In this week’s Third Degree Paul sits down with Pascal Curran, Director of Advice First Financial to talk about pensions, the investment opportunities being most talked about right now and tips on saving.
Hi Pascal, thanks for agreeing to this interview. Could you tell us a little about yourself?
Hi Paul, thanks for the invite, I am a born and reared Letterkenny man, From Glencar…. left St. Eunan’s following the Leaving Cert and joined working life full time. My first job was with Trio Foods.
I started in the insurance industry in 1992, as a collections agent for Irish Life. Calling to people’s houses to collect their insurance premiums. I learned the business from there, tooled up along the way and grew my own business with Irish Life, I spent some time with Canada Life as well.
I opened my own business in January 2005.
Your company is called Advice First – what makes it different from other financial advisors out there?
The difference starts with the name. Advice First, we believe in providing open, clear, trustworthy advice first, we help people make prudent financial decisions through knowledge and understanding. So, for us it is of the utmost importance that clients have a clear understanding of the products they feel they want before they actually sign on the dotted line, as it were.
Has your online/blog/video presence made a difference to your business? Is that just about maximising your presence, or does it also allow you to address more customers at once?
Good questions, it is was through gritted teeth that I started the online blogs, as with everyone else, I am sure, I didn’t like hearing or looking at myself on the screen. But I’m over that now…
The blog started for a number of reasons; some people like to listen rather than read. So, it is another way for me to help people get the advice they need. It does allow us to speak to more people at once, and allows people get some advice to hopefully point them in the right direction.
These days, I guess online presence is important, people like to check you out before making contact, so, it’s a way for people to check us out.
Are the jargon and acronyms we come across in big financial schemes and services in any way designed to keep us, the public, at a disadvantage? (It feels that way at times, and I often can’t decide if it’s intended, or just an accidental result of having so many…)
I totally agree, it does confuse, in my opinion some companies do use jargon to mask information and make life difficult for ordinary folk. There is no need for this jargon, companies should use plain English. That is plain English that everyone can understand, not plain English that only those in the industry can understand.
For legal reasons some financial products must have language attached that can come across as jargon to most folk but there should be a simple explanation provided as well in plain English.
You have described yourself previously as being disillusioned by an industry that was more about selling products than anything else. Do you think the financial industry generally is still like that, or is that changing?
The industry is talking change, it wants to come across as different and to be customer focused, but in reality, it is still the same. The bottom line is, the financial services industry wants to sell products to everyone. As well, everyone these days is offering a free review or free this or that, this is only to get you engaged to see if they can sell something to you.
Don’t be fooled.
No one gives you free advice or free stuff, unless there is something in it for them. Generally, this is the possibility of selling you something. So, the question to ask is, is the advice in your best interest or is it about selling you a product or service?
More widely, do you think the current social model – that we’re all just consumers, with wallets to be opened to spend on things someone else tells us we need – is responsible for some of the financial stresses you see in your job?
In a way I agree, there is a lot of pressure on people to have the next thing, the better thing or gadget.
But ultimately, people have to take responsibility for their own money management. It is easy to blame society or social media etc, but people decide to spend money, they can decide not to spend it as well…
Are there one or two particular errors you see people making in their finances that you are able to help them with? Do those mistakes vary with age group (for instance, do younger people neglect the pension, or are older people too careful about investments)?
Yes sure, there are lots and lots of issues we see all the time.
For younger folk, your credit history does matter, if you don’t repay that loan or outstanding credit card bill, it will affect your ability to get a mortgage or any credit in the future.
For us older folk, don’t be too conservative with your investments. You need your money to grow to help sustain in your retirement. Money on deposit is still at risk, inflation is eating into it.
Is there one piece of advice you would give out to just about everyone?
There is, a lot of people spend and then try to save, I would advise changing this. Set a saving target on a weekly or monthly basis and then spend what is left, this is how you create wealth.
What sort of long-term investment packages are popular these days, and does that change much – are there always new varieties on the way?
There is always a new investment, always a new “opportunity” a get rich quick something or other.
For example, currently we are getting asked about: Crypto currencies, Bitcoin etc, whiskey investment, there are loads more.
My advice is, if it sounds too good to be true, it most likely is. The issue with most “in vogue” investments is there is no regulation, in most cases there is no clear reasoning as to what makes the value increase or decrease.
So, you could lose everything, including your shirt.
We only advice on the two tried and tested investment options – Stock Markets and Property.
Both of which are heavily regulated. We use companies, lrish Life, Zurich, Aviva, New Ireland and Royal London for stock market investing.
For property investments, we use the lenders who are regulated in Ireland.
To ask a very bare question, because online calculators always seem too cagey, if someone was retiring now with no mortgage or rent or major outlays, what sort of income should they aim for to live a comfortable life?
There isn’t one fits all here. It all depends on what the pre-retirement income is. I would advise people to plan for a minimum of 50 per cent of their pre-retirement income, if possible. But everyone is different, and everyone’s goal is different. 50 per cent as minimum is good goal, obviously if people can afford to fund for more, great.
Do you see any straightforward solutions to the coming pensions crisis?
For Ireland Inc, NO.
For us mere mortals, we need to
have our own retirement fund so as
not to be dependent on the state pension.
Quick fire
The book or the film?
Films, Butterfly Effect or Hacksaw Ridge.
The perfect night?
One involving chocolate, pasta and a good movie, not necessarily in that order though, any order is good.
Favourite film, artists, music?
Guardians of the Galaxy soundtrack, that would do.
Your nickname at school?
Don’t remember having one, was called lots of things though, not for print!
What motivates you?
All the usual, money, my wife, but mostly helping people motivates me.
What do you look for most in a friend?
Honesty and a bit of craic.
What angers or disappoints you?
Mostly people, being stupid or arrogant.
Do you have a motto or philosophy you try to live by?
Do no harm, is my motto.
- l If anyone else would like to take part in this interview, to raise a profile or an issue, or just for fun, please contact Paul at Dnthirddegree@gmail.com
Receive quality journalism wherever you are, on any device. Keep up to date from the comfort of your own home with a digital subscription.
Any time | Any place | Anywhere
SUBSCRIBE TO CURRENT EDITION TODAY
and get access to our archive editions dating back to 2007(CLICK ON THE TITLE BELOW TO SUBSCRIBE)