1. Goodbody/ISEA
INFORMATION EVENING
OCTOBER 2014

2. Introduction/Welcome
Goodbody/ISEA
October 2014
MARIA ANGELES PONS
Financial Planning Manager
Introduction/Welcome

3. Introduction/Welcome
Goodbody/ISEA
October 2014
URSULA TIP
President ISEA
Introduction/Welcome

4. Goodbody/ISEA October 2014 DERMOT O’LEARY Chief Economist Goodbody
Economic Prospective

5. Europe’s growth beacons?
Spain & Ireland
Europe’s growth beacons?
Economist: Dermot O’Leary Tel:
23 October 2014

6. Agenda The euro area crisis – the never-ending story?
Spain & Ireland – brothers in arms
Ireland – Europe’s growth beacon
Budget 2015 – Growth allows prudence to slip

7. From sovereign crisis to deflation concerns
Portugal Bailout
Greek Bailout II
Irish Bailout
Draghi – “Whatever it takes”
Greek Bailout I

8. Growth disappointing expectations

9. France & Italy are the culprits

10. Current a/c positions in the euro area

11. Rebalancing Act

12. Becoming competitive again

13. External assistance required

14. Ireland – Europe’s growth beacon

15. Government debt levels remain high

16. Key conclusions
European crisis is not over, but concern is very much focused on France & Italy – there is value in an economic adjustment programme
Fiscal leniency bargain in return for structural reforms
ECB is likely to respond with further action, but will likely fall short of full-blown QE
Stress tests will be important milestone – particularly for Spain and Ireland
In Ireland, a broad-based and sustainable recovery now in evidence
Danger that fiscal policies will be determined by politics rather than economics
“We all know what to do, we just don't know how to get re-elected after we've done it”, Jean-Claude Juncker

17. QIAIFS Goodbody/ISEA October 2014 ALISON MANLEY
Director of Product Solutions
QIAIFS

18. Everyone is moving to Ireland
Alison Manley
22 October 2014

19. What do these properties have in common?

20. QIFs become QIAIFs Qualifying Investor Alternative Investment Fund
Tax efficient investment vehicle, particularly for real estate.
Few investment restrictions.
Non-Irish resident investors receive their gains gross.
Regulated by the Central Bank of Ireland.
Subject to the European Alternative Investment Management Funds Directive.

21. QIAIF service providers
Dublin is a global centre of expertise
Alternative Investment Fund Managers (AIFM)
Investment Managers
Legal Advisers
Tax Advisers
Administrators
Custodians
Valuation Agents
Auditors
Company Service Providers
Property Managers
Regulators

22. QIAIF service providers
Dublin is a global centre of expertise
Alternative Investment Fund Managers (AIFM)
Investment Managers
Legal Advisers
Tax Advisers
Administrators
Custodians
Valuation Agents
Auditors
Company Service Providers
Property Managers
Regulators

23. Some big numbers
22,000 The number of people providing services to funds
€2.9tr The total net value of funds administered in Ireland
40% Ireland’s market share of AIF administration
1,848 The number of QIAIFS regulated in Ireland
€1.7bn The gross value of property assets we manage in QIAIFs

24. Pensions Goodbody/ISEA October 2014 BRENDAN MCGINN
Director of Pensions
Pensions

25. Goodbody and Pensions ISEA October 2014
Brendan McGinn, Director of Pensions

26. Funding levels increasing. Property back on the agenda
Trends
Funding levels increasing.
Tax shelter or replacement income?
Property back on the agenda
IPUT
REITs
Direct
DB schemes
Closing
Voluntary transfers out of Defined Benefit schemes by former members
Overseas transfers.
Social Welfare pensions

27. Goodbody Pensions Business
Wish list Budget 2015
Stability
Certainty
Removal of levy
Re-establishment of trust?

28. Pillars of retirement provision
4. Earned income in retirement
3. Savings & investments
2. Private pension
There are four pillars of provision to deal with this income drop:
The State Pension (Contributory)
Private pension provision
Personal savings and investments
Earned income in retirement, where individual works for a period, possibly part time, in retirement.
1. State Pension (Contributory)

29. Service to pension clients
Small Self Administered Schemes/ARFs
Investment management , reporting and tax compliance services as an approved Pensioneer Trustee and Qualifying Fund Manager
Personal Retirement Savings Account
Goodbody Stockbrokers are approved by Pensions Board and Revenue to provide a non standard, self directed portfolio based PRSA
Self Directed Pensions
Through our product alliance with Zurich we provide the full range of Self Directed insured pension products for Self Employed, Directors, PRSA, Buy Out Bonds, ARF and AMRF
own

30. Financial Planning Goodbody/ISEA October 2014 OWEN REDMOND
Head of Financial Planning
Financial Planning

31. Goodbody Financial Planning
Current trends in financial planning:
Safeguarding current & future income
Assets
Income protection
Life cover
Pension provisions
Education Funding for 2nd & 3rd Level fees
Managing “Tax Alpha” – this is the yield added to your investment return by good tax management.
Deposit vs Gross roll up
Direct holdings (Capital Gains) vs Fund (Exit tax)
US ETF vs European ETF
Pension vs Personal

32. Goodbody Financial Planning
Current trends in financial planning:
Asset migration
Annual Gifts to beneficiaries – A couple can pass €6,000 per year
Over 10 years the €60,000 could be worth c.€68,780*
If passed outside a structured plan the Gift tax would reduce this by c.€22,690
Inheritance Tax management
Lifetime tax exempt limits have fallen
High (2009) - €542,544
Currently - €225,000
Tax rate has increased from 20% to 33%
*Growth rate of 3% net of costs rolled up to year 10

33. Goodbody/ISEA
October 2014

34. Questions ?

35. Thank you

36. REFRESHMENTS & TAPAS
Enjoy!!!