Month: May 2024

The psychological thriller Ripley has received critical praise for its cinematography and writing. If you’ve been on the edge of your seat watching the story unfold, you might have thought “I’d never fall for the tactics of a con artist”, but a scam carried out today uses many of the same ploys and relies on catching people off guard.

Ripley is the latest adaption of Patricia Highsmith’s 1955 novel The Talented Mr. Ripley. In 1950s New York, con man Tom Ripley is hired by a wealthy man to convince his son to return home from Italy. As he embarks on a trip to Europe, Ripley starts building a complex life of deceit and fraud.

It’s not only those who come across Ripley that need to be careful. Indeed, there are many “Ripleys” scamming victims today – according to a report in Money Marketing, more than £2.6 billion was stolen between 2020 and 2023 through investment scams alone. More than 98,500 victims reported crimes, with an average loss of £26,773.

So, here are some valuable lessons you could learn from Ripley to protect your wealth.

Appearances can be deceiving

Ripley gets the opportunity to carry out a scam after Herbert Greenleaf mistakes him for a friend of his son, and then he takes up the charade. Ripley uses his ruthless charm and skills to build a rapport with others to get what he wants.

It’s an important reminder that people aren’t always who they seem. If you receive contact out of the blue, a measure of caution could help you spot a potential scam.

It’s not just people you need to be wary of. A growing number of scammers are posing as legitimate companies.

Which? found that more than 2,000 suspected banking copycat websites were reported in 2023. These websites might look genuine and could dupe you into handing over sensitive information.

Fraudsters might also use text messages, emails, or other forms of communication in a way that looks similar to real organisations to build up a sense of trust.

If you’re unsure if the person you’re speaking to is who they claim to be, don’t be afraid to end the contact and directly call the organisation using the details listed on the Financial Conduct Authority’s register. A legitimate firm will understand why you’re being cautious.

Protect your personal details

Scammers don’t always need to contact you to take control of your assets. If they get hold of your personal information, it might be possible for them to carry out identity theft.

In Ripley, Tom assumes the identity of another person to gain access to their trust fund and enjoy a lavish lifestyle. Modern fraudsters who have sensitive information could gain control of your bank accounts and other assets. Criminals may even take out credit in your name.

Keeping personal details such as your date of birth, current and previous addresses, and passwords secure could reduce the risk of identity theft. If you’re getting rid of old documents, shredding or destroying them before putting them in the bin may be a useful step to take too.

Victims of a scam might not get a happy ending

In the novel, Ripley comes out on top at the end – he’s rich and plans to continue his travels in Europe, although he’s plagued by worries that the consequences of his actions will come back to haunt him.

However, The Talented Mr. Ripley doesn’t have a happy ending for the victims of his scams, and, sadly, that can all too often be the case in real life. Tracking down scammers can be impossible, and you might not recover the assets that have been stolen.

While some banks or other financial institutions might offer you a refund if you fall victim to a scam, they often don’t have to, and many are left out of pocket. Indeed, according to UK Finance, in the first half of 2023, around a third of people who lost money to authorised push payment scams didn’t receive their money back.

So, taking a cautious approach if you’re offered a financial opportunity, even if it appears genuine, is usually a good idea.

You should be particularly cautious if you’ve been approached out of the blue and the person is putting pressure on you to act quickly – both these potential red flags could signal it’s a scam. 

Contact us to talk about your financial plan

Feeling confident about your financial plan could mean you’re less likely to fall victim to a scammer. You could also contact us if you’re unsure if a financial opportunity you’re considering is legitimate or right for you. Please contact us to arrange a meeting.

Please note:

This blog is for general information only and does not constitute advice. The information is aimed at retail clients only.

A will is an important way of outlining what you’d like to happen to your assets when you pass away. Yet, figures suggest will disputes are on the rise. If you’re worried about potential conflicts when you pass away, read on to discover some useful steps you might want to take.

According to a report in the Guardian, thousands of families have been embroiled in disputes dubbed “ruinously expensive” by solicitors. As well as the potential legal costs, court cases can be emotionally draining and place pressure on your loved ones.

In 2021/22, 195 disputes went to court, up from 145 in 2017. While the figure is low, it’s thought to be just the tip of the iceberg as many cases are settled out of court. Indeed, the report suggests that as many as 10,000 families in England and Wales are disputing wills every year.

