Assignment Financial Planning

Westpac Banking CorporationABN 33 007 457 141Australian Financial Services LicenseNo 233714

Westpac Financial PlanningWestpac HouseTelephone: 0000 000 000Facsimile: 00 0000 0000Email: [email protected]

12 February 2013

Mr. Paul Tran

50A Burbank Avenue, Bedford Park, SA 5042

Dear Paul,

I appreciate the time you have taken to discuss your financial position and goals with me, so I can provide advice to assist you now and in the future.

Financial planning is about taking a long term view of your life and how you want to live it. A financial planner is essentially a coach, helping you to set your financial goals and putting a plan in place to help you achieve them.

My advice is documented in the enclosed Statement of Advice (SoA) which should be read with the Westpac Financial Planning Financial Services Guide (FSG) dated 1 October, 2011. This document is more commonly referred to as your Financial Plan which is a map of your financial future. It includes strategies and recommended steps designed to help you meet your goals. To assist you to understand the technical concepts related to strategy and investing in your financial plan, I have included relevant ‘Financial Advice Matters’ booklets. These booklets should be referred to as a tool to assist you to understand my advice and financial planning.

My advice is designed to your individual financial situation and I look forward to an ongoing relationship with you to help you achieve your goals. Please contact me at any time if you have questions about your goals, my advice of financial planning.

Regards,

Senior Financial Planner

Westpac Banking Corporation

mailto:[email protected]

Statement of AdvicePrepared for:

Mr. Paul Tran

Advice Prepared by:

Senior Financial Planner

Westpac Banking Corporation

GPO Box 3433, Sydney NSW 2001

Phone: 132 032

Website: www.westpac.com.au

Date Prepared: 15 February 2013

This Statement of Advice (SoA) is an important document as it outlines my advice to you. This document is provided to assist you to make an informed decision about whether to act on our advice.

http://www.westpac.com.au/

ContentsAbout this Statement of Advice................................................................................................................1

How does it relate to you?.......................................................................................................................1

What do you need to do to action this?....................................................................................................1

What are the costs?..................................................................................................................................1

Are you entitled to a free look period?....................................................................................................2

Do I have a relationship with any professional bodies?...........................................................................2

How do you contact your planner?..........................................................................................................2

What You Have Told Me..........................................................................................................................3

What you want to achieve........................................................................................................................3

Your Personal Details..............................................................................................................................4

Your Financial Situation..........................................................................................................................5

Your Approach to Investing....................................................................................................................7

My advice...................................................................................................................................................8

The advice I agree to provide..................................................................................................................8

My Analysis............................................................................................................................................9

My Advice to you..................................................................................................................................10

Where Your Money is Invested.............................................................................................................24

How Your Money is Invested................................................................................................................25

Future Strategies For Your Consideration.............................................................................................26

Ongoing Advice Service........................................................................................................................27

What You Need To Know.......................................................................................................................28

The Costs of Advice..............................................................................................................................28

How I am Remunerated.........................................................................................................................28

Financial Product Replacement Statement.............................................................................................32

Interests & Associations........................................................................................................................34

What you need to know generally about the advice...............................................................................34

What you need to know generally about the products...........................................................................35

Your Acceptance of the Advice...............................................................................................................36

About this Statement of Advice

How does it relate to you?The recommendations in this Statement of Advice (SoA) are based on the information contained in the Client Profile Booklet (signed on 24th September 2012) as well as the Westpac Financial Planning Financial Services Guide (FSG) dated 1 October 2011.

The Westpac Financial Planning FSG is an important, document designed to provide you with information regarding the advice and services we offer you. It can also assist you to evaluate and make an informed decision about our services. If you are unable to locate a copy of the Westpac Financial Planning FSG dated 1 October 2011, I would be happy to provide you with a copy of this document, at no charge on request.

Your SoA is record of the financial advice I provide to you. It outlines why you have come to see me and what you would like to achieve. It is based on the information you have provided as well as any key information I have understood to be relevant to my advice from our discussions.

It is for you only and Westpac does not accept liability for anyone else who may act on this advice.

You should ensure I have accurately understood your financial goals and the information you have provided me. Where I have not you should bring this to my attention.

You should ensure you understand the information and ask me questions where you don’t.

If you have given me information which is incomplete or inaccurate, you should, before acting on my advice, consider very carefully the appropriateness of my advice, having regard to your relevant personal circumstances.

What do you need to do to action this?Once we have met and I have explained my advice, you should consider its appropriateness to you. If you have any questions you should call me discuss. Once you are ready to proceed you need to sign the “Your Acceptance of Our Advice”, which is part of this SoA.

If you situation changes or you wish to proceed after tow (2) months from the date this SoA was prepared, please contact me prior to acting to ensure the advice remains appropriate.

What are the costs?As discussed, for the time spend analyzing your needs and currents position, preparing this document and explaining my advice, the fee is $1,320. This SoA fee will be rebated to you, should you implement with me, my recommendations. Once you decide to proceed there may be further fees which are explained in the “What you need to know” section of this document.

Are you entitled to a free look period?Should you proceed with my advice and invest in the recommended financial products, you may be entitled to a “fee look” or “cooling off” period of generally 14 days (refer to the Product Disclosure Statement (PDS) of the relevant financial product of specific information about the free look or cooling off period for that product). This means that you can request to withdraw from a financial product and underlying market conditions, the value of your investment may fluctuate in value during the free look period. Should you decide to withdraw from a product during this period, you will incur a financial loss if the product has fallen in value.

Do I have a relationship with any professional bodies?Westpac is a Professional Partner of the Financial Planning of Australia (FPA).

How do you contact your planner?At any time where you would like to discuss your situation and how my advice relates to you, please contact me on the following:

Planner nameBusiness address Westpac HouseTelephoneMobileFaxE-mail [email protected] hours 9:00am – 5:00pm (local time)

You can also contact Westpac Banking Corporation by:

Telephone 132 032 (Westpac) from 8:00am to 6:00pm (Sydney time)Monday to Friday

Mail Westpac, GPO Box 3433, Sydney NSW 2001Internet www.westpac.com.aue-mail [email protected] person Visit any Westpac branch

I look forward to our ongoing relationship.


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What You Have Told MeThis section outlines my understanding of why you are seeking advice and the information you have provided me.

You should read and confirm my understanding is accurate as it forms the background to my advice.

What you want to achieveYou are seeking advice on the following:

Objective Value Your Instructions

You wish to consolidate your current superannuation accounts with the view to ease ongoing management, invest in accordance with your risk profile a platform to fund comprehensive personal insurance.

$32,336 Meet goal now

Paul, you wish to review your personal insurance needs to ensure that you and your family are not financially disadvantaged in the event of your premature death, total or temporary disablement, medical crisis, trauma or illness

Not applicable

Meet goal now

Your Personal DetailsYou have advised the following with respect to your personal situation.

Personal details PaulSurname SampleAddress Westpac House, Adelaide 5000Occupation Sales Assistant – LightingDate of birth 01/01/1983Proposed Retirement Age 65Age at last birthday 28Marital Status SingleHealth ExcellentSmoker No Dependent Children 0Australia resident for Tax purposes Yes

You have indicated that you are fluent in the English language.

Will

PaulDoes Will exist? YesIs Will current? Yes

Power of Attorney

You do not have Power of Attorney or you have chosen not to disclose them.

