Investments
At RMBlack we are excited to focus on direct share investing.
Our extensive experience has shown that direct share investing can deliver far greater flexibility and performance over the longer term than unlisted Managed Funds. By recommending specific investments and businesses, we are able to personalise each client’s portfolio to meet their individual requirements.
We look to invest in thoroughly researched and considered investments that we deem to be “high quality”. Our focus is portfolio management and we rarely recommend speculative investments within clients’ portfolios. Additionally, we do not actively seek to raise capital for companies to ensure that we are not conflicted in our recommendations.
When we look at building your investment portfolio, we recommend targeting a diversified portfolio focussed of high quality businesses. We offer a wide range of exposures to broad asset classes such as traditional Australian Equities, Listed Property, Term Deposits and Cash. When incorporating International exposure, we tend to recommend ASX listed Exchange Traded Funds (ETF) and proven Listed Investment Companies (LICs).
Finally, we are Wealth Managers not Stockbrokers. RMBlack’s Wealth Management approach is to deliver a dynamic portfolio service rather than an ad-hoc collection of investments. We recognise that investments must be considered in the context of each individual financial situation and personality.
At RMBlack we look to actively manage your portfolio in relation to your personal needs and goals. We will align your portfolio to our ongoing assessment of your holdings to ensure that you maintain the best chance of achieving your investment goals.
Our investment philosophy has also been to focus on ‘total return’, not just dividend yield. We recognise that cashflow and liquidity can be vital aspects of an investment portfolio but stress the importance of considering all investment characteristics with appropriate weighting. While dividends can be an important element of shareholder returns, simply focusing on dividend as a determining factor in the selection of an investment has historically led to net underperformance from a total return investment perspective.
In maintaining a total return focus, accepting lower levels of dividend yield has typically been a necessary trade-off in targeting the best businesses possible. Client goals relating to cashflow are not compromised where strong capital performance is combined with a focus on liquidity and capital security. Cash and fixed interest investments can form an important component of portfolios to achieve this.
For further convenience, we provide comprehensive reporting and administration of your portfolio. We will administer your portfolio in regard to ongoing Corporate Actions that may occur from time to time. Additionally we will collect and account for all dividends, including franking credits. At years’ end we will supply you with a detailed Tax Report to assist you and your accountant in lodging your annual returns.
Our financial planning process
Step 1. Getting to know each other
We focus on your current situation and financial goals. During this step we will ask a lot of questions, so we can start building our understanding of your situation, but we welcome your questions too.
Step 2. Data collection
In order to fully understand your situation, so we can provide meaningful tailored advice, we will generally need further details.
Step 3. Assessing options and potential issues
Once we understand your financial position, goals and objectives we can identify your relevant options, and any potential obstacles.
Step 4. Your financial plan
A written document detailing our recommendations for your consideration is created for your your long term financial plan.
Step 5. Implementation, and ongoing service
We implement your financial plan and continue to monitor and grow your wealth.