Get 20% Off + $20 Signup Bonus ! Limited Time, Hurry !
Get 20% Off + $20 Signup Bonus ! Limited Time, Hurry !
Securing Higher Grades Costing Your Pocket? Book Your Assignment at The Lowest Price Now!
loader
Add File

Error goes here

Files Missing!

Please upload all relevant files for quick & complete assistance.

Stuck on Your Question?

Get 24x7 live help from our Top Tutors. All subjects covered.

loader
250 words

Error goes here

Files Missing!

Please upload all relevant files for quick & complete assistance.

Students Who Viewed This Also Studied

3 Pages
MBA 733 Financial and Managerial Accounting

Question Title: Segment disclosures are widely regarded as some of the most useful disclosures in financial reports because of the extent to which they disaggregate financial information into meani ...

Course

MBA733

Type

Home Work

Subject

Finance

University

Modern College of Business and Science

3 Pages
Business Management

FIN200 Assignment, Trimester 1 2017 Questions A. What are the important factors that should be considered by tertiary sector employees when they are deciding whether to place their superannuation cont ...

Type

Home Work

Subject

Finance

5 Pages
Recruitment, Selection and Induction of New Staff

Plan2go have recently been successful in obtaining the contract for organising all travel for Scouts Australia International. This will involve liaising with Scout Group Leaders, Parents and Scout mem ...

Type

Assignment

Subject

Finance

2 Pages
Management

We attache the file called 'Assignment requirements' in word format for this assignment. Also I attach 4 related material in PPT format which can be used to make this assignment.(the file called 'Assi ...

Type

Course Work

Subject

Finance

FPC001B Economic and Legal Context for Financial Planning

Question

Answered

Questions:

Learning outcomes:

1.    Explore the role of intermediaries’ financial markets.
2.    Explain the impact of current issues and key economic and financial indicators on the Australian and global financial markets.
3.    Analyse the impact of government and monetary policy on the Australian financial markets.
4.    Examine some of the major issues currently facing the financial planning industry in Australia.
5.    Explore the main sources of law and the regulatory structure of financial services law in Australia.
6.    Explain the various obligations imposed on participants by financial services legislation.

Section A:

Case Study: Purchasing a property and investing

Jane has now decided that she wishes to invest part of her inheritance and has come back to you for further advice. Her visit was especially motivated by a recent plunge of the Australian dollar by over 20% against the United States dollar* and she was wondering if her objectives might need to change as a result of the current economic environment.

Furthermore, being a lawyer, she wants to know what legal protections are in place that could be relied on to ensure she receives the most appropriate advice from you.

On a somewhat unrelated note, Jane is also concerned about the financial wellbeing of her parents, Jill and Marcus Kurmond. They are both 62 years old and have recently had a discussion with Jane about their possible retirement aspirations. Jane suggested they get some advice from you as well, so that they may put some strategies in place enabling them to achieve their retirement goals. With their consent, she has collected the following information for you ahead of a meeting they have scheduled with you:

• Marcus is a construction worker and project manager, and his income before tax is $150,000 per annum. Jill works as an administrative assistant and earns $50,000 p.a. before tax.

• Marcus has a superannuation balance of $350,000 invested in a high growth fund. Jill’s superannuation balance is $120,000 and is currently invested in a growth fund.

• They own their home, purchased 20 years ago and currently worth $750,000. They have no dependants, no debt and have $150,000 cash in the bank.

• They would like to retire in four years’ time and will need $60,000 p.a. for living costs.

Question 1 | Economic impacts on strategy

Discuss how a rise in US interest rates might affect Jane’s three (3) objectives, as stated in the Analysis Task. Identify and explain two (2) potential impacts on each of her objectives.

Question 2 | Regulatory framework

Identify four (4) obligations placed on financial services providers under the current legislative and regulatory framework aimed at ensuring that consumers, like Jane, are protected and receive appropriate financial advice.

Discuss the legislative and/or regulatory source of these obligations and how the obligations are intended to protect consumers. Students may include legislative and regulatory framework obligations which are legislated but not yet implemented.

Question 3 | Market impacts on strategy

Define ‘sequencing risk’ in relation to retirement planning and describe how market conditions over the accumulation phase of saving for retirement can affect retirement outcomes. How might this risk affect the retirement goals of Jane’s parents? Include in your answer the following:

• definition of sequencing risk, with examples

• ways to mitigate against sequencing risk

• brief analysis of Marcus and Jill’s financial situation

• implications of market impacts on Marcus and Jill’s desired retirement age and funding requirements.

Question 4 | Legislative issues in retirement planning

Given the potential for government policy changes to both the superannuation and social security systems, discuss the possible impacts of such changes on Jill and Marcus’s planning for retirement. Please provide discussion on the following points in your answer:

Superannuation system:

1. Select and detail two (2) recent and significant changes since 1 January 2015 to the superannuation system.

2. Discuss the potential range of future changes to superannuation.

3. Discuss how these potential future changes might affect Jill and Marcus’s retirement planning.

Social security system:

1. Select and detail two (2) recent and significant changes since 1 January 2015 to the social security system.

2. Discuss the potential range of future changes to social security.

3. Discuss how potential future changes might affect Jill and Marcus’s retirement planning.

Section B

There is one (1) question that examines your knowledge in this section. Answer all questions.