Your Financial SituationExisting Assets and Liabilities

Your existing assets and liabilities are as follows:

Description Amount (S) Amount to Invest ($)

Owner

ASSETSLifestyle AssetsBike 8,000 0 Paul Car 13,500 0 PaulContents 40,000 0 PaulPrincipal Residence 600,000 0 PaulSports Equitment 3,000 0 PaulTotal 664,500 0Investment AssetsWestpac Cash 4,700 0 PaulTotal 4,700 0Superannuation AssetsAusfund Super 205 205 PaulAXA Super 13,521 13,521 PaulBT Super for Life 214 214 PaulMercer Super 2,321 2,321 PaulREST Super 1,664 1,664 PaulREST Super 15.962 15.962 PaulTasplan Super 449 449 PaulTotal 34,336 34,336Total Assets 703,536 34,336LIABILITIESHome Loan 180,600 0 PaulInvestment Loan 10,000 0 PaulPersonal Loan 13,000 0 PaulTotal 203,600 0Total Liabilities 203,600 0NET WORTH 499,936 34,336

Current Cash Flow

Your current income and expenses are as follows:

Cash flow Source Paul ($) Total ($)Income earned (including Other Income) 40,000 40,000Investment income 273 273TOTAL INFLOWS 40,273 40,273Tax Payable (Including Medicare) 4,844 4,844NET INFLOWS 45,429 45,429Total Expenses 30,487 30,487TOTAL OUTFLOWS 30,487 30,487SURPLUS/(DEFICIT) 4.942 4.942

For the purpose of this Statement of Advice, I have assumed that surplus cashflow is being directed to your home loan debt.

Insurance

You have advised that you hold the following insurance policies”

Insurance Provider

Policy Type Premium BenefitWaiting Period

Benefit Period

Benefit Frequency

Insured

Westpac Term Life $487Annually

$426,163 n/a n/a Lump Sum Sample, Paul

Mercer Term Life/ TPD

$65Annually

Term Life$210,120TPD$210,120

n/a n/a Lump Sum Sample, Paul

REST Term Life $281Annually


REST Term Life $281Annually


Tasplan Term Life/ TPD

$117Annually

Term Life $100,800TPD$100,800

n/a n/a Lump Sum Sample, Paul

Private Health Insurance

Paul, you advised that you do not have Private Health Insurance.

Your Approach to InvestingWhen establishing your approach to investing, we have considered a number of factors in order to make an assessment, as to the combination of asset classes over which you would invest. This is referred to as your Risk Profile.

Paul, based on the information we have discussed, your Risk Profile is High Growth:

The High Growth portfolio is suitable for investors, seeking a higher return investment. They are prepared to invest for a long term and tolerate extended periods of negative returns provided they may benefit from higher returns. The High Growth portfolio will have a large allocation of around 77% to assets such as shares and property. Capital is not guaranteed and there will be large fluctuation and some negative returns from year to year. There is a significant risk of a portfolio decreasing in value in the short term although this is substantially reduced for investments over the recommended minimum investment term of over ten years.

Current Situation Risk Profile0.00%

5.00%

10.00%

15.00%

20.00%

25.00%

30.00%

35.00%

40.00%

Portfolio Asset Allocation

LiqiutsFixed InterestAustralian SharesInternational SharesPropertyAlternative Strategies

Other Background Information

Paul, you are currently working full time as a retail assistant in a lighting store whilst you also study full time at University. You live in a mortgaged property with your mum but you both have separate finances and you are seeking advice for your protection needs only, should these circumstances change you are encouraged to come back for a review of your protection needs.

You currently have seven superannuation funds, some of these with a default level of Death and TPD cover.

You have a number of non-deductible debts, two personal loans and two credit cards; you are working at playing them off as soon as possible. You have personal loan protection on both of your personal loans which has been funded into the loan for next 7 years.

My advice

The advice I agree to provide

My AnalysisMy analysis has revealed:

You current debt obligation are as follows:

Loan Type Secured against Loan Balance Loan LimitWestpac Home Loan Principal residence $180,600 $180,600Westpac Personal Loan Car $13,000 $13,000Westpac Investment Loan Unsecured $10,000 $10,000Total $203,600 $203,600

My advice also includes recommendations on the appropriate level of insurance required to cover these debts in the event of illness, injury and death. Please refer to the insurance recommendations section for further details.

Paul, you currently have seven separate superannuation accounts. Both industry funds and personal accounts and some have the default level of insurance attached. This cover is age based and will decrease over time as the premiums will remain the same. You are currently over insured for death cover as you have cover in your super accounts as well as through your Westpac Future Cover.

From our discussions we have established a large gap in your disability insurance needs. You currently have no income protection which is important for you to be able to maintain the lifestyle that you currently have.

Cash flow is important to you and you want to fund as much of your insurance through superannuation so that your monthly cash flow is not greatly affected.

The current difference between stepped and level premiums for insurance is not large and it is an ideal time to lock in your premiums based on your current income needs to ensure that the insurance remains affordable into future.

My Advice to you

Objective

You stated you are seeking advice to achieve the following:


You wish to consolidate your current superannuation accounts with the view to ease ongoing management, invest in accordance with your risk profile and provide a platform to fund comprehensive personal insurances


Strategy

In order to achieve the above objective I recommend the following strategy:

Paul, rollover the funds you currently hold within:o Tasplan, Super ($449), REST Super ($1,664), AXA Super ($13,521), BT Super for Life

($214), Ausfund Super($205), Mercer Super ($2,321). REST Super ($15,962)o And invest the total proceeds of $34,336 into a superannuation fund as per the section

titled “Solutions”

Objective Strategy Solutions Reasons Other Factors

Objective

Objective Strategy

Solutions

I recommend the above strategy be implemented as follows:

Paul, rollover your funds listed in the table below:

Existing Superannuation Fund

Owner Amount Rollover Into

Tasplan Super Paul $449 BT Foundation Portfolio SuperWrap PSPREST Super Paul $1,664 BT Foundation Portfolio SuperWrap PSPAXA Super Paul $13,521 BT Foundation Portfolio SuperWrap PSPBT Super for Life Paul $214 BT Foundation Portfolio SuperWrap PSPAusfund Super Paul $205 BT Foundation Portfolio SuperWrap PSPMercer Super Paul $2,321 BT Foundation Portfolio SuperWrap PSPREST Super Paul $15,962 BT Foundation Portfolio SuperWrap PSP

Paul, invest the net proceeds of $34,336 into a diversified portfolio according to your risk profile. I have tabled the complete product recommendation in the section titled “Where Your Money Is Invested”.

These funds will be administered within the BT Foundation Portfolio SuperWrap PSP structure.

Advance Wholesale High growth Multi-Blend

The Fund’s objective is to provide superior total returns (before fees and taxes) over the long term through capital growth by investing in growing assets.

The Fund aims to invest primarily in Australian and international shares with some exposure to property. The Fund’s exposure to these asset classes will be obtained primarily by investing into our sector specific funds. The Fund may also hold assets directly, including derivatives, currency and other unit trusts. For more information on this products please refer to BT Foundation Portfolio Wrap PDS.

Reasons

I believe the advice is appropriate to you as:

The recommended superannuation product best suits your needs as it offers flexi-linking for both life and TPD cover. This allows you to hold one insurance policy but hold each individual benefit where it is most tax effective. It also provide you with ease of cash flow, allowing you to structure your lump sum insurance covers and most of your income protection through your superannuation.

By consolidating your superannuation into one fund you will have ease of management, one statement showing all of your retirement savings and a portfolio that is in line with your investment objectives.

