At LUNA we believe that trust, fairness, transparency, and excellent value for money is key to a long and happy relationship with us.
Step One – Free Initial Consultation
One of our experienced advisers will contact you to arrange a home visit at a time convenient to you. You don’t have to come to our offices if you don’t want to, we are more than happy to come to you. Your initial consultation can include evenings if this is your preference. We will work around your schedule to make things as easy as possible.
If Covid-19 prevents us from making face to face appointments we offer Zoom video calls as an alternative.
At our initial meeting we will take time to really listen to what your short and long terms goals are. We will discuss any existing pension, investment and protection plans you may have as well as discussing your income, expenditure, and your attitude to investment risk. This initial meeting is completely FREE and confidential and it will help us create a picture of what your current and future needs may be.
Step Two – Research
Depending on what type of advice and /or recommendations we will make, we may need to contact some of your existing plan providers in order to understand exactly what you already have. This is an important part of our process as it allows us to determine whether your existing policies are still suitable for your needs, and most importantly if you have any underlying benefits attached to these plans that would be valuable to you in the future. We will ask you to sign a letter of authority in order for us to contact your existing providers (if there are any) to request this detailed information.
If you have any existing plans, when we have all of the information required from the policy providers, our Paraplanners and Advisers will carry out thorough analysis of each policy which will include (but not limited to) fund performance, plan or fund costs and charges, how ethical / socially responsible your existing funds are and most importantly are they still suitable for your needs. The time scale for this will vary depending on how quickly your existing plan providers will provide us with the information we need. We will keep you informed of this process via email.
Step Three – Preparing a bespoke Financial Planning report
When our analysis of your existing plan(s) (if there are any) is complete and we have a clear plan of what our advice to you will be, we will create a bespoke financial planning recommendation report for you to read and keep. Our reports are extremely comprehensive and detailed by necessity. They will details all product costs, risks, and tax implications. We will discuss our report with you to make sure you understand our recommendations and you have a clear idea of what the next steps are. When you have finished reading our report(s) you will understand.
- What is being recommended to you
- Why it is being recommended to you
- How does this work for you
- What the investment and other risks involved are
- What the pension, investment or protection costs and charges are.
Your report will also include a comprehensive cash forecast as standard. Unlike other firms, we do not charge separately for the Cash Flow Forecasts which are formulated as part of our full advice process. We believe that cash flow reporting should be an integral part of our advice process.
Our Guarantee to you
As part of our fairness and transparency values the first page of your report will detail our fees which are disclosed in both percentage and monetary terms. When you decide to become a client of LUNA Financial Planning, we guarantee to always provide you with our award winning, exceptionally high value client service which will always be excellent value for money. You only need to take a look at our client reviews on our website to see what our existing clients say about us.
You will only ever pay an initial advice fee once you are 100% happy and agree for us to implement our recommended solutions.
Step Four – Implementation
When we have discussed our recommendations with you in details and you are happy to proceed with our advice our excellent administration team will arrange and complete all necessary paperwork for you. You won’t need to contact providers, cancel plans etc because we will do EVERYTHING on your behalf. When your new plan(s) / policies are implemented, we will send any new documents to you for your safekeeping.
Step Five – Review
As we all know, change is constant and inevitable in all our lives so making sure that we are reviewing and checking our protection, pensions, and investment needs / plans is crucial in order to make sure we remain on track to achieving our goals.
Our clients will always have a face to face annual review with us to review and discuss the following:
- An assessment and review of investment performance and markets as well as a wider economic review.
- A review of interest rates, withdrawal rates, annuity rate movements and any other issues when relevant.
- A summary of the impact of any legislative or statutory changes that might impact on their objectives.
- A review of their attitude to risk and volatility; linked to the performance of their investments to ensure continued appropriateness. This will help to ensure that their risk tolerance continues to match their investment fund and style being used.
- An update of their financial and personal situation, needs, circumstances and objectives. These changes are important to factor into the ongoing advice we provide you with.
- Our discussions and any recommended changes will be explained to them in a follow up review letter.
We may also contact you at times other than those specified at the outset, for example. to draw your attention to investment matters or provide an update on current markets,
Our Fees are calculated according to the size of the transaction, as set out below:-
Initial Advice Fees
When our work involves investing a lump sum of money, our typical initial fees are:
- 3% on first £100,000
- 2% on the next £100,000 and
- 1% on any balance
For example, a £250,000 investment would be a total fee of £5,500 (calculated as £3,000 + £2,000 + £500).
Our typical charge is 3% of the sum invested, which for an investment of:
- £75,000 would be £2,250 and for
- £100,000 would be £3,000
As there is a large amount of work involved with even relatively small sums invested, the percentage is typically higher for smaller investments, such as with an ISA.
The above fees are subject to a minimum initial advice fee of £600.00
How are fees paid?
Initial and ongoing advice fees are normally paid directly from the pension or investments we have arranged for you. For pensions, the fee is normally deduced from your pension pot and then paid to us. You can also choose to pay us directly from your bank account if you prefer.
Ongoing Advice Fees
|LUNA Ongoing Service (Includes All Assets under Management) Ongoing Fee 0.8% of FuM||A comprehensive service aimed at initial analysis, recommendation, and implementation in line with a client’s immediate and ongoing needs. With ongoing reviews and recommendations, this is a service to adapt to a client’s changing needs and circumstances. Our offering includes an annual face to face review and opportunities to ensure clients are kept informed of performance, and plans maintained in line with client’s circumstances and objectives. This may well include consultations with other specialist advisers. This is charged on investments up to £400,000|
|Ongoing Fee 0.7% of FuM||Our offering includes an annual face to face review and opportunities to ensure clients are kept informed of performance, and plans maintained in line with client’s circumstances and objectives. This may well include consultations with other specialist advisers. This is charged on investments above £400,000|
*Vat is not charged on our regular advice service