A dispute could mean your assets aren’t passed on in a way that aligns with your wishes, or even that someone who you wanted to benefit from your estate is overlooked. If it’s a situation you’re worried about, here are seven steps you could take to reduce the risk of your will being overturned.

1. Speak to loved ones about your wishes

Speaking to your family about your wishes can be difficult. Nonetheless, it could be an important conversation and mean there are no surprises when your will is read, which could reduce the chance of a dispute arising.

If someone in your life discovers they will inherit less than expected or are not a beneficiary in your will after your passing, they may be more likely to react negatively – especially if they’re also grieving your loss. Discussing it during your lifetime could give them time to come to terms with the decision, as well as allow you to explain your reasons. 

2. Write a letter of wishes

Similarly, you can write a letter of wishes that could be read alongside your will. This provides an opportunity to explain why you’ve made certain decisions, which could be useful for beneficiaries, the executor of your estate, and, if a dispute arises, the court.

You should take care that the letter of wishes doesn’t contradict what’s written in your will – you may want to ask a solicitor to review it to minimise mistakes.

3. Include a no-contest clause in your will

You could choose to add a no-contest clause to your will. It doesn’t mean that someone can’t raise a dispute, but it can act as a deterrent. Essentially, the clause means that if someone did challenge your will and lose their dispute, they would forfeit any inheritance they may have been entitled to.

So, if you’re worried that a beneficiary could challenge your will to try and receive a larger proportion of your assets, adding a no-contest clause might be useful.

4. Hire a solicitor to write your will

You can write your will yourself without any professional legal support. Yet, a solicitor could provide essential guidance and check the language of your will.

For example, if you’ve used vague or contradictory phrases, there could be a greater opportunity for disputes to arise. It could be particularly important if your estate or plans are complex. Choosing to hire a solicitor may help you feel more confident that your wishes will be carried out.

5. Ask a medical practitioner to witness your will

For your will to be valid, it must be made or acknowledged in the presence of two witnesses. To act as a witness, a person must:

• Be aged over 18 (16 in Scotland)
• Have the mental capacity to understand what they are signing
• Not be related to the person making the will or have a personal interest in the will.

However, if you’re worried that your will could be contested on medical grounds, you might want to ask a medical practitioner, such as your GP, to witness it. This could prevent later accusations that you weren’t of sound mind when writing your will. 

6. Regularly review your will

One of the reasons why a dispute may occur is that your beneficiaries don’t believe your will reflects your circumstances when you pass away. So, a regular review might be useful.

Going over your will every five years or following major life events could ensure it remains up-to-date. For example, you might want to make changes after you welcome a new grandchild into the family, remarry, or your wealth changes significantly.

7. Store your will in a safe place

Finally, make sure your will is stored in a safe place and your executor knows where it is. If you’ve rewritten your will, be sure to destroy previous ones to avoid potential confusion.

Understanding your estate could help you make decisions about your will

If you’re deciding how to distribute your assets or need to update your will, understanding your estate could be an important step. Calculating the value of various assets and how they might change during your lifetime could alter how you want to pass them on. Please contact us to talk about your will and wider estate plan.

Please note:

This blog is for general information only and does not constitute advice. The information is aimed at retail clients only.

The Financial Conduct Authority does not regulate estate planning.

Financial planning can help you to reach your life goals, and give you and your loved ones security and peace of mind. Over the next few months, you can read our blog to discover exactly why a financial plan that’s tailored to you can add value – and we’ll start with the financial benefits.

When you think about seeking financial advice, one of the first advantages that may come to mind is the opportunity to grow your wealth. Making the most of your assets could be essential for reaching your aspirations, from retiring early to passing on a nest egg to the next generation.

There are many reasons why working with a financial planner could help increase the value of your assets, including these five.

1. A financial plan starts by setting out your goals

A goal that simply states “I want to grow the amount I have in savings and investments” is vague. Poorly defined goals may make it difficult to assess if you’re on the right path and determine if the steps you’re taking are successful.

An effective financial plan starts by understanding what you want to achieve and how the value of your assets might need to change to turn it into a reality.