Investing in a single superannuation fund provides the following benefits:

Objective Strategy Solutions

Objective Strategy Solutions Reason

Your superannuation will be easier to be manage due to simplified investment reporting, reduced paperwork and the potential to save money on fees.

It will be easier to keep track of the level of funds you have available for retirement.

Investing in a diversification portfolio in accordance with the Risk Profile seeks to achieve:

The correct banlance between income and growth assets to obtain long team capital growth Diversification across asset types to reduce volatility of capital values.

Investing though a Wrap Service will provide you:

Ease in administration, allowing automated rebalancing. Simplified and streamlined reporting. Access to wide range of managed funds.

The benefits of investing though the recommended BT Foundation SuperWrap, as opposed to your existing Tasplan Super are as follows:

The BT Foundation SuperWrap offers a greater selection of underlying investment options, which provides you with greater choice in constructing an investment portfolio that is consistent with your risk profile.

The BT Foundation SuperWrap has lower ongoing product fees, compared to your Tasplan Super The BT Foundation SuperWrap provides the option to make a non-lapsing death benefit

nomination. This ensures that your super balance is paid to your chosen beneficiary in the event f your death.

The BT Foundation SuperWrap allows you to apply for insurance cover that meets your requirements. Your existing Tasplan Super does not offer sufficient insurance cover due to levels of life and TPD insurance reducing each year, CPI indexing not offered on insurances.

The benefits of investing through the recommended BT Foundation SuperWrap, as opposed to your existing REST Super are as follows:

The BT Foundation SuperWrap has lower ongoing product fees, compared to your REST Super. The BT Foundation SuperWrap provides the option to make a non-lapsing death benefit

nomination. This ensures that your super balance is paid to your chosen beneficiary in the event of your death.

The BT Foundation SuperWrap allows you to apply for insurance cover that meets your requirement. Your existing REST does not offer sufficient insurance cover due to levels of life and TPD insurance reducing each year, and level premiums are not offered on insurances. TPD waiting period is 6 months.

The benefits of investing through the recommended The BT Foundation SuperWrap , as opposed to your existing AXA Super are as follows:

The BT Foundation SuperWrap has lower ongoing product fees, compared to your Tasplan Super.

The BT Foundation SuperWrap provides the option to make a non-lapsing death benefit nomination. This ensures that your super balance is paid to your chosen beneficiary in the event of your death.

The BT Foundation SuperWrap allows you to apply for insurance cover that meets your requirement. Your existing AXA does not offer sufficient insurance cover due to levels of life and TPD insurance reducing each year, level premiums are not available.

The benefits of investing though the recommended BT Foundation SuperWrap, as opposed to your existing Mercer Super are as follows:


The BT Foundation SuperWrap provides the option to make a non-lapsing death benefit nomination. This ensures that your super balance is paid to your chosen beneficiary in the event f your death.

The BT Foundation SuperWrap allows you to apply for insurance cover that meets your requirements. Your existing Mercer Super does not offer sufficient insurance cover due to levels of life and TPD insurance reducing each year, CPI indexing not offered on insurances. No income protection is provided and level premiums are not available.

The benefits of investing though the recommended BT Foundation SuperWrap, as opposed to your existing BT Super for Life Super are as follows:



The BT Foundation SuperWrap allows you to apply for insurance cover that meets your requirements. Your existing BTSFL Super does not offer sufficient insurance cover due to levels of life and TPD insurance reducing each year, no indexing of income protection benefits available and no level premiums.

The benefits of investing though the recommended BT Foundation SuperWrap, as opposed to your existing Ausfund Super are as follows:



The BT Foundation SuperWrap allows you to apply for insurance cover that meets your requirements. Your existing does not offer any insurance offers at all.

Other Factors

As part of determining whether my advice is appropriate to you, you should also consider:

You should note that you may lose any death. TPD and salary continuance cover you may have in the funds from which you are rolling out.

Funds invested within superannuation are not accessible until you can meet a condition of release. Changing the underlying investments or redeeming from this investment prior to the estimated

investment time frame may mean you are exposed to volatility risks and you may redeem the funds at a loss.

For each of the products recommended, please refer to the Product Disclosure Statement for further information about the key product features and significant risks associated with investing in that product.

As a result of replacing your existing Mercer, AXA, Ausfund, Tasplan and BT Super for Life accounts with the recommended BT Foundation Portfolio Super Wrap PSP, you will experience the following loss of benefits and other significant consequences:

Funds invested within superannuation are not accessible until you meet a condition of release. It can take time to exit your existing portfolio and enter into the recommended portfolio. During this

time, your funds may be invested in cash. This will temporarily reduce your potential for capital growth, compared with investing in line with your risk profile.

You should not cancel your existing insurance cover until you have been notified that the recommended replacement cover is in force. This will ensure that you are not exposed to a period of time with no cover.

By replacing your existing Mercer Super you will forfeit life insurance cover of $210,120. By replacing your existing Mercer Super you will forfeit total and permanent disablement insurance

cover of $210,120. By replacing your existing REST super you will forfeit life insurance cover of $517,000. By replacing your existing Tasplan Super you will forfeit life insurance cover of $10,800. Your existing superannuation fund offers members access to a range of discounts including banking

and/or general insurance services. You will no longer have a access to these benefits. Your existing Mercer superannuation fund enables you to access 35 different investment options. The

number of investment options available through the recommended fund is less than your existing investment.

Your existing AXA superannuation fund enables you to access 17 different investment options. The number of investment options available through the recommended fund is less than your existing investment.

Your existing REST superannuation fund enables you to access 13 different investment options. The number of investment options available through the recommended fund is less than your existing investment.

The recommended investment aims to achieve capital growth over your desired investment horizon in line with your Risk Profile. Therefore, our recommendation increases the potential volatility of your investment, as compared to your Mercer, AXA, REST, Tasplan, Ausfund superannuation accounts.

An exit fee of $80 is payable when exiting the Tasplan Super fund. An exit fee of $29 is payable when exiting the AXA Super fund. An exit fee of $148.65 is payable when exiting the Mercer Super fund.

Objective


You stated you are seeking advice to achieve the following:


You wish to consolidate your current superannuation accounts with the view to ease ongoing management, invest in accordance with your risk profile and provide a platform to fund comprehensive personal insurances


Strategy

In order to achieve the above objective I recommend the following strategy:

Paul, take out a Term Life policy:o For an amount of $470,300o This policy should be owned by you personally.o I recommend a level 65 premium structure.o You may also choose to nominate a beneficiary to receive the proceeds of the policy.o I recommend that you attach the TPD buy back benefit to your term life insurance. o I recommend that you attach the living reinstatement benefit to your living (or trauma)

insurance.o I recommend you cancel your existing Term Life insurance of 210,120 with Mercer,

$517,000 with REST (Twice), $100,800 with Tasplan and $426,163 with Westpac Future Cover, once the recommended Term Life Insurance is in place.

Paul, take out a Total & Permanent Disability policy:o For an amount of $470,300. o This policy should be owned by you personally.o I recommend an any occupation policy.o I recommend a level 65 premium structure.o I recommend you cancel your existing TPD insurance of $210,120 with Mercer and

$100,800 with Tasplan, once the recommended TPD insurance is in place. Paul, take out a Living (or Trauma) Insurance policy:

o For an amount of $100,000. o This policy should be owned by you personally.o I recommend the Flexible Linking Plus option for your Living (or Trauma) insurance.o I recommend a level 65 premium structure.o I recommend that you attach the living reinstatement benefit to your living (or trauma)

insurance.