Question 1 Regulatory requirements

Bettina and Gordon are both senior traders at a major stockbroking firm, Avalanche Stockbroking. Bettina has worked in Australian equities for 10 years and Gordon has 15 years’ experience in international equities. Bettina has a commerce degree, whereas Gordon demonstrated an aptitude for finance at a young age and was first employed by Avalanche in a junior position after high school. Bettina and Gordon have maintained their skills in their specific areas through internal and external seminars as well as training throughout their careers.

Bettina and Gordon decide to leave Avalanche in July 2018 and set up their own boutique asset management business, Winsome Financial (Winsome), providing full service broking of Australian and international equities.

Note: Winsome will not be seeking a licence to act as stockbroker in its own name.

The business will initially target superannuation funds and ‘sophisticated’ high net worth individuals as its clients. It will manage the funds of these clients in both discrete mandates and a pooled fund for each type of equity (Australian and international). They engage you as a consultant to their business while they transition from Avalanche.

Note to students: Provide appropriate legislative references in your answer and assume no waivers have been granted in respect of the training and competency requirements. Ensure that each part of your answer is clearly labelled and do not merge parts of your answer.

Explain the following to Bettina and Gordon:

(a) What authorisations is Winsome likely to need in its Australian Financial Services Licence (AFSL) and why? (5 marks) 

(b) (i) What training and competencies will Winsome need to demonstrate collectively in order to obtain an AFSL? (5 marks)

(ii) Is Winsome likely to have the expertise and experience required to obtain an AFSL? If you do not have sufficient information to advise them, what additional information do you need to make a decision? (4 marks)

(c) Assuming Winsome decides to expand their market to include retail clients before 31 December 2018, what will Winsome be required to do? (5 marks)

FPC001B Economic and Legal Context for Financial Planning

Answer in Detail

Solved by qualified expert

Get Access to This Answer

Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Hac habitasse platea dictumst vestibulum rhoncus est pellentesque. Amet dictum sit amet justo donec enim diam vulputate ut. Neque convallis a cras semper auctor neque vitae. Elit at imperdiet dui accumsan. Nisl condimentum id venenatis a condimentum vitae sapien pellentesque. Imperdiet massa tincidunt nunc pulvinar sapien et ligula. Malesuada fames ac turpis egestas maecenas pharetra convallis posuere. Et ultrices neque ornare aenean euismod. Suscipit tellus mauris a diam maecenas sed enim. Potenti nullam ac tortor vitae purus faucibus ornare. Morbi tristique senectus et netus et malesuada. Morbi tristique senectus et netus et malesuada. Tellus pellentesque eu tincidunt tortor aliquam. Sit amet purus gravida quis blandit. Nec feugiat in fermentum posuere urna. Vel orci porta non pulvinar neque laoreet suspendisse interdum. Ultricies tristique nulla aliquet enim tortor at auctor urna. Orci sagittis eu volutpat odio facilisis mauris sit amet.

Tellus molestie nunc non blandit massa enim nec dui. Tellus molestie nunc non blandit massa enim nec dui. Ac tortor vitae purus faucibus ornare suspendisse sed nisi. Pharetra et ultrices neque ornare aenean euismod. Pretium viverra suspendisse potenti nullam ac tortor vitae. Morbi quis commodo odio aenean sed. At consectetur lorem donec massa sapien faucibus et. Nisi quis eleifend quam adipiscing vitae proin sagittis nisl rhoncus. Duis at tellus at urna condimentum mattis pellentesque. Vivamus at augue eget arcu dictum varius duis at. Justo donec enim diam vulputate ut. Blandit libero volutpat sed cras ornare arcu. Ac felis donec et odio pellentesque diam volutpat commodo. Convallis a cras semper auctor neque. Tempus iaculis urna id volutpat lacus. Tortor consequat id porta nibh.

Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Hac habitasse platea dictumst vestibulum rhoncus est pellentesque. Amet dictum sit amet justo donec enim diam vulputate ut. Neque convallis a cras semper auctor neque vitae. Elit at imperdiet dui accumsan. Nisl condimentum id venenatis a condimentum vitae sapien pellentesque. Imperdiet massa tincidunt nunc pulvinar sapien et ligula. Malesuada fames ac turpis egestas maecenas pharetra convallis posuere. Et ultrices neque ornare aenean euismod. Suscipit tellus mauris a diam maecenas sed enim. Potenti nullam ac tortor vitae purus faucibus ornare. Morbi tristique senectus et netus et malesuada. Morbi tristique senectus et netus et malesuada. Tellus pellentesque eu tincidunt tortor aliquam. Sit amet purus gravida quis blandit. Nec feugiat in fermentum posuere urna. Vel orci porta non pulvinar neque laoreet suspendisse interdum. Ultricies tristique nulla aliquet enim tortor at auctor urna. Orci sagittis eu volutpat odio facilisis mauris sit amet.

