Financial Services Guide

Version (8.0), Prepared on 28/10/2024

Licensee Details

W2 Wealth Pty Limited
ABN: 45 625 635 074
AFSL: 508696
Address: Unit 1, 53-57 Glen Osmond Road. Eastwood. SA 5063
Phone: (08) 7160 1165
Email: admin@w2wealth.com.au

What does this document contain?

The purpose of this Financial Services Guide (FSG) is to assist you in deciding whether to use any of our services by providing you with important information about the types of services we provide, how we and other relevant persons are remunerated, our interests and associations, and details about your rights should you have a complaint about the advice or services we have provided to you.

It is important that you read and understand this FSG. Should you have any questions please contact us to discuss them.

Where we provide you with a financial service, you may receive a Statement of Advice from us, which sets out our personal advice to you. You may also receive a Product Disclosure Statement which sets out information about a financial product you can acquire. These documents are explained in more detail in the following pages.

In this document any reference to “the licensee” or “we” or “us” or “our” means W2 Wealth Pty Ltd, Australian Financial Services Licence (AFSL) number 508696. Reference to “financial adviser” means an authorised representative of Capital Plan Pty Ltd (Practice,) ACN: 150 523 238 as Trustee for The Jaluto Family Trust ABN: 47 138 002 689 as a corporate authorised representative number 405079 of W2 Wealth Pty Ltd.

Who is responsible for providing you with advice and services?

We hold an AFS Licence (AFSL) issued by the Australian Securities and Investments Commission (ASIC), which enables us to offer financial advice services. As the licensee, we are responsible for the delivery of the services provided by our financial advisers.

We act on our own behalf when providing the financial product advice services we are authorised to provide. When we deal in financial products we act on your behalf as our client.

The services we can provide:

We can provide specialist advice and services in the following areas:

• Financial planning advice.
• Wealth accumulation advice.
• Superannuation advice (including self- managed superannuation funds).
• Redundancy advice.
• Retirement advice.
• Gearing strategies advice.
• Cash flow advice.
• Social security benefits advice.
• Personal & business risk insurance advice.
• Estate planning services.

We have authorised our financial advisers to deal, and provide financial product advice, in the following areas:

• Basic deposit products;
• Debentures, stocks or bonds issued (or proposed to be issued) by a government;
• Life products including investment life and life risk insurance products;
• Interests in managed investment schemes including investor directed portfolio services;
• Retirement savings accounts;
• Superannuation including self-managed superannuation funds;
• Securities, including direct equities; and
• Standard Margin Lending facilities.

Additionally, our financial advisers are all registered to provide Tax (Financial) Advice services. Based on the information collected from you, your adviser will consider the tax consequences of the financial advice they provide. However, this financial advice will not include a full assessment of your overall tax position or your tax liabilities and obligations. You should seek specialist tax advice from your accountant.

The services we cannot provide:

Services that cannot be provided under our AFSL include:

• Derivatives;
• Personal advice relating to acquisition, development or disposal of direct property. Advice relating to direct property acquisition or investment will only relate to the investment strategy of an investment in property, such as asset sector allocation, cashflow and capital expenditure budgeting; and
• Credit advice, such as the arranging of a loan or the taking of credit. We may refer you to a broker that can assist with such matters.

You should rely only on the financial services described in this document.

What is our Approved Product List?

We have developed our own approach to researching financial products that may be suitable for our clients. Only those products which have been assessed and supported by external research become part of our approved product list (APL). This list is extensive and incorporates a range of third-party fund managers and life companies.

When providing personal advice, a reasonable investigation will be conducted to recommend products that are appropriate and in your best interests based on your individual circumstances, goals and objectives. This may involve investigating and recommending products which are not on our approved product list.

Who are our financial advisers?

All advice provided by the financial advisers are provided as authorised representatives of Capital Plan Pty Ltd (Practice,) ACN: 150 523 238 as Trustee for The Jaluto Family Trust ABN: 47 138 002 689 as a corporate authorised representative number 405079 of W2 Wealth Pty Ltd.

Mark Williams: Authorised Representative number 261004.

Mark was the founding partner of the business in 2011. Born in the UK, he moved to Australia in 2002. He then spent 6 years living in Melbourne before moving to Adelaide in 2008. Mark is an active father to his three children: Jack, Lucy and Tom. He is a keen trail runner and hiker, an avid reader, a road cyclist and trains in karate. He loves to travel and is a qualified rescue diver.