Paul, take out an Income Protection policy:

Objective

Objective Strategy

o I recommend you take out the Income Protection (own occupation IP) feature for your

income protection insurance cover.o With a monthly benefit of $2,910.

o This policy will provide for 80.00% of your regular monthly income, including

superannuation contributions.o I recommend a waiting period of 14 days.

o I recommend a benefit period payable to age 65.

o I recommend a level 65 premium structure.

o I recommend an endorsed agrees value policy.

o I recommend that you add the superannuation contribution option to your income protection

insurance cover. The benefit level above includes the allowable superannuation contribution benefit.

o I recommend that you attach the Accident Benefit to your income protection insurance.

Solutions

I recommend the above strategy be implemented as follows:

I recommend the following policies:

Insurance Provider

Contract Type

Life Insured

Premium Benefit Waiting Period

Benefit Period

Benefit Frequency

BT Protection Plans

Term Life /TPD/ Trauma

Sample, Paul

$98 Monthly

Term Life $470,330TPD $470,330Trauma $100,000

n/a n/a Lump Sum

BT Protection Plans

Income Protection

Sample, Paul

$108 Monthly

$2,910 14 days Up to Age 65

Monthly

* The Flexible Linking portion of the policy is owned by you personally. The remainder of the policy is owned by the superannuation fund trustee.

Objective Strategy Solutions

Reasons

I believe the advice is appropriate to you as:

Term life insurance provides a lump sum amount paid to beneficiaries on the death of the insured. The recommended level of cover is based on the amounts required to fund the following expenses:

Term Life Insurance Paul ($)

Income Replacement $0

Extinguish Debt $203,600

Funeral Costs $15,000

Total Life Insurance Needs $218,600

Less: Assets to realize upon death $24,336

Less: Existing cover to be retained $0

Life Insurance Cover Required $184,264

Total and permanent disability insurance provides a lump sum to the policy owner if the insured person becomes totally and permanently disabled. The recommended level of cover is based on the amounts required to fund the following expenses:

TPD Insurance PaulsIncome Replacement-provide of 25%of your income/salary until age 65

$201,065.38

Extinguish Debt $203,600

Medical/Lifestyle Expenses $100,000

Total TPD Insurance Needs $504,665.38

Less: Assets to realize upon disablement $34,336


TPD Insurance Cover Required $470,329.38

Objective Strategy Solutions Reason

Living (or Trauma) insurance provides a lump sum payment to the policy owner if the insured person suffers from one of the specified serious medical conditions. The recommended level of cover is based on the amount required to fund the following expenses:

Living (or Trauma) Insurance Paul ($)

Income Replacement $0

Extinguish Debt $0

Medical/Lifestyle Expenses $100,000

Total Living (or Trauma) Insurance Needs $100,000

Less: Assets to realize upon death $0


Living (or Trauma) Insurance Cover Required $100,000

Income protection insurance provides the following monthly benefits in the event that you are unable to work due to illness or injury:

Income Protection Paul ($)80.00% of salary (including superannuation contributions)

$2,910

Income Protection Monthly Benefit Required $0

I have recommended that you take out additional life cover up to the same level as your TPD cover for the following reasons:

The recommended product provider does not allow applications for TPD cover to exceed the level of life cover.

It is more cost-effective to increase your life cover, compared to implementing standalone life and TPD insurance policies.

I have recommended the ‘any occupation’ option to your TPD TPD insurance because:

The ‘any occupation’ option may provide a TPD benefit if the insured person is unable to ever perform any occupation for which they are reasonably suited by education, training or experience.

As your TPD insurance is within superannuation, you may not be able to meet a condition of release and gain access to your benefits under an ‘own occupation’ policy.

Based on your occupation, you are not eligible for an ’own occupation’ TPD benefit.

I have recommended that you utilize the Flexible Linking Plus option for your Term Life/ TPD/Trauma insurance for the following reasons:

By using the flexible linking plus option, you will hold your living (or trauma) insurance, together with any other benefits under the policies that may not meet a condition of release, outside of the superannuation. This means your living (or trauma) insurance benefit will be paid to you personally on claim.

The living (or trauma) insurance is linked to your policies held within super under the flexible linking option, meaning the premiums are more cost efficient than if the living (or trauma) insurance were to be held as a standalone policy.

The impact of insurance premiums on your personal cashflow is reduced, as some of your insurance cover is held within superannuation and funded by your superannuation balance.

I have recommended the TPD buy back option on your life and TPD insurance because:

The TPD buy back feature allows you to reinstate your death benefit 14 days after a TPD benefit claim has been paid, by the amount that was paid.

Reinstating the benefit will ensure that you continue to hold life insurance if you become totally and permanently disabled, without having to provide further evidence of health, occupation or pastimes.

I have recommended the Living Reinstatement option on your living (or trauma) insurance because: The living reinstatement benefit allows you reinstate your living benefit 12 months after a

claim has been paid, by the mount that was paid. Reinstating the benefit will provide you ongoing living (or trauma) insurance cover, even

after a claim has been made, without having to provide further evidence of health, occupation or pastimes.

I have recommended a waiting period 14 days for your income protection because: You have confirmed that you can meet your living expenses for up to 6 weeks without your

income. I have taken into account that policy benefits are generally paid monthly in arrears.

I have recommended a benefit period of Up to Age 65 for your income protection because: The benefit period selected will provide sufficient income protection in the case that you are

unable to work due to illness or injury, until your retirement at age 65.

I have recommended take out the Income Protection (own occupation IP) feature for your income protection cover because:

Income Protection (own occupation IP) will protect you against a loss of your income, should you become unable to work in your usual occupation.

I have recommended the endorsed agreed value policy because: Full financial underwriting will be done at application stage, meaning no further financials

will be requested or reviewed at claim time. The policy provides certainty in the amount payable, as the monthly benefit is agreed at the

time the policy is commenced. The benefit payable will not be affected by any future reduction in income. The benefit payable under an endorsed agreed value policy is based on an amount agreed at

commencement. The agreed amount may be adjusted for movements in the Consumer Price Index to take into

account inflation.

I have recommended that you select the Superannuation Contribution Option for your income protection insurance. This is appropriate because:

In the event of total disability, your income protection policy will provide an additional benefit that is intended to replace your current employer superannuation guarantee contributions.

The monthly insured amount is generally calculated as 75% of your monthly earnings, however with the Superannuation Contribution Option, you will be able to insure an additional flat 5% of your monthly earnings.

You will be able to continue your superannuation contributions, even if you are unable to work due to total disability.

The Superannuation Contribution Option allows you to have a monthly insured amount higher than usually available.

I have recommended the ‘Level 65’ premium option for your term life, TPD, living (or trauma) and income protection insurance benefits because:

You have a long term view to protection and I have determined that the cost of the level premium option is less than the equivalent insurance with stepped premiums.

You advised that you intent to retire at age 65, and intent to cancel your insurance at this time. You are seeking certainly in cost and have stated a preference for insurance premiums that do not

increase significantly each year.

I have recommended the Accident Benefit for the following reasons:

Your income will be covered during the waiting period in the event of an accident which causes you to become incapacitated.

On cessation of the benefit, coverage can continue under your income protection policy.

The benefits of insuring though the recommended BT Protection Plans, as opposed to your existing Tasplan Life/TPD are as follows:

The BT Protection Plans allows you to apply for insurance cover that meets your requirements. Your existing Tasplan Super does not offer sufficient insurance cover due to levels of life and TPD insurance reducing each year, CPI indexing not offered on insurance.

