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Maat Group: Putting your investment dollar to work


Equity Investment Specialists, Maat Group, continues to bring value to the national commercial landscape and investors alike.

Metropol talks to Managing Director Neil Tuffin about how commercial property equity investment can make your dollar work harder for you.


What does the Maat Group offer and what does your name mean?
Maat Group is a commercial property equity investment company. Maat Group adopted the Egyptian goddess Maat as its symbol; she’s the goddess of truth, justice and balance.


What is commercial property equity investment?
It’s the purchase of commercial property as a direct property investment. By investing as a shareholder in a company formed for the purchase of an investment, the investor is able to purchase a larger property with a better yield than what is available if purchasing as an individual. The shareholder becomes a part owner in the property, along with other investors. The property is fully managed for investors including property management, financial management and general administrative duties.


How long do investors have to leave their money in the investment for?
Our equity investments don’t have any fixed time frame. Investors are encouraged to remain in the investment long term as this passive investment can provide capital gain over time. If circumstances arise that mean an investor has to exit, we can assist with this and facilitate the sale of these shares to the incoming investor. You can contact us for further clarification on our exit process at any time.


Do you charge any investment fees?
The company formed to purchase the investment property pays for the management for the property along with additional expenses such as accounting or audit fees. These are paid from the rental income of the property and don’t affect the distribution rate. The fee structure is set out in the product disclosure statement (PDS) which is available at the time of investment.


How often do investors receive distribution payments from you and is it taxed?
We distribute our returns on investments on the 20th day of each month. If you’re invested as an individual or as a joint partnership, we’re required to deduct your tax portion prior to your distribution payment each month. Our investments are run as a PIE investment with the tax rates of 10.5 percent, 17.5 percent and 28 percent. If you’re invested under a trust or company, you may elect a zero percent tax rate for your investment.


What is the minimum investment?
The minimum investment for our equity investments is $25,000. You can purchase multiple shares in each investment up to a maximum of 20 percent of the share parcels on offer.


Do investors earn capital gain?
The capital gain would be paid at the time of the sale of the property. Investors may receive a capital gain payment in addition to their original share price if the property is sold in excess of the original purchase price


 

Get excited about investing


The best way to get involved with investing is to keep it simple and let a financial adviser do it all for you. They know how to navigate the highs and lows and assist you in achieving the growth you desire. Bank term deposit rates are still at their lowest for quite some time and are likely to remain lower for longer.

 

 

Alistair Bean and Associates – Financial Advisers can assist you with investment planning for your short, medium and longer-term needs and goals.

They can ‘make decisions for you, so you don’t have to’ by creating an investment portfolio specifically tailored for you, is constantly monitored, continues to assist you for the life of your investments and take into account any personal insurance and KiwiSaver needs.

In what appears to have been a decade of unrest and turmoil, the New Zealand market and economy has performed spectacularly well compared to other global markets.

Overseas investments have also offered opportunities to receive returns well above term deposit rates, inflation and the effects of tax.

Investment portfolios tend to go up over time and typically outperform property (eg. your own home).

They can skyrocket in a three-month period but also collapse at the same time.

Like a one-year term deposit, the first proof in the pudding of a managed portfolio is the value at the anniversary date of the original investment and then say the average of three years invested – very much like increases in the value of your own home.

You know that in the first three months of purchasing a home that you would not likely be able to sell the home after three months and expect an increase in value.

The same could also be said if you sold your own home after only two years but after three to 10 years you would like to think that there has been an increase in value.

You could also expect the same for your reserve fund or nest-egg investments.

This is particularly when you need to use a Financial Adviser to assist in maintaining your investments who will constantly follow the market on your behalf.

Some alternatives to term deposits are direct New Zealand and international shares, managed funds and property funds.

With a mixture of these types of investments that cover short, medium and longer-term needs, you can get excited by following each individual investment, or just leave it up to your Financial Adviser at Alistair Bean and Associates to look after for you.

None of your investments need to be locked in or have early repayment penalties.

Investments are cashed in at their market value at the time of withdrawal (from three to 14 days in normal market conditions).

Many clients also take regular monthly withdrawals to help them meet their budgetary needs.

While past performance is no guarantee of future performance, clients of Alistair Bean and Associates – Financial Advisers, have been very pleased with the decisions that have been made on their behalf.

Alistair Bean and Associates welcomes new clients interested in receiving quality advice with an individualised portfolio and oppurtunity for impressive returns over time.

Alistair Bean and Associates are located at Level 1, 293 Durham Street. Christchurch. Phone 021 552 587.

Personal Disclosure documents are available free on demand.


 

Marian Johnson: The Influencers


If the last few months of winter 2019 had a theme for our city’s startup and innovation ecosystem, that theme would be startup funding.