Let’s say you want to ensure your retirement is secure. A financial plan could help you understand what income you’d need to generate in retirement to live the lifestyle you want, and how you’d need to grow your assets during your working life. So, your goal might become: “I want to be able to retire at 60, and to do this I need £1 million in my pension fund.”

With a clearly defined target, you might be in a better position to increase the value of your assets and it could motivate you to stay on track.

2. Identify which steps could lead to the outcome you want

Once you have a clear goal, you’ll often need to break down the steps you’ll need to take to reach it. When doing this you might have questions about which approach will help you to make the most of your money.

For instance, if your goal is to save on behalf of your child so you can pass a nest egg on to them when they’re an adult, you might have questions like:

• How much do I need to set aside each month to reach my target?
• Should I save for my child through a Junior ISA or savings account?
• Does it make sense to hold the money in cash or to invest it?
• What steps can I take to ensure the nest egg isn’t wasted?

The answers will depend on your circumstances and priorities. For example, if you’ll be building the nest egg over the next decade, investing the money could make sense as you have a long time frame. On the other hand, if you plan to give your child the money in two years to support them through university, cash might be more suitable.

Choosing the “right” approach for you could provide security or mean you’re able to reach your target sooner. A financial planner can work with you to understand your options and how they might affect the outcome.

3. A financial planner could help you understand your risk profile

If you’re seeking to grow the value of your assets, it might involve taking some risk.

For some people, taking investment risk can be scary, and they might even put off investing altogether. Indeed, according to an Aviva survey, 18% of women who don’t invest said their decision was due to risk.

No one wants to see the value of their assets fall during a downturn, but if you want to grow your wealth in real terms, risk might be necessary.

The money you hold in a cash account may seem “safe” but once you factor in inflation, it’s likely the value of your savings in real terms is falling. This is because as the cost of goods and services rises, the spending power of the cash will fall.

Managing fears to understand what risk is appropriate for you and your goals can be difficult, but working with a financial planner could give you confidence and ultimately lead to your wealth growing.

4. A financial planner could determine which tax allowances and reliefs to use

Taking advantage of appropriate allowances and reliefs could reduce your tax bill and provide a boost to your wealth.

However, tax rules can be complex and difficult to understand how they apply to your situation. A financial planner could add value here by identifying how to use allowances and reliefs to make the most of your assets.

As well as understanding which reliefs or allowances make sense for you, it’s important to keep on top of changes. For instance, in 2024/25, there have been cuts to the amount you can earn from dividends and profits when selling assets before tax is due. If you missed the announcement, you could face a larger tax bill than expected.

Regular financial reviews could ensure your financial plan reflects current legislation and highlight when new opportunities might be suitable for you.

5. A financial planner could highlight potentially harmful reactions

How you respond to news or challenges could affect your financial plan. Even the best-laid plans could be knocked off course if you make a knee-jerk decision.

If your financial plan involves investing, how you respond to market downturns or short-term volatility could have an impact. In response to the value of your investment falling, you might be tempted to sell. However, you could be turning paper losses into a reality, and you may miss out on the market bouncing back and delivering potential returns over a long-term time frame.

While investment returns cannot be guaranteed, historically, markets have delivered growth over the long term. So, reacting to news could mean that your investment returns fall short of expectations.

Working with a financial planner could help you identify behaviour that could harm your progress  towards your financial goals and the value of your assets.

The intangible benefits of effective financial planning could be just as valuable

While growing your wealth might be one of the key reasons you initially seek financial advice, the intangible benefits could be just as important. Among them might be an improved sense of wellbeing or a greater focus on your goals, which could mean you’re more likely to reach them.

Read our blog next month to take a closer look at why the emotional benefits of financial advice add value too.

If you’d like to talk about how we could support your financial and lifestyle goals, please contact us. We’ll work with you to create a tailored plan that could help you grow your wealth and feel more confident about the future.

Please note:

This blog is for general information only and does not constitute advice. The information is aimed at retail clients only.

The value of your investments (and any income from them) can go down as well as up and you may not get back the full amount you invested. Past performance is not a reliable indicator of future performance.

Investments should be considered over the longer term and should fit in with your overall attitude to risk and financial circumstances.

The Financial Conduct Authority does not regulate tax planning.