By implementing more than one BT Protection Plan insurance policy, you will quality for a 5% multi-policy discount (excluding policy fee and stamp duty).

The benefits of insuring through the recommended BT Protection, as opposed to your existing REST Life are as follows:.

The BT Protection Plans allows you to apply for insurance cover that meets your requirement. Your existing REST Super does not offer sufficient insurance cover due to levels of life and TPD insurance reducing each year , CPI indexing not offered on insurance.


The benefits of insuring through the recommended The BT Protection Plans, as opposed to your existing Mercer Life/TPD are as follows:

The BT Foundation SuperWrap allows you to apply for insurance cover that meets your requirement. Your existing Mercer Super does not offer sufficient insurance cover due to levels of life and TPD insurance reducing each year, TPD waiting period 6 months compared to 3, CPT indexing not offered on insurances. No income protection is provided and level premiums are not available.


The benefits of insuring through the recommended The BT Protection Plans, as opposed to your existing Westpac Future Cover Life are as follows:

The BT Protection Plans allows you to apply for insurance cover that meets your requirements. Your existing Westpac Future Super does not offer sufficient insurance cover due to levels of life cover is fixed at the current level, it can be decreased by application but only increased to a maximum of $750,000 upon application and underwriting. Level premiums are not offered.


Other Factors


As part of determining whether my advice is appropriate to you, you should also consider:

Before you enter into a contract for insurance, you have to disclose to the insurer every matter which you know, or could be reasonably expected to know, is relevant to the insurer’s decision to issue you with an insurance policy and if so, on what terms. You have the same duty to disclose those matters to the insurer before you renew, extend, vary or re-instate a contract of insurance. Your duty of disclosure applies to your application, personal statement and any other form requesting information and applies from the time you complete your application to the time the insurer accepts your application and issues a policy document. If any relevant information changes between the time that you application is submitted and the time the insurer issues the policy to you, you must notify the insurer.

You should be aware that if you do not fully disclose all relevant and material information to the Insurer as required, the Insurer may be entitled to reduce their liability under your insurance contract in respect of a claim, or cancel your insurance contract.

For electronic submission of insurance applications, you acknowledge that you will be required to provide declarations in your application for insurance and personal statement. You should carefully consider each declaration before signing and confirming to me that the declarations are correct. You should be aware that you are legally bound by all declarations are correct, before I submit your insurance documentation electronically.

You may not be able to claim under the recommended policy in the event of death by suicide for a period of 13 months from the commencement of the policy.

You will not be able to claim under the recommended policy in the event of becoming totally and permanently disabled due to a suicide attempt.

You may not be able to claim under the recommended policy for any trauma of injury due to a suicide attempt.

There may be exclusions for specific activities or illnesses depending upon your family history or personal situation.

The premiums quoted in the fees and charges section may vary depending upon your family history or personal situation.

The insurer will require you to complete a personal statement and to provide evidence of your income for underwriting purposes. The insurer may also request additional information once the personal statement and income details have been provided.

Where I have recommended insurance within superannuation, the subsequent closure of your superannuation account could mean that your insurance cover will be lost, unless you are eligible, and wish to transfers, your insurance cover to a separate policy outside of the superannuation environment.

For any insurance benefits paid into Superannuation, there may be assessments for superannuation environment.

If a claim is made on your Term Life policy and the insurer agrees to pay the claim, the income will be paid either to i) your nominated beneficiary (and not form part of your estate) or ii) your estate and be distributed in accordance with the instructions in your Will.

If a claim is made on your TPD policy and the insurer agrees to pay the claim, the benefit will be paid direct to you (i.e. it cannot be paid to a nominated beneficiary)

You should understand that if you make a claim for TPD, access to the proceeds will be subject to meeting a condition of release. This may make it more difficult to access your benefits particularly if you are under retirement age.

Any TPD benefit you receive may not be completely tax fee (compared to a TPD policy held outside of super). However it may receive concessional tax treatment if you receive the benefit in the form of either a lump sum or income stream.

The conditions to receive a claim under the TPD policy are based on an ‘any occupation’ definition. Although ‘any occupation’ cover is cheaper than an ‘own occupation’ cover, it is also more restrictive as you have to meet the criteria of not being able to perform any job that you are reasonably qualified or trained for.

The TPD cover I have recommended is linked to your Life Cover. This means that if you suffer a TPD event and receive a payout, your Life Cover will be automatically reduced may be covered by the amount of the TPD payout.

Only up to 80% (with a Superannuation Contribution Option) of your income may be covered by an Income Protection or Temporary Salary Continuance policy.

Income provided by an income replacement policy is treated as taxable income. The waiting period is the maximum amount of time that you will have to wait before you begin to

receive payments under the policy. You should also note that some payments are made in arrears so this may extend your waiting period. This is why having cash in the bank or sick leave due from your employer can be beneficial

The benefit period is the maximum amount of time that you will be paid under the policy (subject to policy conditions).

You will lose any insurance cover you currently hold in an existing policy as soon as it is cancelled. You should wait to cancel the existing policy until you receive confirmation from the new insurer of acceptance of the application.

Paying insurance premiums with your superannuation can deplete or reduce your balance over time. Levels of cover should be reviewed regularly and in cases where recommendations include the

replacement of an existing policy(ies) with another, you should not cancel these policies until the replacement policy(ies) have been accepted.

Your insurance does not commence until the insurer has completed their assessment and issued the insurance policy. Once the insurer has received your application, they will advise what other requirements they have of you. This can involve having a blood test or medical examination or they may write to your doctor for a report. We will let you know what these requirements are at the appropriate time. The costs of any medical reports, examinations or blood tests are met by the insurer.

If a claim is made on your term life policy and insurer agrees to pay the claim, the income will be paid either to your nominated beneficiary (and not form part of your estate).

The Accident Benefit is not payable in the event that you are eligible for the specified injury benefit, crisis benefit or nursing care benefit.

For each product recommended, please refer to the Product Disclosure Statement for further information about key product features and significant risk associated with implementing the policy.

As a result of replacing your existing Mercer Life/TPD, REST Life, Tasplan Life/TPD and Westpac Future Cover with the recommended BT Protection Plans Life/TPD/Trauma, you will experience the following loss of benefits and other significant consequences:

Paying insurance premiums with your superannuation can deplete or reduce your balance over time. You should not cancel your existing insurance cover until you have been notified that the

recommended replacement cover is in force. This will ensure that you are not exposed to a period of time with no cover.

Replacing your insurance cover means you may be subject to financial and/or medical underwriting by the new insurer. This may result in loadings and/or policy exclusions.

As you are replacing your life insurance, your new product may have a 13 months suicide exclusion.

Where Your Money is InvestedThe following table outlines the total investments you will hold, including our recommendations and retained assets.

Your Investment Portfolio

Investments Status Amount ($)Reinvest Income Owner

Investment AssetsWestpac Cash Retained 4,700 N PaulTotal 4,700BT Foundation Portfolio Super Wrap PSP^Advance High Growth Multi-Blend W New 29,925 N/A PaulBT Wrap Cash Account New 2,694 N/A PaulTotal 32,620Combined Total 37,320

^Investment Amount is net of entry fee.

How Your Money is InvestedFollowing the implementation of the Solutions, you asset allocation will be as follow in comparison to your established Risk Profile.

