Prepare a summary of the current financial position of Fiona and Waleed. Make sure you address their net worth and annual budget. (4 marks)

You work as a Financial Planning Adviser and have been asked to assist with two new clients. You have received background information on each client (see below). Client Name Marion Fiona and Waleed Age 65 35 and 33 Status Single, owner of large house Married, joint owners of small apartment Dependents Nil One child (age 2) Occupation Retired musician Pharmacist (Fiona) and Chemical Engineer (Waleed) Net Income AUD75,000 pa from AUD150,000 pa (Fiona) and AUD125,000 pa (Waleed) from salary (after super and after tax) superannuation Expenses AUD65,000 pa AUD145,000 pa including the bank loan (living and financial) Major assets Cash at bank AUD10,000 Superannuation AUD600,000 House AUD2.5 million Cash at bank AUD25,000 Superannuation AUD350,000 Apartment AUDO.8 million Major liabilities Nil Bank loan for the apartment AUDO.6 million (interest only loan) Major financial goals Continue self funded retirement Purchase a house in the future You have had an introductory meeting with each new client to obtain a better understanding of their circumstances, financial goals and risk preferences. Below are some notes from those meetings. Marion: Marion is a retired musician. She divorced about two years ago and now lives alone. Financially, Marion is comfortable in retirement - largely as a result of following a financial plan for many years. Marion is active, in good health and is a volunteer at the local primary school where she helps children with learning difficulties. Marion does not have children. She is family oriented and regularly communicates with her sisters that live in Portugal. Marion is conservative by nature and has no interest in risky investments. Fiona and Waleed enjoy being parents and are devoted to their child. Both are currently working but arrangements have been made for Waleed to take extended leave of absence from his work for 24 months to look after the child. Their apartment is small but is adequate at the moment. They recognize the need for more space as the child matures. Also, although they have no immediate plans, it is possible they might decide to have another child in the future. Both Fiona and Waleed are well educated, financially literate and consider themselves to be risk takers - they assess each opportunity on its merits. But they would never place in jeopardy their family or their family wealth. 000000000 Fiona and Waleed: You work as a Financial Planning Adviser and have been asked to assist with two new clients. You have received background information on each client (see below). Client Name Marion Fiona and Waleed Age 65 35 and 33 Status Single, owner of large house Married, joint owners of small apartment Dependents Nil One child (age 2) Occupation Retired musician Pharmacist (Fiona) and Chemical Engineer (Waleed) Net Income AUD75,000 pa from AUD150,000 pa (Fiona) and AUD125,000 pa (Waleed) from salary (after super and after tax) superannuation Expenses AUD65,000 pa AUD145,000 pa including the bank loan (living and financial) Major assets Cash at bank AUD10,000 Superannuation AUD600,000 House AUD2.5 million Cash at bank AUD25,000 Superannuation AUD350,000 Apartment AUDO.8 million Major liabilities Nil Bank loan for the apartment AUDO.6 million (interest only loan) Major financial goals Continue self funded retirement Purchase a house in the future You have had an introductory meeting with each new client to obtain a better understanding of their circumstances, financial goals and risk preferences. Below are some notes from those meetings. Marion: Marion is a retired musician. She divorced about two years ago and now lives alone. Financially, Marion is comfortable in retirement - largely as a result of following a financial plan for many years. Marion is active, in good health and is a volunteer at the local primary school where she helps children with learning difficulties. Marion does not have children. She is family oriented and regularly communicates with her sisters that live in Portugal. Marion is conservative by nature and has no interest in risky investments. Fiona and Waleed enjoy being parents and are devoted to their child. Both are currently working but arrangements have been made for Waleed to take extended leave of absence from his work for 24 months to look after the child. Their apartment is small but is adequate at the moment. They recognize the need for more space as the child matures. Also, although they have no immediate plans, it is possible they might decide to have another child in the future. Both Fiona and Waleed are well educated, financially literate and consider themselves to be risk takers - they assess each opportunity on its merits. But they would never place in jeopardy their family or their family wealth. 000000000 Fiona and Waleed