Expat Financial Advice in Spain 2010

Welcome to the New World!!! Not just for 2010 but for many years to come.  Here we highlight some of the issues that are important to you in 2010.  Perhaps one of the most important factors to undersand is that you need to be "engaged" with your financial planning more than ever if you do not want your wealth damaged in this brave new World.

Increasing Taxation

Governments in the developed World have serious budget deficets.  They will HAVE to address this issue.  There are only three ways to do is.

• Provide a benign environment in which to encourage business.
• Spend less
• Tax more

Tax more is the easiest course of action and we are seeing evidence of this.  In Spain, the rate of tax on savings has chaged from 18% to 19%.  In the UK there is much commentary regarding Bankers Bonus taxes but other taxes, including national insurance, income tax and inheritace tax have all increased in real terms.

Fortunately, there are still plenty of planning opportunities.  Some of them remarkable simple (depending a little bit on your circumstances).  Using the CORRECT type of  financial planning can defer and even reduce the rate of tax payable in both the UK AND/OR Spain.  And you can still invest in a wide choice of different invesments.

Markets

In January 2009 we said that there were pockets of good news, despite the recession.  Several markets have produced incredible and outstanding results, notably China and India.  We don´t think it was the mention in our newsletter last year that moved the markets (yes, rather tongue in cheek)  but the fact that there are fundemental shifts taken place in the World. A New World financial order.

                                              China                                                                                                      India

We are pleased to report that many of our client portfolios have performed remarkably well this year.  The change to the New World order, away from the West and to the East (and perhaps even in time toward Africa) will continue.  This does not mean the demise of American, Britain and Europe but it does mean that your wealth management strategy should take this into account and reflect your approach to risk, your expectations and your current circumstances. We beloieve there opportunities for good returns in 2010 from the right types of investments.

What to do in 2010

The first thing to do is become engaged in the process of financial planning.  You cannot expect to do the same as last year or worse, do nothing. If you do your wealth will be at risk from taxation, changing investment themes, changing economc circumstances, currency and more.

The detail of what you should do will depend on your individual circumstances. However, here are a number of issues that need to be reviewed:

• Am I being taxed in the correct country?
• Am I paying more than I need to in tax?
• How do I protect my wealth?
• How do I generate income?
• Will/Do I have enough to live on in retirement?
• If I have a UK pension and have not yet retired how do I protect my pension?
• What is the outlook for my business (where appropriate)?
• This year the rate of exchange will change. What impact will the change have on me?

Addressing these issues is best done with the guidance and support of a qualified, experienced and regulated Independent Financial Adviser.  Which is where we help you.  Drop us an email, without obigation, by clicking contact us or telephone on 00 34 645 257 525.

We would like to wish you a Happy, Healthy and, of course, Wealthy 2010.