Risk Profile Recommended Portfolio

3.00%

20.00%

10.00%

0.00%

37.00%32.00%30.00% 29.00%

10.00%

4.00%

10.00%15.00%

Porfolio Asset Allocation liquids Fixed Interest Australia SharesInternational Shares Property Alternative Strategies

Joshua-BT Foundation Portfolio SuperWrap PSP

0.00%

9.00%

0.00%

37.00%33.00%

4.00%

17.00%

Recommended Product Asset Alloca-tion

liquids Fixed Interest Australia SharesInternational Shares Property Alternative StrategiesColumn1

Variation from Risk Profile Asset Allocation

In developing my advice to satisfy your objectives it is necessary to vary the actual asset allocation from the benchmark asset allocation as set out in your risk profile. Within your risk profile there are ‘acceptable ranges’ for each asset class. These ranges allow us to adjust the allocation to each asset class as part of satisfying your objectives, whilst still remaining within the overall risk/returns framework of the risk profile. However, your portfolio is outside of these acceptable ranges in Cash. This is due to the following reasons:

We are required to keep sufficient cash reserves in your account to fund insurance premiums and related account fees and charges.

This allocation to Cash which sits outside of the acceptable ranges, means that the overall risk/return framework is outside of your agreed risk profile and by accepting this advice you are agreeing to this deviation. The implication of this deviation in term of risk and the effect on your risk profile (and asset allocation) are that your fund is not as aggressive as you initially anticipated and may provide more conservative long term returns.

Investment SectorRecommended Portfolio (%)

Benchmark Portfolio (%) Variance (%)

Acceptable Ranges (%)

Income AssetsCash 19.64% 3.00% 16.64% 0-8%Fixed Interest 0.00% 10.00% -10.00% 5-15%Sub Total - Income Assets

19.64% 13.00% 6.64%

Growth AssetsProperty & Infrastructure 3.65% 10.00% -6.35% 3-12%Australia Equities 32.45% 37.00% -4.55% 30-45%International Equities 29.07% 30.00% -0.93% 23-37%Sub Total - Growth Assets

65.17% 77.00% -11.83%

Alternative AssetsAlternatives 15.19% 10.00% 5.19% 5-15%Sub Total-Alternatives 15.19% 10.00% 5.19%Total 100.00% 100.00%

Please Note: Fund managers may, within limits, vary the asset allocation of their investment portfolios from time to time depending upon their views of the investment markets. As a result, the asset allocation of your investment portfolio may also vary from the figures shown.

Given the above, please advise me as soon as possible if you are not comfortable with these variance.

Future Strategies For Your ConsiderationAs financial positions and goals change, you will need to review the advice to ensure it continues to meet your needs.

At our next review meeting or earlier if a change of situation arises, we should discuss the following:

The investment portfolio New lump sums – payments or receipts

Ongoing Advice Service

Regular reviews are an important part of helping you achieve your financial goals. They provide an opportunity to look at your financial position, your needs, and other factors such as legislative or economic changes to determine if we need to update your wealth strategy.You advised that you do not require an ongoing advice service.By declining the ongoing advice service offer, it is your responsibility to contact me if you would like me to review your financial plan. I can provide you with a review service at your request. An hourly rate will be charged for this review and this rate will be agreed to before any advice is provided.Please note: by not reviewing your financial plan regularly, you risk the possibility that your financial strategy may not be appropriate for you in future.

What You Need To KnowThe Costs of AdviceAs part of detailed financial planning there are costs to you at various stages of the process from strategy recommendation and implementation through to ongoing reviews.There are also fees and charges incurred when purchasing investment products or services and insurance policies. Where I recommend a product or service which is issued by a company within the Westpac or BT groups, that company will receive part of the fees and charges you pay for the product or service as remuneration. These fees and charges are outlined in the Product Disclosure Statement, Inventor Guide (as applicable), or other disclosure document for relevant products.

Westpac receives the following types of remuneration: Commissions paid by the product manufacturer or issuer, referred to as Product

Commissions. Fees paid by you and those product commissions which are negotiable, referred to as Advice

Fees.

For more information on the types of Advice Fees payable by you or the remuneration that Westpac receives, please refer to page 9 of the Westpac Financial Planning FSG.

All amounts are shown inclusive of GST.

How I am RemuneratedAs I am an employee I am paid a salary (including superannuation) by Westpac. In addition I may also receive as remuneration from Westpac, a portion of the Product Commission and Advice Fees.

From the Advice Fees and Product Commissions received by Westpac, the maximum share that I can receive as remuneration is 44.00%.

This amount is shown in the tables below under the heading ‘Maximum Planner Share of Total’, however the actual mount I receive may be less. The calculation of the actual percentage I will receive is based on my overall performance in the year including meeting financial, compliance and other Westpac objectives.

If any of Advice Fees payable have been discounted because you are entitled to a published discount, the maximum share of revenue that I may receive from these fees will be based on the non-discounted rate for that fee.1. Strategy Recommendation: At our previous meeting you agreed to the preparation of a tailored

financial plan. As part of this commitment, you agreed to pay a Plan Preparation Fee for the preparation of that financial plan. The Plan Preparation Fee is a one-off fee. This SoA fee will be rebated to you, should you implement with me, my recommendations.

Advice Fees Total Payable to Westpac Maximum Planner Share of Total

Plan Preparation Fee $1,320 $581*We have agreed that you will pay this fee through your BT SuperWrap platform. This fee will be deducted from your Cash Account under the One-off advice fee form. Note: where there are insufficient funds in your cash account, your investment may be partially redeemed to cover this fee and you may therefore trigger a CGT event.

2. Strategy Implementation: after I present the advice to you and you agree to implement the recommendation set out in your financial plan. I charge a fee which covers the time and resources used to formulate the advice and manage all relevant parties to implement the advice through the investment and insurance portfolio.

In addition, where there is a negotiable Product Commission paid by the product manufacturer, it will appear below as an Advice Fee.

Advice FeesTotal Payable to

WestpacMaximum Planner

Share of TotalBT Foundation Portfolio SuperWrap PSP $34,336

$1,7175.00%

$7552.20%

BT Foundation Portfolio SuperWrap PSP regular contribution $3,600

$00.00%

$00.00%

Term Life with Disability and Living Benefit $1,064

$1,170110,00%

$51548.40%

Income Protection$1,113

$1,255110.00%

$53948.40%

Note: where you are making a regular investment or contribution these Advice Fees are payable with each contribution.*We have agreed that you will pay this fee through your BT SuperWrap platform. This fee will be deduced from your Cash Account under the One-off advice fee form. Note: where there are insufficient funds in your cash account, your investment may be partially redeemed to cover this fee and you may therefore trigger a CGT event.

3. Ongoing Services: Ongoing services will help ensure your financial plan is updated to respond to any changes in your circumstances and financial goals, changes in the economy, markets or legislation. You have chosen not to have your financial plan reviewed regularly.

The following remuneration is paid by the product manufacturer for the life of the investment, service, loan or insurance policy. The amount shown is an estimate only. The actual product commission paid will vary based on your actual account balance.

Producet CommissionsTotal Payable to

WestpacMaximum Planner

Share of TotalBT Foundation Portfolio SuperWrap PSP $37,936

0%0.00%

$00.00%

Term Life with Disability and Living Benefit $1,064

$10610,00%

$474.40%

Income Protection$1,113

$11110.00%

$494.40%

Summary of The Costs of Advice

Advice Stages Advice Fees ($)Product

Commissions ($)Total$/%

1.Strategy Recommendation 1,320 0 $1.3202.Strategy Implementation 4,112 0 $4,1123.Ongoing Services 0 218 $218Total 5,432 218 $5,649

Referrals

You were referred to me by Melita Stanley. Any remuneration earned by Westpac as a result of this referral may assist Melita and potentially other Westpac employees to earn a discretionary bonus.

