Tuesday, January 5, 2010

'Personal' Financial Review of 2009


* Brendan Investments - Pan-European Property Plc. Fund - Small investment in December 2007 - Very happy with it's progress, relative to its peers, and the management are doing a very good job. It is a fund that I would expect to do very well.
* Switched an under-performing pension fund from one provider to another as part of a re-balancing of asset allocation. Increase in value of 35% since February 2009 through a combination of investments in Earth Resources, European Equity, Asia Pacific Equity and Gold Funds.
* Took a 50% stake in 3 small commercial property units in 2006, near Helsinki Airport, and all units continue to be occupied, so I am happy about that.
* Had no exposure to Irish Banks Shares.


* A fairly hefty reduction in my income level, but this was expected due to the changes in my business model and recessionary factors.
* Nominal value of 50% share in apartment in Tenerife (purchased in 2000) is obviously down but I have no intention of putting it on the market anytime soon, as family and friends make good use of it.
* Had to dip into savings but was fortunate enough to put something by for the 'rainy days/years'. "Without savings, there is no future."
* The amount of judgements against Banks etc., highlighted in the Financial Services Ombudsman's Reports, for misselling financial products.
* The 'fall off a cliff' service levels from some Life & Pension providers.

Outlook 2010

* Clients will continue to regularly invest in a well diversified portfolios of low-cost unit linked funds, both managed and index-tracking. Personally, will not be making any investments in property but I would not deter clients from investing in some sort of diversified 'liquid' global property funds.
* Continue to offer value to my customers by relying on a fraction of income that other need to operate profitably.
* Funds I like - GARS and Global REIT from Standard Life. Diversified Asset, Earth Resources and Cautiously Managed from Zurich. But, you should buy these from a Discount Broker, so as to reduce costs.





Charco said...

Have you invested personally in Brendan Investments?I am amazed to hear that this investment is doing well and are commending the management. I may be wrong, but if this is the same fund being headed by eddie hobbs and his pals, the last I read they were taking a huge amount of management fees and had invested very little of the cash. While it is natural they did they did not want to buy property while prices were dropping; if my memory serves me, they took huge management fees for effectively sitting on the cash in 2008. If you read the Phoenix they were quite scathing in their criticism of the fund, unfortunately can't link to it online

Gerard said...

Hi Charco,

Yes I have, albeit in a small way. I made my decision based on a pre-launch presentation that I attended and was happy to invest as part of a diversified portfolio of investments.

Your information would appear to be based on media assumptions/interpretations. I doubt that they are getting their information directly from the principals involved.

My personal investment decisions are made after examining all the information available; including the ability and trustwortiness of management teams.