Mark is able to provide comprehensive financial advice. He is passionate about what he does and thoroughly enjoys working with his clients. His client base includes wealth accumulators, retirees, small business owners and high net wealth individuals.

Mark can provide advice and services in all the areas covered by the licensee. As a Director and Shareholder of W2 Wealth Pty Ltd and Capital Plan Pty Ltd, and an employee of Capital Plan Pty Ltd, Mark receives a salary and may also receive profit share and distributions.

Information we require to provide you with appropriate advice

We need full details of your personal objectives and needs, your current financial situation and any other information that is relevant to your reasons for seeking our advice. If you provide us with either incomplete or inaccurate information, the advice you receive may not be appropriate, and you would need to assess this, and accept the consequences for your own actions considering your true circumstances.

As a business operating in Australia, we are required to adhere to the Australian Privacy Principles (APPs) contained in the Privacy Act 1988 (Cth) (the Privacy Act), which regulate the collection, storage, use, and disclosure of personal and sensitive information. Information about how we comply with the APPs can be found in the Privacy Policy available on our website or you can request a copy from us through any of the contact details provided within this FSG.

How will we provide our advice to you?

Personal advice will be provided in writing, in a document called a Statement of Advice (SoA). This document sets out your personal circumstances and your needs and objectives, and then explains the resulting strategy and recommendations. The SoA will also, among other things, tell you about:

• The basis on which the advice is given;
• The cost of the advice including the fees payable and any commissions we may receive; and
• Any associations we have with financial product issuers or other parties which may have the potential to influence the advice we give you.

If there has not been a significant change to your personal circumstances, any further advice may be provided to you in a Record of Advice (RoA). A copy of the RoA will be issued to you at the time the further advice is provided. You can request a copy of an RoA by contacting us using any of the contact details contained within this FSG up to 7 years after the advice was provided to you.

Where our advice recommends a financial product, we will provide you with a Product Disclosure Statement (PDS). The purpose of a PDS is to assist you to make an informed decision about whether to acquire the financial product, as it contains a description of the product features, risks and benefits, and information about your cooling-off rights (if applicable). You should read and understand the PDS prior to making a decision about any product. If you have any questions, these should be raised with your financial adviser.

There may be circumstances where we provide advice that is not based upon your own personal circumstances, needs and objectives. This may be treated as General Advice, and you need to consider its appropriateness in light of your personal circumstances before acting on the advice. If any particular product is mentioned, a copy of its PDS should be obtained by you and considered by you before making any decision.

If you instruct us to arrange a transaction without obtaining our advice, we may be able to deal in or arrange those products by carrying out your instructions on an execution-only basis. If you do not obtain advice, you face the risk that the financial product/s you select will not take into account your objectives, financial situation or needs, and we are not liable for any losses that are incurred from carrying out your instructions on the basis the financial product was not appropriate, or where you have declined to act in accordance with our advice.

How can you give us instructions?

You may instruct us by telephone, in writing, or email using the contact details provided within this document. We may not act upon written or email instructions without verbal confirmation. Similarly, we may write to you confirming the substance of a verbal instruction prior to taking action.

Relationships and associations and remuneration

There are no other relationships or associations outside of what is detailed in the ‘Who are our financial advisers?’ section.

Other benefits

We may receive small benefits like entertainment or hospitality from certain product providers at no additional cost to you. We keep a register to record benefits valued at between $100 and $300. A copy of this register will be provided within seven days upon request.

What fees and other remuneration is payable for our services?

All fees and commissions are payable to the licensee. Up to 100% of the fees and commissions we receive will be paid by the Licensee to the Practice. The Licensee will retain a portion of these fees and commissions to cover its costs.

The fees which you pay for financial advice are separate to fees which are paid to the product issuers. It is important that you fully understand the types of fees and costs, and the total cost borne by you, on an annual basis.

If the remuneration (including commission) or other benefits are calculable at the time personal advice is given, the remuneration (including commission) or other benefits the person receives on specific financial products to which the personal advice relates, will be disclosed at the time the personal advice is given, or as soon as practicable after that time. If not, the manner in which the remuneration (including commission) or other benefits are to be calculated will be disclosed at the time the personal advice is given or as soon as practicable after that time.

