Financial advice: Navra or Whittaker

[doozer]

Forumites,
I was wondering if anyone could assist me in trying to decide who would be a better financial advisor: Whittaker MacNaught or Navra Financial Services? We have 4 IPs so Navra may suit us in that regard however their planners in Qld seem inexperienced in general matters of financial planning. Whittaker MacNaught have an excellent reputation but may be anti-property investment. Can anyone share their personal experiences with either Advisor or their consultants. Many thanks.

 

[MichaelW]

Doozer,

I can't vouch for Whittaker, but I can put a strong vote in for Navra Financial Services. Their approach is much removed from your average financial advisors, and I've been threw a couple over the years. Steve's team is very IP friendly and use an investment structure across the three categories of IPs, shares and cash to ensure maximum leverage whilst mitigating risk of servicing.

Steve runs regular one day courses in Sydney and Brisbane, and at $170 odd its well worth the paltry fee for what you'll get out of it. So, I'd recommend going to his next course and then using that knowledge to make an informed decision.

Cheers,
Michael.

 

[doozer]

Thanks Michael. I have met one of the Navra Consultants and although he seemed very switched on his lack of financial planning qualifications did concern me. Also I'm not sure of their credentials re the whole financial package ie tax, cash accounts, insurance, etc. I know they are good re IPs but I need assistance for the whole lot. Have they been helpful in this regard?

 

[MichaelW]

Doozer,

I'll be getting my full financial plan done with them sometime this month so will let you know for certain after that date.

There is no doubt that Steve's personal speciality is investment structures and particularly his share trading fund. Having said that, his IP knowledge is excellent and he has arrayed a team of experts to cover off all the other stuff like legal structures etc too.

Not sure about the insurance bit, but its something I was going to ask anyway when I got my plan. I have D&PD and Life insurance, but was wondering about income protection and what else?

Given my personal needs they fit the bill very well.

Cheers,
Michael.

 

[luckyone]

Hey Michael,

Out of interest, who did you see when you went to Navra. I met up with Steve Navra and Mark Laszuck (I think that was his surname) last Friday. Thought they were both very professional. I had already been to the course back in March, so was just wanting to see if they could help me with my situation. They have given me a couple of options to think about but just basically said to get rid of my home loan ASAP and then worry about buying more IP's.

 

[MichaelW]

Luckyone,

Yep, that's them, the two main guys in Navra Financial Services. I had met Steve previously and chatted with him on several occassions.

Pretty soon I'll be a full fee paying client so won't have to feel so bad about asking him for detailed advice then!

Very impressed with them so far and they seem completely above board with a proven track record and reasonable fee structure. And I'm a hard marker too!! Steve even hands out his personal business card at the course and means it when he tells you to feel free to call him any time. He loves his work and is passionate about helping people realise the same success that he has.

Cheers,
Michael.

 

[doozer]

Michael,
If you don't mind me asking, what kind of investments did Steve & his offsider advise for you? I met up with a Brisbane adviser the other day who was also very professional, despite the lack of financial qualifications. As mentioned I am looking for a full financial package, maybe more IPs down the track & some margin lending, is this the kinda thing they were advising?

 

[Simon]

Steve recommends property as the main investment vehicle because of the level of gearing available.

He is also keen on shares - especially managed funds.

Whilst he discussed his fund with us on Sat he made a point several times that there were many other funds to choose from.

I got a number of things from Sat and am already making some changes based on some of his ideas. Will be meeting with him again.

Cheers,

 

[Les]

G'day Doozer,

Whittaker MacNaught have an excellent reputation but may be anti-property investment. Can anyone share their personal experiences with either Advisor or their consultants.

In my earlier years in Brisbane (1984), Noel Whittaker actually owned a Real Estate company in Logan city. Then, sometime later, he exitted stage left, and opened Whittaker McNaught. From that time on, he seems to have been somewhat against RE. That would've been late 80's - early 90's - and property in Logan went into a huge slump...... That could've hurt....

His books have some good advice re the basics - e.g. compounding - read "The Money Train" (special section at the back of "Making Money - Made Simple). Of course, he's moved on from there... and is often spotted at various "money expo's". But, yeah, his slant seems to be AWAY from RE, from what I've seen.

A search for Whittaker might provide a bit more - I'm sure he's been discussed a few times.

Regards,

 

[Lplate]

Michael
What is the cost for the consultation?
Any follow-up incl?
LP

 

[thefirstbruce]

I spoke with two people from Whittaker McNaught about 3 months ago. They were young and seemed very inexperienced. I got the impression they did not have a grip on total investment structuring. Rather, they were into woodchips and super.

I haven't had anything to do with Steve Navra, but you might want to check his Navra Funds April performances- http://www.navrainvest.com.au/index.asp?content=commentary

 

[FelicityShagwel]

Did he mention what those other funds were?

Steve recommends property as the main investment vehicle because of the level of gearing available.

He is also keen on shares - especially managed funds.

Whilst he discussed his fund with us on Sat he made a point several times that there were many other funds to choose from.

