Case study · LINK Wealth · Reviewed by Richard Leal (AR 327265)
Tailored wealth strategies: why personalised advice matters more than ever.
TAILORED WEALTH STRATEGIES
Why personalised advice matters more than ever.
Every family has unique financial goals, but the path to reaching them isn’t always clear. At LINK, one of the most common questions we hear is: “What’s the real value of working with a financial advisor?”
It’s easy to assume that advice is just about superannuation, insurance, or picking investments. But the real value lies in helping you understand your options and how they fit with your personal circumstances, lifestyle, and future plans.
In this video, Richard shares the story of “John and Mary” (names changed), whose situation highlights the power of a tailored financial roadmap.
THE CLIENTS
John & Mary’s competing goals.
Two big financial goals
- Establishing a self-managed super fund (SMSF) to eventually buy commercial premises for John’s business.
- Purchasing their forever family home in the next five years.
At the same time, they were preparing to start a family, with Mary planning to take extended maternity leave.
THE CHALLENGE
Balancing ambition and cash flow.
On paper, John and Mary’s financial position was strong. They had:
- A home worth around $1.3m with $600k debt, soon to increase in value after renovations.
- Solid business structures already in place.
- A theoretical surplus cash flow of $86,500 per year.
But reality often looks different. Lifestyle costs, renovations, and reduced income during maternity leave would put pressure on that surplus.
STRATEGY OPTIONS EXPLORED
Richard compared two key strategies.
Investment Property
- ~$1m purchase, funded by home equity.
- Strong long-term growth potential.
- But ~$25,000 per year in holding costs, risky when factoring in reduced household income.
Debt Recycling into Shares
- ~$350k investment from home equity.
- Lower growth compared to property.
- Far more cash flow neutral, keeping the family’s budget flexible.
THE OUTCOME
A strategy that fits their life.
While an investment property looked stronger on paper long term, the cash flow strain made it less suitable with children on the horizon. Instead, John and Mary are:
Prioritising superannuation contributions to reach SMSF balance targets.
Building towards their dream home over the next five years.
Using a debt recycling strategy to put their home equity to work in a cash flow–friendly way.
The bigger picture.
For some families, the investment property path would have been perfect. For John and Mary, the share strategy made more sense. That’s the essence of good financial advice: the best strategy isn’t about what worked for your colleague or what’s trending on TikTok, it’s about what works for you.
Ready to explore your options?
At LINK Wealth, we’ll help you weigh up your options, understand the trade-offs, and create a personalised plan that aligns with your lifestyle and long-term goals.
Get in touch today to explore your tailored wealth strategy.