Tellus molestie nunc non blandit massa enim nec dui. Tellus molestie nunc non blandit massa enim nec dui. Ac tortor vitae purus faucibus ornare suspendisse sed nisi. Pharetra et ultrices neque ornare aenean euismod. Pretium viverra suspendisse potenti nullam ac tortor vitae. Morbi quis commodo odio aenean sed. At consectetur lorem donec massa sapien faucibus et. Nisi quis eleifend quam adipiscing vitae proin sagittis nisl rhoncus. Duis at tellus at urna condimentum mattis pellentesque. Vivamus at augue eget arcu dictum varius duis at. Justo donec enim diam vulputate ut. Blandit libero volutpat sed cras ornare arcu. Ac felis donec et odio pellentesque diam volutpat commodo. Convallis a cras semper auctor neque. Tempus iaculis urna id volutpat lacus. Tortor consequat id porta nibh.

Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Hac habitasse platea dictumst vestibulum rhoncus est pellentesque. Amet dictum sit amet justo donec enim diam vulputate ut. Neque convallis a cras semper auctor neque vitae. Elit at imperdiet dui accumsan. Nisl condimentum id venenatis a condimentum vitae sapien pellentesque. Imperdiet massa tincidunt nunc pulvinar sapien et ligula. Malesuada fames ac turpis egestas maecenas pharetra convallis posuere. Et ultrices neque ornare aenean euismod. Suscipit tellus mauris a diam maecenas sed enim. Potenti nullam ac tortor vitae purus faucibus ornare. Morbi tristique senectus et netus et malesuada. Morbi tristique senectus et netus et malesuada. Tellus pellentesque eu tincidunt tortor aliquam. Sit amet purus gravida quis blandit. Nec feugiat in fermentum posuere urna. Vel orci porta non pulvinar neque laoreet suspendisse interdum. Ultricies tristique nulla aliquet enim tortor at auctor urna. Orci sagittis eu volutpat odio facilisis mauris sit amet.

Tellus molestie nunc non blandit massa enim nec dui. Tellus molestie nunc non blandit massa enim nec dui. Ac tortor vitae purus faucibus ornare suspendisse sed nisi. Pharetra et ultrices neque ornare aenean euismod. Pretium viverra suspendisse potenti nullam ac tortor vitae. Morbi quis commodo odio aenean sed. At consectetur lorem donec massa sapien faucibus et. Nisi quis eleifend quam adipiscing vitae proin sagittis nisl rhoncus. Duis at tellus at urna condimentum mattis pellentesque. Vivamus at augue eget arcu dictum varius duis at. Justo donec enim diam vulputate ut. Blandit libero volutpat sed cras ornare arcu. Ac felis donec et odio pellentesque diam volutpat commodo. Convallis a cras semper auctor neque. Tempus iaculis urna id volutpat lacus. Tortor consequat id porta nibh.

36 More Pages to Come in This Document. Get access to the complete answer.

MyAssignmenthelp.com is aimed at providing top-notch quality thesis help online to students in USA. We focus all our efforts to meet students requirements and answerer their queries such as can someone do my thesis paper within given time limit. With required knowledge and years of experience in academic writing, we are ready to offer reliable thesis writing assistance that can prove to be the best answer to can expert write my thesis paper. We guarantee that students, who suffer from the dilemma whether they can buy thesis paper online, will find our services satisfactory.

More FPC001B Economic and Legal Context for Financial Planning: Questions & Answers

Q
icon

We aren't endorsed by this University

MBA 733 Financial and Managerial Accounting

Question Title: Segment disclosures are widely regarded as some of the most useful disclosures in financial reports because of the extent to which they disaggregate financial information into meaningful and often revealing groups. Discuss Task: Discuss the objectives of segmental information an ...

View Answer
Q

Business Management

FIN200 Assignment, Trimester 1 2017 Questions A. What are the important factors that should be considered by tertiary sector employees when they are deciding whether to place their superannuation contributions in the Defined Benefit Plan or the Investment Choice Plan? What issues relating to the con ...

View Answer
Q

Recruitment, Selection and Induction of New Staff

Plan2go have recently been successful in obtaining the contract for organising all travel for Scouts Australia International. This will involve liaising with Scout Group Leaders, Parents and Scout members (aged between 14- 17).As a result Plan2go will require two (2) additional staff members:o Key A ...

View Answer
Q

Management

We attache the file called 'Assignment requirements' in word format for this assignment. Also I attach 4 related material in PPT format which can be used to make this assignment.(the file called 'Assignment workshop' need to be considered for this assignment.) this assignment includes: task1: Excel ...

View Answer

Content Removal Request

If you are the original writer of this content and no longer wish to have your work published on Myassignmenthelp.com then please raise the content removal request.

Choose Our Best Expert to Help You

5% Cashback

On APP - grab it while it lasts!

Download app now (or) Scan the QR code

*Offer eligible for first 3 orders ordered through app!

screener
ribbon
callback request mobile
Have any Query?