Telephone
01323 471048

Email
mike@montgo.co.uk

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How Services Are Paid For

Although Montgo Consulting Ltd is a fee only IFA an initial telephone discussion or meeting of up to an hour is offered without charge. The purpose of this session is to give you an opportunity to assess whether you feel comfortable in using me, for me to obtain information on your personal and financial circumstances and for us to clarify your financial objectives and the nature of the work that you require.

If you decide to appoint me as your IFA there is an hourly fee of £160 per hour. This charge applies for all work except for arranging new investments of £30,000 or more and for the annual investment portfolio review service described below.

For lump sum investment of £30,000 or more the following scale of banded fees is applicable:

• £0 - £30,000 - 3% of the amount invested
• £30,000 - £100,000 - 2% of the amount invested
• £100,000 - £500,000 - 1% of the amount invested
• £500,000 - £1,000,000 - 0.75% of the amount invested
• £1,000,000+ by negotiation.

For example for an investment of £100,000 the fee will be 3% of £30,000 plus 2% of £70,000 totalling £2,300. For this work the £160 per hour fee rate is not applicable.

The firm also offers an annual investment portfolio review service by separate agreement. Please note a minimum £200,000 is required. Here a fee of 0.5% per annum for all funds we manage on your behalf is charged. For this service the £160 per hour charge will not apply.

Where an hourly fee is charged a detailed timesheet is sent with each invoice. This shows the work done, the relevant dates and the time spent in minutes.

There are a variety of fee options. A pure fee applies when no commission is received and the work is fully chargeable by invoice. However commission may be payable to the firm, either initial, by choice or ongoing or trail which is normally automatic. Commissions received are fully paid to you, typically by being offset against the fee to reduce the invoice. If commission exceeds a fee, the excess will be paid to you in some way. It may be re-invested into the investments to enhance their terms, usually by reducing initial charges, paid as a cash sum to you, used to cover the cost of other work or kept on your timesheet as a credit for future use. Please note cash rebates of commission from pensions or annuities are not possible as this breaches HMRC rules.

Currently you will not be liable for VAT on invoiced fees although this may change in the future.