I got a number of things from Sat and am already making some changes based on some of his ideas. Will be meeting with him again.

Cheers,

 

[Simon]

No - but then the discussion didn't go that way. I think he was meaning that his fund wasn't the only option should you feel a managed fund be a part of your portfolio.

I did like his fund tho.

Cheers,

 

[Glebe]

It should be worth noting that should you wish Steve Navra to be your financial advisor and you have more than $250 000 to invest in his Australian fund, you can only enter the retail fund not the wholesale fund. This is because as your advisor he is entitled to commission on the entry fees. This took me by surprise.

 

[doozer]

When I say that Noel Whittaker may be anti-property investment I don't mean to single him out as I think quite a lot of financial planners are in the same boat given that they rarely get paid any sort of remuneration for advising to buy IPs. Having said that any good financial planner should be advocating diversification but tailoring the plan to the client's preferences, in my case property as a vehicle for wealth creation and other asset classes to spread the risk (& perhaps generate more income through something like the Navra fund).

I was hoping someone out there has had a financial plan drawn up from either Navra or Whittaker MacNaught & is willing to share their progress etc..

 

[Simon]

When I say that Noel Whittaker may be anti-property investment I don't mean to single him out as I think quite a lot of financial planners are in the same boat given that they rarely get paid any sort of remuneration for advising to buy IPs. Having said that any good financial planner should be advocating diversification but tailoring the plan to the client's preferences, in my case property as a vehicle for wealth creation and other asset classes to spread the risk (& perhaps generate more income through something like the Navra fund).

I was hoping someone out there has had a financial plan drawn up from either Navra or Whittaker MacNaught & is willing to share their progress etc..

I can honestly say that I have never heard of a Financial Planner as pro property as Steve is. Except for a dodgy pair who were really Qld property marketers and only recommended their own stock.

As far as advisor comissions go most advisors can sell his fund and can charge up to 4.4% fees. Steve charges 2.2% or less depending on the amount and the relationship.

Cheers,

 

[MichaelW]

It should be worth noting that should you wish Steve Navra to be your financial advisor and you have more than $250 000 to invest in his Australian fund, you can only enter the retail fund not the wholesale fund. This is because as your advisor he is entitled to commission on the entry fees. This took me by surprise.

Glebe,

Thanks for the heads up. The people at Navra just called me and I've booked to see Steve in person for my initial consultation next Tuesday the 24th May. I'll be able to post a lot more detail after that session.

Looking forward to it but with eyes open.

Cheers,
Michael.

 

[Rolf Latham]

Hiya

The whole direct property thing with financial planners has more to do with the ability to research the asset/investment properly than with comms.

While they can do that with reasonable comfort with a largeish new development, its near impossible to do with an established place - at that point your Planner almost becomes a buyers againt.

May also have something to with the fact that to become PS146 compliant the amount of the course dedicated to direct property would be ONE % or less, and its an asset class generally shied away from even by experienced planners simply because they dont know what it can or cant do.

The comms from a RE sale at normal levels in a new development are OKs so I cant see that affecting recommendations - lack of saleable/decent stock may be though.

Ta

rolf

 

[grubar30]

When I say that Noel Whittaker may be anti-property investment I don't mean to single him out as I think quite a lot of financial planners are in the same boat given that they rarely get paid any sort of remuneration for advising to buy IPs

And to think they had our best interests at heart.

 

[thefirstbruce]

Michael, I'll be interested to hear what Steve has to say to you in your meeting.

Below is a quote from his website explaining in part his fund strategy.
Considering the S&P/ASX200 fell 3.08% in April, but Steve's funds fell 5.00 and 5.21%, I'd be interested to know what his long term expectations are for its performance. It seems hedging and stop losses aren't used.

It should also be noted that if you had delayed entry into his Fund from early April to May, you'd still have all your capital, rather then being down 5%.

I am not saying this because I am anti Steve persona. On the contrary, Steve made some great posts here earlier. However, I think personality worship has to be replaced with objective analysis at some point. I had seriously considered taking out a margin loan to invest in Steve's fund back in march. I would be spitting chips today if I had carried through with that and had lost 5% of my hard earnt mulah. I suppose at the end of the day, the take home message for managed funds is that, as for direct equities and property, timing is important, especially when trying to catch falling knives!!!





Fund Performance

The volatility in the Australian equity market presented us with buying opportunities. The NavTraDE system buy shares as share prices depreciate. Our cash holding at the end of April was 0.6% as we have taken the opportunity to buy shares at favourable prices. The actual returns in April for the Retail and Wholesale funds were -5.00% and -5.21% respectively compared to -3.08% return of the S&P/ASX200.

The NavTraDE system takes advantage of irrational investor behaviour to buy quality companies as their share prices are falling and to sell them as they are rising. Consequently, the system can realize capital gains from dealing in shares with volatile price movements, irrespective of the net price movement from the beginning to the end of the period. It takes time for shares to move through price cycles and therefore for the potential of the NavTraDE system to be fully realized.