In the last part of a three-part series, Mike Mulhern, wealth director at Westminster Asset Management, talks to JEP Business about the questions affluent Islanders should be asking as they approach, enter or live through retirement
What role should professional advice play?
A good adviser should do much more than recommend products.
The value is in helping clients answer the big questions: When can I retire? How much can I safely spend? Am I taking the right amount of risk? What happens if markets fall? What if I live longer than expected? Can I afford to help my children? What legacy can I leave?
That involves pensions, investments, cashflow, tax considerations, family circumstances and behaviour.
It also involves ongoing review. Retirement is not a one-off event. Circumstances change. Markets change. Health changes. Family priorities change. The plan has to evolve.
Westminster talks about integrated wealth management. What does that mean?
Traditionally, a client might have a financial adviser providing advice, a separate platform or custodian holding the assets, and separate fund managers managing the investments. Each layer can add complexity and cost.
At Westminster, we bring those elements together. Our service combines financial advice, discretionary investment management and custody or platform administration within a single relationship and a single fee structure.
For clients with larger pension and investment portfolios, that can be very valuable. It means fewer moving parts, clearer accountability and often very significant cost savings.
Just as importantly, it means the advice and investment management are joined up. The portfolio is not sitting in isolation. It is being managed in the context of the client’s retirement income needs, objectives, risk appetite and family goals.
Why do fees matter so much for larger portfolios?
Because fees compound just like returns compound.
A small percentage difference in annual costs may not sound dramatic, but over ten, 20 or 30 years it can make a very large difference, particularly for clients with sizeable pension or investment assets.
Every pound paid in unnecessary fees is a pound that is not invested for the client’s benefit.
Cost should never be the only consideration. Service, investment quality and advice matter enormously. But if a client can receive advice, investment management and custody through one transparent structure rather than paying multiple layers of cost, that can materially improve long-term outcomes.
For wealthy investors, cost efficiency is not about cutting corners. It is about ensuring more of their money keeps working for them.
Who is Westminster’s service particularly suited to?
We tend to work especially well with high-earning professionals, business owners, families and retirees who have accumulated meaningful pension and investment assets and want a more personal, investment-led service.
They may have outgrown off-the-shelf solutions. They may have multiple pensions that need consolidating. They may be approaching retirement and want a proper plan. Or they may already be retired and want a disciplined income strategy that balances spending, preservation and legacy. What they usually have in common is that they want clarity. They want to know their wealth is structured properly, invested intelligently, reviewed regularly and managed cost-effectively.
What should readers do first if they are unsure whether they are on track?
Start by reviewing what you already have. List your pensions, investment portfolios, savings and other retirement assets.
Understand what income you may receive from other sources. Then think carefully about your expected spending in retirement.
But the most important step is to define your objectives. Ask yourself: What do I want my wealth to achieve? Is the priority income, capital preservation, growth, family support, legacy or a combination of those?
Once you know the objective, you can assess whether your current arrangements are suitable.
Many people discover that their pensions and investments were set up years ago and no longer reflect their life today. That is when a proper review becomes valuable.
Finally, what is the one question successful Islanders should ask themselves?
I would ask: “Have I clearly defined what I want my wealth to achieve for me, my family and future generations?”
If the answer is yes, the next question is whether your pensions, investments and advice arrangements are genuinely aligned to that objective.
If the answer is no, then retirement planning should start there.
Because retirement is not simply about stopping work. It is about ensuring the wealth you have spent a lifetime building delivers the lifestyle, confidence, security and legacy that matter most to you.
- If you missed either of the previous parts of this series, visit jerseyeveningpost.com/business to catch up.
Important note
This article is for general information only and should not be interpreted as personal investment advice. The value of investments and the income from them can fall as well as rise, and investors may get back less than they invest. The suitability of any investment or financial planning strategy will depend on an individual’s circumstances and objectives. Readers should seek professional advice before making financial decisions. Westminster Asset Management is a trading name of Westminster Capital Limited. Westminster Capital Limited is regulated by the Jersey Financial Services Commission.
About Westminster Asset Management
Westminster Asset Management is a Jersey-based independent wealth manager providing financial advice, discretionary investment management and custody/platform services through an integrated wealth management service.
The firm works with high-net-worth individuals, high-earning professionals, families, fiduciaries and retirees, helping clients align their investments with their personal objectives from sustainable retirement income and inflation protection to capital preservation, family support and legacy planning.
W: westminsteram.com
E: info@westminsteram.com
T: 01534 616818
