around the Budget.

Our view: This should not significantly affect the long-term investment case for well-run utility businesses. However, if your portfolio is heavily concentrated in this sector, we would be happy to review your diversification.

New ISA Confirmed for 1999

The Chancellor confirmed that a new Individual Savings Account (ISA) will replace PEPs and TESSAs from April 1999. Annual subscription limits are expected to be GBP5,000 (with GBP1,000 in cash) rising to GBP7,000 for the first year.

Our view: Full details are still to be confirmed, but this does not diminish the urgent need to maximise your PEP and TESSA allowances between now and April 1999. Existing PEPs will be "grandfathered" -- you will keep the tax shelter on money already invested.

 
Mortgage Interest Relief (MIRAS)

MIRAS (Mortgage Interest Relief at Source) is being reduced from 15% to 10% from April 1998. This will slightly increase the net cost of a standard repayment or interest-only mortgage.

Our view: If you are considering remortgaging or taking out a new mortgage, this makes it slightly more important to secure a competitive interest rate. We offer whole-of-market mortgage advice -- do come and see us.


** FREE REPORT AVAILABLE **
"The Intelligent Investor's Guide to PEPs and Unit Trusts"
Our 12-page illustrated report covers: how PEPs work, choosing the right fund, understanding charges, when to switch funds, and much more. Written in plain English, not financial jargon.

To receive your free copy, please use the form at our visitor page or simply pop into one of our offices.

This report is for information only and does not constitute personal financial advice.

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These pages are coming soon -- please check back regularly!

Coming Soon Expected
Online pension calculator January 1998
Unit trust price checker February 1998
Mortgage repayment calculator February 1998
Client secure document area Spring 1998
Online newsletter archive Spring 1998

Useful Links
Sites we have found useful -- we cannot vouch for their content!
Financial Information

This Is Money
Personal finance news and tables from the Daily Mail group. Very useful for comparing savings rates.

MoneyWorld
Excellent independent financial information site. Unit trust prices, mortgage comparisons, the lot.

Bloomberg UK
Live stock market prices and financial news. Warning: can become addictive.

Hemscott
Company information and share prices for UK-listed companies. Ideal for researching individual shares before investing.

Interactive Investor International
Discussion boards and price information. Worth a look.
Government & Official

Open Government
Official UK government information portal. A bit slow but improving.

HM Customs & Excise
Tax information. Not exactly exciting reading but sometimes necessary.

Inland Revenue
Self-assessment forms and guidance. They have actually made rather a decent go of this web thing.

General Interest

Financial Times
Not cheap to subscribe online but the free sections are very good.

Yahoo! UK
The best search engine for finding financial information on the web.

Our Visitor Page & Guestbook

We would love to hear from you! Please sign our guestbook and let us know what you thought of this site, whether our information was useful, and what topics you would like to see covered in the future.

We read every entry and use your suggestions to improve these pages.


--> Click here to sign our guestbook <--

We have had 47 guestbook entries since we launched in September 1997. Thank you to everyone who has written in!

What Our Clients Say
"I had been putting off sorting out my pension for years. After one meeting I understood exactly what I needed to do and why. Could not recommend more highly."
-- Client from Cheshire, October 1997




"Found our first meeting very helpful. Came in expecting jargon and left with a clear action plan. Already acting on the PEP advice -- wish we had done this years ago."
-- Client from Yorkshire, August 1997




"We had quite a complicated situation -- two pensions each, some shares from privatisations, and a maturing endowment. They sorted it all out brilliantly and found us a much better TESSA than we had with our bank. Very pleased."
-- Client from Hampshire, September 1997

   -=[ RJ WEALTH MANAGEMENT ]=-    Independent Advice    PEPs    TESSAs    Pensions    Investments    Mortgages    -=[ EST. 1991 ]=-   

RJ Wealth Management
Independent Financial Planning


Last updated: 14th November 1997  |  Maintained by Chris

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Investments can go down as well as up. Your home may be repossessed if you do not keep up repayments on a mortgage or loan secured on it. The value of tax reliefs depends on individual circumstances and tax law may change. This site is for information only and does not constitute personal financial advice.




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