AMP practice launches gearing program
Recently formed AMP Financial Planning practice Eluvia has launched a debt and gearing program for their clients.
The program will help clients look for more efficient ways of getting rid of debt and "where appropriate" use gearing to accumulate more assets, Eluvia director Mark O'Leary said.
The finance will be provided by mortgage aggregator Australian Finance Group, which has a three year agreement with AMPFP to provide mortgage services to its financial planners and mortgage consultants.
The gearing options would follow AMPFP guidelines, O'Leary said.
The gearing would be used for investing in property, managed funds and equities, either privately or through their self-managed super fund (SMSF) where it was appropriate, he said.
Eluvia would offer gearing based on the "usual disclaimers" of risk profiling clients and their ability to repay the loans, he said.
While the market was not as eager to use gearing since the financial crisis, there was growing interest among Eluvia's SMSF clients, O'Leary said.
"This has always been on our radar, but it's a question of timing or so because we've spent the last year or so settling the business in and getting the back office in place," he said.
The move into debt and lending was part of implementing a comprehensive offering for their investors and part of their final rebranding, O'Leary said.
Melbourne planning practices KRA Financial Group, President Financial Services and Mills Nettheim joined together to form Eluvia earlier this year.
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