 

Ministry of Awesome Chief Awesome Officer

As you know, our government’s Wellness Budget allocates $300 million to a fund of funds for startup investment managed by NZ Venture Investment Fund. While our local startups have decent access to early seed funding, they’ve not been able to easily access the larger sums required for global growth. This has impacted our speed to market and our ability as a country to be competitive with homegrown innovation. The NZVIF fund of funds is set to change that.

There’s also been plenty of activity from international venture capital groups. Blackbird Ventures have recently announced they are setting up an Auckland office, raising a seed fund dedicated to Kiwi founders, and running their community building Sunrise conference in Auckland in October.

Christchurch has also recently hosted Innovation Bay – an Australian tech investment network – with two events run in the central city. The first event had local startups hearing from a panel of leading Australian VCs. The second was an event where handpicked NZ startups pitched to Australian investors.

An increased level of interest and activity in NZ startups from international investors is encouraging. However, we’re looking forward to seeing our homegrown investor ecosystem catch up quickly so that we can ensure that NZ innovation builds the NZ economy rather than moving overseas to access foreign investment.

 

 

 

 


 

Get Investing: Alistair Bean & Associates


Alistair Bean, Managing Director at Alistair Bean & Associates says, “it’s a great time to be investing in the stockmarket and managed funds”.

 

 

As a Financial Adviser, Alistair says, “It can be difficult to see past a media gloom fest. The current investment opportunities are driven by global low interest rates, a high New Zealand dollar and record global low unemployment. Company borrowing is therefore inexpensive, so debt can be repaid and money can be invested in things like infrastructure and staff, all of which helps to foster a growth economy.”

Alistair believes he has the right formula for expanding his clients’ wealth – just ask his clients, who have enjoyed absolutely stellar growth over the last number of years. Regulations restrict disclosing full data on investment returns, but it’s safe to say his clients’ base annual average return has gone a significant way into double digits.

“Making investment decisions for you so you don’t have to.”

From hour to hour, Alistair is paying very close attention to the subtle shifts in the market so that you don’t have to. “I take the stress of managing your investments from you – it’s a pleasure and a passion,” Alistair says.

“To make sufficient wealth for clients so that time is no longer an issue.”

After 37 years in finance, Alistair attributes his success to some basic investment principals he applies when contemplating promising assets to invest in:

• The share market rises and falls, creating buying opportunities for good shares at bargain prices. We aren’t followers when it comes to selling shares at a time when people should be buying. News in the marketplace always affects the values of shares. The key is having the strength to buy when others are selling at a discount, and being mindful of where a share price is in its cycle.

• The market has exponentially rewarded long-term investors. Despite major hurdles like world wars, recessions, oil shocks, Trump trade wars and Brexit, equities have still significantly outperformed property, bonds, cash and inflation. You need to be in the market and stay in the market with diversification still being the key.

Alistair travels the world to see investment managers, and spends many hours each day immersed in the business of researching investment opportunities, ensuring current investments maximise clients’ needs.

July saw Alistair Bean and Associates celebrating in style with their ‘client family’. After nearly seven spectacular years in business, they are thrilled to have moved into fabulous new premises in the city they love in Christchurch’s new West End Business Precinct. A client said to Alistair, “I was referred to you by my brother who raves about you. He was so happy, his partner and his best friend also invested with you, it’s like a family”.

“That’s how we like it to feel too, everyone deserves great investment advice,” Alistair says.

Disclosure documents are available, free upon request.

 


 

Cindy-Lee Sinclair

Marketing your property: Cindy-Lee Sinclair of Harcourts Holmwood on what to think about when selling your home or investment

Long established as a top-flight professional real estate agent in Christchurch, Cindy-Lee Sinclair of Harcourts Holmwood Real Estate Merivale says there are several things to know when putting property on the market. An absolutely key element is to ensure an agent has a signed listing authority before they bring buyers through, Cindy says.

Cindy-Lee Sinclair

Your agent should provide you with a written market appraisal to help you set your expectations about price range for the property. The agent should also discuss with you all the different ways you can sell the property and help you settle on the method that best suits. The agent should also talk through the marketing options and help you choose a programme that meets your needs and the method of sale chosen.
Cindy says you also need to understand how and when the agent will be paid, and how the commission on the completed sale will be calculated. Other costs to consider include marketing and the auctioneers fee, if you choose to sell via auction.
Cindy recommends everyone planning to sell their home read the ‘New Zealand Residential Property Agency Agreement Guide’ prepared by The Real Estate Agents Authority. It sets out in some detail the information you need and the decisions you will have to make and you can clarify any information in there with Cindy or your agent.
Cindy can be contacted at
cindy.sinclair@harcourts.co.nz
or at 0274 888 616.