The high net worth clients of tomorrow – high income professionals (HIPs) – are being targeted by savvy Sydney boutique financial planning practice Arnheim Gillard.
Heading up the service is financial consultant and marketing manager Michael Swinsburg, who has spent 20 years working with financial services executives, including at Macquarie Bank and Citibank.
“HIPs are flat out with their career, they’re flat out with their family and their lifestyle. They’re doing well financially, but they haven’t got a well-structured plan. They need a strategic financial plan, implemented with discipline by a wealth manager or coach and regularly reviewed,” Swinsburg, who joined the firm late last year, said.
A HIP is typically a general manager of a business who earns $250,000 a year plus large bonuses. They are in their mid-thirties with a young family, substantial home debt, an equity plan, gearing issues and a modest amount of superannuation.
“HIPs are the kids of the high net worth market,” Swinsburg said.
Swinsburg plans to gain 200 clients in three years by offering services to senior executives through human resources departments, industry contacts and centres of influence.
Arnheim Gillard has identified seven HIP needs: a tailored wealth plan, debt structuring, risk management, tax-effective estate planning, superannuation, appropriate gearing and asset protection.
The service is fee-based and clients pay a monthly retainer. The firm, which manages $300 million in client funds, dumped its dealer group of 20 years, Godfrey Pembroke, a subsidiary of National Australia Bank, in February in favour of Tasmanian-based Shadforths.
