First Samuel Limited

Not many people have the time, inclination and capability to do justice to the investment opportunity presented to them.

First Samuel does.

Having agreed the appropriate structure in which to create and manage your wealth, you need to ensure that you invest wisely.

Succcessful investment depends upon five critical factors. Only First Samuel successfully integrates these factors for you.

1. Individual

We will design an investment program to suit your individual needs. And your portfolio will be managed to meet that individual program. Each portfolio contains an appropriate mix of investments suitable for your long-term goals. Most investments will be directly made: we generally eschew managed funds. At every stage, your unique requirements are considered, even to the extent of excluding particular investments for ethical or other reasons.

2. Long-term

Investing should focus on long-term returns rather than short-term gains from momentary opportunities. This is why we avoid fashionable investment trends and 'hot stocks'. These investment meteors are often spectacular but inevitably crash to earth.

It is far better to invest in understandable, long-term opportunities. The tax is lower (discounted capital gains), the costs are less (lower brokerage) and the results are more certain.

3. After-tax

Tax is by far your biggest investment expense. Because we manage our clients' portfolios on an individual basis and mostly into direct investments we can optimise your tax position. taking advantage of the capital gains tax discount; offsetting losses against gains and maximising franking credits are critical techniques we use to do this. Again, because we avoid managed funds (unless they provide a specialist investment opportunity) we can avoid imbedded capital gains tax; optimise the use of franking credits; can select optimal tax lots to sell and can offset ex-portfolio events. The result is a better after-tax return.

4. After-fees

We measure our performance after all costs, including advisory costs. This ensures that what-you-see is what-you-get. There are no hidden fees or charges.

5. Greater than CPI

We encourage our clients to think of their investment performance relative to inflation (otherwise known as absolute return) because it is the purchasing power of their assets which is ultimately important to their lifestyle.

So it makes sense to have an inflation-based benchmark.

Each clients' benchmark is based on his/her individual needs. Clients with a focus on long term growth often target an investment return of 5% greater than CPI after all fees, costs and tax benefits. Those who wish to take a more conservative approach to investing may have a lower return target of, say 3% pa with regular income being paid out of the portfolio.  

Performance for the period to 30 June 2010

Click here to find out why First Samuel has consistently exceeded clients' objectives