Client Newsletter – November 2020

Following on from our last newsletter, it would be easy for us to provide you with a lengthy market update highlighting the ongoing issues caused by the Pandemic and speculating about what the future may look like for us.  

However, there is still a lot of uncertainty around the globe, and within the UK, that leaves us wondering how economies will withstand the fallout of failing industries such as the hospitality sectors (pubs and restaurants) and the resulting spike of unemployment.

Therefore, as we approach the end of a challenging year, we would rather share with you some positive news.    

Perhaps the biggest story of all is the news of COVID-19 vaccines that could be delivered as early as the end of the year and rolled out in 2020/21.  This news, helped by the US election finally reaching a conclusion, positively impacted on investment markets which have risen sharply in the last few weeks. 

There is still some way to go with lockdowns in place throughout the UK, although we have just heard there will be some relaxation of the rules for Christmas so at least we can look forward to enjoying some time with our families.

Henderson Loggie Financial Planning 20th year Anniversary

This month we had a celebration, albeit a very different one to the one we had imagined.

Our parent company, Henderson Loggie Chartered Accountants was established in 1909 and have a longstanding history providing professional accountancy advice, along with financial planning advice, as part of a comprehensive service to meet our clients’ needs.

In the year 2000 Henderson Loggie Financial Services Limited was formed to provide more specialised financial advice in areas such as pensions, investment and holistic financial planning for individuals and businesses.

I joined the newly formed company on the 1st of November 2000 and as Managing Director, I am proud to have been at the helm, running our business over this 20-year period.   

It’s a difficult job to not only negotiate the ever-changing regulatory waters in which financial planners swim, but to also build a successful team; one that our clients trust and enjoy working with, and I am delighted to be celebrating our 20th anniversary with my colleagues and the clients we have helped over these years.

If you have been a client of our business over the last 20 years, you will have been guided through changing economic and market conditions.  As you will know we have also made several changes over these years, re-branding to Henderson Loggie Financial Planning in 2019, to greater reflect our advice services, and more recently we redesigned a new informative website

We continue to keep you, our clients, as our focus and all that we do is driven to provide the best outcomes for you.

10-year Anniversary of Aberdeen Standard Investments (ASI) Myfolio Range

Our core belief is that we are best suited to help you understand how you can achieve your personal and financial goals and to help you make important financial decisions.  Therefore, we decided to create a centralised investment proposition, which was first launched 9 years ago, allowing us to spend more time on where we believe we can add the most value.

Our core portfolios blend actively managed funds, provided by SEI, with predominantly passive funds, managed by Aberdeen Standard Investments (ASI), using their MyFolio Market range of funds.

The MyFolio range has also reached a significant milestone having just passed its 10 year anniversary.  

Back in September 2010, the demand for cost-effective, risk-managed solutions prompted the launch of the MyFolio suite of funds.  Importantly, these funds allow investors access to multi-asset funds where risk management is just as important as the potential for long term return.

ASI MyFolio funds, through their disciplined application of a tried and tested investment process and strict risk management, have delivered long term returns rewarding you, the investor, for the appropriate level of risk agreed for your needs and circumstances

These funds continue to be a major part of our proposition and have served us well during the most recent stormy markets.   That said, in the last year many portfolios will still have fallen in value with the lowest risk MyFolio fund, for example, down by – 0.20% and the highest risk down by -4.45% (12 months to 31/10/20)

However, investments are for the longer term and if we look back over 10 years to the end of October, even allowing for the turbulent last 12 months, our lowest risk investors would have enjoyed growth of 52.56% in the MyFolio Market I fund. 

For those willing to accept a higher level of risk the return would have been 104.32% in the MyFolio Market V fund.  If you are Medium risk investor your money would have grown by 78.77%. 

Please remember past performance is not a guide to future results and the value of investments can go down as well as up so you may get back less than the amount you invest.

Webinar Announcement

Save the date: Wednesday 16th December 2020 – 10.30am.

The importance of reviewing your finances following the eventful year of 2020.

Our last webinar was a great success when we shared with you our thoughts around the fallout during the initial lockdown earlier in the year. 

Our message to you remains the same.  We continue to focus on providing quality financial advice, and unless your circumstances have changed, our view is that now is not the time to react to current market conditions.

However, we appreciate that for many, a lot will have changed in the last year.  Therefore, we felt it would be useful to hold another webinar, this time focusing on the importance of reviewing your finances.

With the unexpected year that we have had, the knock-on effect of COVID-19 may have impacted your future plans:

  • You may have been considering retiring, but are now wondering if this is still possible or will you have to delay your retirement?
  • Your employment or business may have been affected and redundancy could be a possibility. What impact this will have on your finances and could it mean you can retire early?
  • Due to the impact on investment markets and interest rates, you may be wondering if your plans are still on track to achieve your objectives.

Our webinar will focus on the importance of reviewing your financial position.

We will illustrate how we can help you create a detailed financial plan following an assessment of your current financial situation and using assumptions to forecast (cash flow modelling) your future financial position.  

By doing this we can ensure you have a clearer picture of your finances allowing us to agree and implement meaningful actions to help you reach your personal and financial objectives.

We will shortly send out an invite for you to attend.

Many thanks for reading.

We hope you are all well and staying safe.

Jim Wilson
Managing Director

Henderson Loggie Financial Planning