Practice What You Preach - Investment Behaviour

Planning for your financial future will give you peace of mind today. This week, our Expert

Retirement Planning Adviser, Philip Sicat, Premier Financial Services, discusses Investor Behaviour.

Emotions can wreak havoc on an investor’s ability to build long-term wealth. This phenomenon is well illustrated each year when the research company Dalbar Inc. releases its study of investor behavior. .Dalbar found that over the most recent 20-year period, from 1991-2010, the average stock fund returned 9.9% annually, while the average stock fund investor earned only 3.8%.

Great investors throughout history have understood that building long-term wealth requires the ability to control one’s emotions and avoid self-destructive investor behavior.

Why does this happen? Here are some possible explanations.

Regret Theory

Fear of regret, or simply regret theory deals with the emotional reaction people experience after realizing they've made an error in judgment. Faced with the prospect...

Continue Reading...

What are Personal Pension Plans and PRSAs ?

Planning for your financial future will give you peace of mind today. This week, our Expert Retirement Planning Adviser, Denis Murphy, Premier Financial Services, discusses the characteristics of both Personal Pensions and PRSA’s.

Personal Pension Plans
A Personal Pension Plan is a private pension policy that is managed for you by a life assurance company or investment firm. Anyone who is self-employed or who earns an income, but who can’t join an Employer Plan, can start a personal pension plan. Or if you are a member of an Employer Pension but also earn money somewhere else, you may be able to contribute to a personal pension plan.

You have to set up this type of plan yourself, arrange to pay your own contributions and claim tax relief yourself each year.

Personal Retirement Savings Account (PRSA)
A Personal Retirement Savings Account (PRSA) is a type of personal pension policy that is more flexible than the traditional personal pension plan. Anyone up to the age of 75...

Continue Reading...

How would my business survive the Death of my Business Partner?

Planning for your financial future will give you peace of mind today. This week, our Expert Qualified Financial Adviser, Philp Sicat, Premier Financial Services, discusses why protecting your business against the death of a business partner is so important.

How would your business survive if:

  1. One of your key employees or shareholders became seriously ill or died suddenly?
  2. 2. Your business partner died?
  3. 3. You died?

If any of the above questions are a cause for concern then maybe you need business protection.

It won't happen to our company
The odds of one partner in a 2 or 3 man business dying or becoming seriously ill before retirement are probably a lot higher than you might think.

<What's the solution?
Arranging adequate business protection insurance is the only way to ensure that the necessary funds will end up in the right hands at the right time, in a cost efficient manner, to ensure the continuity and the survival of the business.

Keyperson Cover
This allows a...

Continue Reading...

Don't put all your Eggs in one Basket!

Planning for your financial future will give you peace of mind today. This week, our Expert Qualified Financial Advisor, Eoin Liston, Premier Financial Services, discusses diversification in your investments. We have all heard this phrase in some context over our lifetimes. In the context of investments it is used as an analogy for Investment Diversification. Diversification is a technique that aims to reduce Investment risk by allocating investments among various Financial Asset Classes ( Equities, Bonds, Property Cash & alternatives), industries and other categories.

The high price of bad timing.
Research data from DALBAR shows that the decisions investors make about diversification within and across asset classes and trying to time when to get into or out of the market, cause them to generate far lower returns than the overall market.

Why you should diversify?
The goal of diversification is not necessarily to boost performance—it won’t ensure gains or guarantee...

Continue Reading...

8 Good Reasons why I should provide for my Retirement through a Pension

Planning for your financial future will give you peace of mind today. This week, our Expert Retirement Planning Adviser, Denis Murphy, Premier Financial Services, discusses why funding a pension is so important.

1.What will the state pension be in the future?
The State Pension (Contributory) personal full rate for a single person is currently €233.30 per week.

Demographic changes in Ireland, will put pressure on government finances as the cost of state pensions and health care for the elderly increase.

2.State pension age increasing to 68
Legislation is now in place that will increase the age at which the state pension becomes payable in the future to age 68 based on your date of birth.

3.Life expectancy
Life expectancy for those born in Ireland is now 78 years for males and 82 for females. Your retirement savings may
need to last for up to 30 years after you finish working.

4.Income tax relief
Income tax relief is still available on contributions made personally to a pension. This...

Continue Reading...
1 2 3 4 5
Close

50% Complete

Two Step

Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua.