In this special short series we ask experts, colleagues, clients and industry figures to answer a few questions to get an idea of their approach to investing.
What is the most important investment advice you give or have been given?
Never let any one investment be large enough that the outcome could ruin your financial future. I have seen this far too often where someone falls in love with a stock or an idea and the blinkers blind them from diversification. I have said to them every time it does not need to be that way. At RFS Advice we have that opinion, and some will listen and be clients and others can choose to manage it themselves this way. We do not want to see that play out.
What was the best investment you have ever made?
Funding the set up with the other directors of the Australian Advice Network. We have managed to reduce costs for clients, build more consistent portfolio management and control our destiny. This ultimately benefits our clients, who have also referred their families and friends.
How often do you review your entire portfolio?
We adopt a monthly approach to our investment committee. We have a quarterly rebalancing strategy for our clients, and we invest our money the same as our clients. You need to be on the same page as your clients and you can only do that if you are having the same experience.
What was the first investment you made?
School banking. That was where my parents taught me to save. That is where I could see my bank account build up and I learnt to save up for something. We need financial education in our schools, and this was a way to achieve this.
What do you wish you knew at the start of 2020?
We would all love to know how much of a giant pain in the ass 2020 was going to be. Wow, hindsight……
What changes will you be making to your and your clients’ portfolios in 2021?
We will be sticking to our quarterly rebalancing. We will continue to monitor each investment and track it monthly against their peers. The goal is to further refine the model management approach and build more education around this to share with our clients and other advisers so we can all benefit in this size and scale together.
If you won $10M, what would you do with it?
I would invest some in a Blue Chip PPR property. Increase the savings accounts for the kids. Invest the remainder for income. Reinvest the excess income and have this quarterly rebalancing in our model portfolios. Buy a new TaylorMade SIM Driver.
Troy Theobald is the Director of Financial Service at Robina Financial Solutions (RFS). Prior to establishing RFS in 2004, Troy was employed for ten years as an Accountant and Financial Planner with a Tweed financial planning and accounting practice. With the guidance of a senior adviser (who remains a firm friend), he cut his teeth on building client investment portfolios and defensive asset allocation strategies before moving into asset structuring and protection. Troy has completed the Self Managed Superannuation Fund Specialist Pathway Program and is an accredited Finance Broker.