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Dear John and Jane,

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I hope this message finds you well. I wanted to follow up on our recent discussions and outline the next steps for both of us to progress towards your financial goals.

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Key points from our discussion:

• We reviewed your investment portfolio, which has returned about 6.25% this year, aligning well with your balanced investor profile.Your superannuation balances are in good standing, with a strategy discussed to potentially mitigate tax liabilities through a washout strategy.
• We addressed your monthly cash flow needs of $7,000, plus an additional $1,000 from the TVA, to cover your living expenses, and the importance of maintaining a $30,000 float for emergencies.
• The next steps involve both advisor and client actions to ensure the continued success of your financial plan.

Action items for you:

• Please sign the risk profile document and return it to us as soon as possible.
• Inquire about the Binding Death Benefit Nominations for your SMSF and ensure they are in place.

Action items for me:

• I will obtain the latest financials from John and prepare a Statement of Advice document that incorporates your new investment strategy.
• I'll adjust your accounts as necessary and research a suitable strategy for your super to avoid potential tax liabilities
• Once we've actioned the above, I will update your financial plan and send it via email for your review.

As always, it is a pleasure to assist you with your financial planning. Please feel free to reach out if you have any questions or need further clarification on any of the points above.

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Warm regards,

Richard Lee

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Client's Financial Goals and Objectives (0:00:00-0:03:00):

• The Smith family aims to maintain a sustainable income for long-term goals, including traveling to New York.
• Discussion on the maintenance or renovation needs for their 70-year-old house.
• Portfolio returned about 6.25% this year, aligning with their balanced investor profile

Investment Strategy and Performance (0:03:00-0:06:00):

• Confirmation of a balanced investment strategy with a 30% allocation in cash and defensive assets, and 70% in growth assets.
• Portfolio performance was solid, returning about 6.25%.

Retirement and Tax Planning (0:06:00-0:09:00):

• John's superannuation taxable balance is under $400,000; Jane's is $54,000.
• A washout strategy for the super to mitigate potential tax liabilities was suggested

Cashflow Needs and Living Expenses (0:09:00-0:12:00):

• Monthly cash flow requirement of $7,000, plus an additional $1,000 from the TVA.
• Importance of maintaining a $30,000 float for emergencies discussed
• Client draws a 6% pension, which will increase when they turn 80 in September
• Examination of pension payments, verifying the client is drawing the correct amoun
• Review of bank accounts and term deposits, with an upcoming term deposit of $275k maturing in four months

Estate Planning Considerations (0:12:00-0:15:00):

• The Smiths' intention to put their two houses in their children's names discussed, considering tax and inheritance laws
• Mentioned the challenges in the current market for children trying to enter the housing market, reflecting on different economic conditions compared to the past

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Full Transcript

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Speaker 1 (0:00:00 - 0:00:05): Welcome, John and Jane. It's great to see both of you again for our annual review. How have you been?

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Speaker 2 (0:00:05 - 0:00:10): Thanks, Richard. We've been well. Excited to see how our portfolio has been doing and discuss our plans.

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Speaker 3  (0:00:10 - 0:00:15): Yes, and we have some new goals we'd like to explore today.

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Speaker 1  (0:00:15 - 0:00:20): Absolutely, let's dive in. First, your portfolio returned about 6.25% this year, aligning with your balanced investor profile.

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Speaker 2  (0:00:20 - 0:00:25): That's reassuring. What about our superannuation balances?

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[... Transcript continues with key sections as outlined in the recap ...]

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Speaker 3  (0:18:00 - 0:18:05): Thank you, Richard. We appreciate your guidance.

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Speaker 1  (0:18:05 - 0:18:10): My pleasure. Let's set a date for our next meeting to review the performance of these strategies and discuss any adjustments.