From time to time, Westpac may conduct campaigns to encourage and reward staff to make referrals to Westpac Financial Planners. Such rewards might include gift vouchers or team events for persons making the largest number of life insurance, investment or superannuation referrals. The advice I am providing may be as a result of a referral made during such campaigns.

Westpac will pay this from the Advice Fees and Product Commissions Westpac receives.

Other payments to Westpac

Where you invest through certain portfolio administered by BT Portfolio Services Ltd, Westpac Group companies (such as Westpac and the platform provider) may receive a direct benefit. The benefit that the relevant Westpac Group company receives may be in the form of a portfolio of a fund manager payment in respect of certain investment funds (a proportion of which may be rebated to you), or a commission based on funds invested in the portfolio administration service.

Please refer to page 10 of the Westpac Financial Planning FSG under ‘Advantage Investment Series’ and ‘Wrap Provides Payments’ for more detailed information on how these benefits are calculated and paid (including worked examples) and who is entitled to them.

Other benefits received by financial planners

As an employee I also receive related benefits such as the payment to professional membership fees (for associations such as the Financial Planning Association), a mobile phone, computer and transport where job related travel is required.

There are other benefits from Westpac or the product manufacturers I may also receive (such as corporate promotional materials, business lunches or tickets to sporting events). These benefits cannot be quantified at any given time and are not generally related to any one product or sale. Please refer to page 9 of the Westpac Financial Planning FSG under ‘How Westpac Financial Planners are paid’ for further information.

I may participate in the following incentive programs:

An incentive program which rewards the top Westpac employees with an annual business forum. The next business forum will be held within Australia, with an approximate value of between $4,000 and $8,000, which may be subject to change. To qualify, I need to meet financial, compliance and other Westpac objectives.

Product Fees and Charges

Details of BT Foundation Portfolio SuperWrap PSP

The following tables show key fees and charges that apply when investing through BT Foundation Portfolio SuperWrap PSP*.

The fees and charges are calculated as they would apply to your recommended investment(s). Estimating these fees and charges based on the recommended portfolio will assist you to understand your regular BT Foundation SuperWrap PSP statement.

This section is not intended to outline or calculate all applicable fees and charges of the BT Foundation Portfolio SuperWrap PSP service or the underlying investment that I have recommended you invest in through the BT Foundation Portfolio SuperWrap PSP service. You should refer to the Product Disclosure Statements and other disclosure documents (as applicable) for a complete listing of the fees and charges of investing through BT Foundation Portfolio SuperWrap PSP and in the underlying investments.

*Fees and charges based on Morningstar data as at 15/10/2012

Investment Manager Fees

Underlying Investments

Amount Invested ($)

ICR/MER Estimated FundBuy/Sell Spread

(%)(% pa) ($ pa)BT Wrap Cash Account 3,133 0.00 0 0.00Advance High Growth Multi-Blend W

34,803 0.98 341 0.61

Total Investments 37,936 0.90 341 0.56Note: The managed funds offered through BT Portfolio Wrap are managed by third parties that charge fees and charges for the management and administration of the managed funds. These can be referred to as Indirect Cost Ratio (ICR) or Management Expense Ratio (MER). These Investment Manager Fees are not an additional expense to you, as the investment returns for each managed fund are net of these fees and charges.

Account Keeping Fee

Account Keeping Fee Scale($)

Account Keeping Fee (% pa) Account Keeping Fee ($ pa)

0 – 34, 803Total: 34,803

0.320.32

111111

Note: The Account Keeping Fee is calculated on the average opening and closing balance of your BT Portfolio SuperSwap account for a month, or part of a month, and excludes the amount held in your Cash Account. It is deducted from your Cash Account on a monthly basis and is an additional expense to you.

As I have recommended you invest through BT Portfolio SuperWrap, you may qualify through the Advantage Investment Series for a rebate on your Account Keeping Fee. This rebate will be shown on your BT Portfolio Wrap Statement.

Service Fees – Investment Switching Fee

There is a fixed transaction cost of $30.50 that will be applied to every acquisition or sale of a managed fund within your portfolio. This fee will be deducted from your Cash Account when the transaction is settled.

Financial Product Replacement Statement As part of my advice, I have recommended that you fully replace your existing Tasplan Super, REST Super, AXA Super, BT Super for Life, Ausfund Super, Mercer Super, REST Super with the recommended BT Foundation Portfolio SuperWrap PSP. In making this recommendation I have considered a number of factors, which are outlined below.

This information has been provide to assist you in deciding whether to act upon my advice

Costs of disposing of (or reducing) your interest in existing product

By fully disposing of your interest in your existing product, you will incur the following costs:

Existing Exit fee Switching fee Buy/SellSpread*

Total

(%) ($) (%) ($) (%) ($)Tasplan Super Flat fee 80 0.00 0 0.00 0 0

REST Super 0.00 0 0.00 0 0.00 0 29AXA Super Flat fee 29 0.00 0 0.00 0 0

BT Super for Life 0.00 0 0.00 0 0.00 0 0Ausfund Super 0.00 0 0.00 0 0.00 0 149

Mercer Super Flat fee 149 0.00 0 0.00 0 0REST Super 0.00 0 0.00 0 0.00 0 258

Total 258 0 0 80*Where a product contains more than one investment option, the fee shown is the weighted average based on the total portfolio.

Cost of acquiring (or increasing) your interest

There may be entry fees and other product costs payable when acquiring or increasing your interest in the new product that I have recommended. Please refer to the section titled ;How I am Remunerated’ for details of any initial product level costs and the section titled ‘Product Fees and Charges’ for details of the buy/sell spread for each investment option.

Comparison of ongoing fees

The following section compares the ongoing fees of your existing Tasplan Super, REST Super, AXA Super, BT Super for Life, Ausfund Super, Mercer Super, REST Super with the recommended BT Foundation Portfolio SuperWrap PSP. As the fees are subject to change, these comparisons should be used as a guide only. For more information please refer to the relevant PDS or other disclosure document for each product.

Comparison of ongoing fees – investments

The following table provides a comparison of ongoing management fees (MER/ICR) and other ongoing product costs. The fees shown are annual equivalents which have been estimated using an investment balance at a given point in time.

When comparing investment management fees please note that altering the overall asset allocation of your investment portfolio could impact these fees. This is because funds invested in defensive assets such as cash or fixed interest typically incur a lower MER/ICR when compared to funds invested in growth assets such as shares or property.

Amount MER/ICR*^ Administration/Account

Keeping Fee

Ongoing Adviser Fee

Total

($) (%) ($) (%) ($) (%) ($) ($)Ausfund Super 205 1.37 3 Flat fee 14 0.00 0 17AXA Super 13,521 2.29 310 0.20 28 0.00 0 338BT Super for Life 214 0.99 3 Flat fee 60 0.00 0 63Mercer Super 2,321 0.79 19 0.00 0 0.00 0 19REST Super 1,664 0.68 12 Flat fee 52 0.00 0 64REST Super 15,962 0.68 109 Flat fee 52 0.00 0 161Tasplan Super 449 0.63 3 Flat fee 78 0.00 0 81Total Existing 34,336 459 284 0 743BT Foundation Portfolio SuperWrap PSP

34,336 0.90 309 0.29 101 0.00 0 410

Total Recommended

34,336 309 101 410

*Where a product contains more than one investment option, the fee shown on the weighted average based on the total portfolio. For a list of the ongoing fees that apply to each recommended underlying option, please refer to the section titled ‘Product Fees and Charges’.