Initial advice:

A fee may be payable for the preparation and presentation of our written financial advice. Our advice fees range from $3,300 to $6,600 and are based upon the complexity of your relevant circumstances and the advice required to address your needs and objectives.

Where you are advised to acquire a personal risk insurance product, the cost to you of the advice may be reduced because we receive a commission payment from the insurer when you acquire an insurance policy. The commission amount will vary based on your premium and when your policy was first put into place.

Implementation fee

Should you accept our recommendations, we may charge an implementation fee to cover the time taken to implement your strategy, which may include liaising with your existing financial product issuers, arranging for new products to be opened on your behalf, facilitating rollovers, contributions or transfers. This fee ranges between $550 and $4,400 and will be calculated and disclosed to you when we form our recommendations and explained in your Statement of Advice.

Ongoing services

The benefit of receiving personal financial advice often comes from the ongoing relationship that you establish with your financial adviser, so that your financial strategy and products are regularly reviewed against the markets and changes to your circumstances or goals.

The fees for our ongoing services range from $4,400 to $22,000 per annum depending upon the complexity of your situation and the frequency of reviews. A separate service agreement will be provided with your Statement of Advice, which will detail the services to be provided, and the costs.

If your adviser considers ongoing services are necessary to keep your financial plan tracking to achieve your goals, the level of service, and fees payable, will be discussed and will apply if agreed by you in writing.

Execution-only or Ad-hoc fees

If you require additional services that are not covered by any of the fees scheduled above, we will advise you if fees apply, and obtain your authorisation to act prior to proceeding.

Do we receive commissions?

Initial and ongoing commissions from insurance providers may be received by us. These commissions are paid to us by the insurance company if you acquire the cover we recommend. Up to 100% of any commissions we receive will be paid in full by the Licensee to the Practice. The value of the commissions is included in the cost of what you pay for the insurance and are not an additional cost to you. The commissions we receive will be disclosed in your Statement of Advice with our recommendations. In some circumstances, these may be used to offset the cost of our advice fees.

The initial commission is paid at the commencement of the insurance policy by the product issuer to us. Ongoing commissions are payments paid by product issuers to us after the commencement of the insurance policy.

If you initiate an increase to your cover (resulting in an increase in the cost of premium payable by you to the insurance company), we may receive a further initial commission and an increase in the receipt of ongoing commissions on the value of the annual increase to your policy cost.

Where we recommend the use of a level commission arrangement, we will receive up to 33% of your annual insurance premium.

Upfront Commissions

Policies in place prior to 1 January 2020 – Upfront commission of up to 140% on the first year’s premium, and ongoing commission of up to 38.50% on the renewal premium.

Policies put into place after 1 January 2020 – Upfront commission of 66% on the first year’s premium, and ongoing commission of 22% on the renewal premium.

Example: We recommend that you obtain an insurance product. The annual premium is $2,000 and the issuer pays an upfront commission of 66%. W2 Wealth will receive $1,320. The issuer will then pay 22% of the ongoing annual premium as an ongoing commission for as long as you hold the product. Again, assuming an annual premium of $2,000, this equates to $440 per year.

What to do if you have a complaint:

If you have a complaint or concern about the service provided to you, we encourage you to take the following steps:

1. Review our public complaint policy located on our website (www.w2wealth.com.au)
2. Contact us about your concern using any of the contact details within this document. We will try to resolve your complaint quickly, fairly and within prescribed time frames.
3. If your complaint is not resolved to your satisfaction within 30 days, you have the right to refer the matter to the Australian Financial Complaints Authority (AFCA). AFCA provides fair and independent financial services complaint resolution that is free to consumers.

• Website: www.afca.org.au
• Email: info@afca.org.au
• Telephone: 1800 931 678 (free call)
• In writing to: Australian Financial Complaints Authority, GPO Box 3, Melbourne VIC 3001.

Our compensation arrangements

We have arrangements in place to maintain adequate professional indemnity insurance as required by s912B of the Corporations Act 2001. This insurance provides cover for claims made against us and our financial advisers, including claims in relation to the conduct of financial advisers who no longer work for us but who did so at the time of the relevant conduct.