^Performance fees may apply. These may not be included in the MER/ICR information disclosed in the table above.

Comparison of insurance benefits and fees

The table below compares the costs of your existing and recommended insurance cover. All fees provided are based on an annual figure, and the recommended product fees are based on the insurer’s standard rates. After applying, there is a possibility that a loading or exclusion may be added to your premium. The insurer will advise you of their decision and any changes in premium before your insurance is implemented.

Name of policy Type Level of cover($)

Premium & Policy fee

($)ExistingFuture Cov Full 1st NFP Term Life 426,163 487Mercer Term Life/TPD Term Life

TPD210,120210,120

65

REST Term Life Term Life 517,000 281REST Term Life Term Life 517,000 281Tasplan Term Life/TPD Term Life

TPD100,000100,000

117

RecommendedTerm Life with Disability and Living Benefit

Term LifeTPDTrauma

470,330470,330100,000

1,177

Interests & AssociationsWestpac financial planners are representatives of Westpac Banking Corporation which forms part of the Westpac Group. For more information about interest and associations of Westpac and other companies in the Westpac Group, please refer to page 3 of the Westpac Financial Planning FSG under ‘The Westpac Group’ and page 10 under ‘Fees and commissions received by Westpac and its related companies.’

Companies within the Westpac Group manage, issue and provide financial products and services that your financial planner may recommend. When you invest in any product or service offered by a company within the Westpac Group or an external provider, that company will receive fees in relation to your investment in that product or the provision of that service. This may include entry fees, management fees, exit fees and any other fees specified in the PDS or other disclosure documents for the particular product or service.

What you need to know generally about the adviceYou should be aware that I advise on investments and risk insurance only. I am not qualified or authorized to provide tax advice. Any taxation position described is a general statement only, and incidental to the financial advice. It should only be used as a guide. It does not constitute tax advice and is based on current tax laws and our interpretation. Your individual situation may differ and you should seek independent professional taxation advice.

Before making any investment decisions, I also recommend that you seek independent professional legal and/or social security advice as far as any of those are relevant to your financial situation and goals. If you would like me to liaise directly with your other professional advisers in relation to this advise, I would be pleased to do so at your direction.

I cannot make any direct or indirect or recommendations in relation to buying, holding or selling a specific direct property, I will only discuss how the property will impact on your portfolio’s asset allocation. You should seek specialist advice if you would like recommendations on the appropriateness of specific direct real estate investments in light of your relevant personal circumstances.

However, structured and other products where the underlying investments are direct property investments that have been researched by BTFG Research & Strategy and are on the APL can be recommended subject to any caveats, required and accreditations.

You should be aware that I am not qualified or authorised to advise on estate planning. Any estate planning position described in this Statement of Advice is a general statement only and incidental to the financial advice I provide. It should only be used as a guide and does not constitute estate planning advice or a full estate plan. You should seek specialist on your estate planning needs from an estate planning solicitor.

What you need to know generally about the productsWhere my advice includes the purchase of a financial product I advise you to read the Product Disclosure Statement (PDS) or other applicable disclosure document for more comprehensive information before making your decision to purchase with the product. There document contain important information inducing any significant risks associated with the product recommended. If you have any questions about a recommended product and cannot find, or do not understand, the relevant information included in PDS for that product, please ask me.

You should also be aware past performance of a product is not a reliable indicator or future performance.

Unless stated otherwise, products or services recommended to you by your financial planner are not investments, deposits or liabilities of Westpac Banking Corporation or member companies of the Westpac Group. They are subject to investment and other risks, including possible delays in payment of withdrawal amounts in some circumstances, and the loss of investment value, including principal invested. Unless specifically stated, no company in the Westpac group of companies:

guarantees the performance, guarantees the repayment of capital or insurance benefits where applicable, makes recommendations with respect to the suitability of investing in a product, services or

underlying funds.

Your Acceptance of the AdviceI authorize you to proceed with implementing the advice as indicated below and I acknowledge the following:

I understand the services as outlined in the Westpac Financial Planning Financial Services Guide (FSG).

The SoA is an accurate reflection of our discussions. I confirm that this SoA contains information that accurately summarizes my current situation,

investments and my financial goals. I understand that if I have provided incomplete or inaccurate information then I risk making a financial commitment that may not be appropriate to my needs.

You have explained to me the advice and I understand how it relates to my approach to investing (Risk Profile).

Where you have recommended insurance(s), you have explained to me my duty of disclosure to the Insurer and the consequences of non-disclosure or incomplete disclosure.

Where I apply for insurance, I will complete the Personal Statement. Application and all other document requesting information relating to the insurance application completely, accurately and in accordance with my duty of disclosure and understand that a failure to comply with the duty of disclosure could result in the cancellation or avoidance of my policy and affect my ability to successfully make a claim.

You have explained to me the risks of not having my personal insurance needs assessed or policies reviewed make a claim.

You have explained to me the costs of the advice and I have understood these costs. You have provided me with the relevant PDS (or other disclosure documents) relating to the

recommended investments and/or insurance. I understand that I should refer to these prior to making any investment decisions.

I understand that if I decide to withdraw from a financial product during the free look or cooling off period, I will incur a financial loss if the product has fallen in value.

You have provided a copy of the “Privacy Information and Consents” (the Privacy consent) and I agree to Westpac collecting, using and disclosing my personal information in accordance with the Privacy Consent.

I provide the following authorization regarding the advice:

[ ]I provide you authority to proceed with implementing the advice in full and submitting associated applications on my behalf.

[ ]I provide you authority to proceed with implementing the advice and submitting associated applications on my behalf, with the following changes to my Planner’s recommendations (as per insert below):

[ ]I provide you authority to proceed with implementing your recommendations and submitting associated applications on my behalf in relation to the following products (as per insert below):

[ ]I do not provide you authority to proceed with any of the advice at this stage.

My AdviceThe advice I agree to provide

During our appointment regarding the advice you are seeking, we agreed that I would provide:

Advice that is limited to specific aspects of your current personal and financial situation, based on all of the relevant personal information you have provided to me.

Review and consolidate personal superannuation and insurances.

Therefore, at your request, the advice has been prepared without taking into account all of your objectives nor your complete financial situation or needs. Because of this, you should, before acting on my advice, consider its appropriateness, having regard to your objectives, financial situation and needs.

This advice is, or may be, based on incomplete or inaccurate information relating to your relevant personal circumstances. Because of this, you should, before acting on my advice, consider very carefully the appropriateness of my advice, having regard to your relevant personal circumstances.

Paul Sample

_________________________

Signature

_________________________

Date

_________________________

Signature

Financial Planner

_________________________

Date

Note: If you wish to act on some but not all of the recommendations which I have made (or if you want us to vary any of the recommendations), then I cannot confirm that the implementation of these recommendations is appropriate to your objectives, financial situation or needs without further analysis and the preparation of further advice. Before requesting us to implement varied recommendations, you should consider very carefully the appropriateness of doing so, having regard to your relevant personal circumstances.

Assignment Financial Planning

Documents

Transcript of Assignment Financial Planning