A simple document that confirms the advice received from a
licensed financial planner or adviser. Similar to a Statement of Advice (SOA) but shorter and
less formal. Often given to existing clients to confirm changes to,
or implementation of, advice provided in a previous SOA.
Gives you access to any extra money you have deposited into your
When you replace or extend an existing loan with funds from
either the same or a different bank or financial institution.
The risk that changes in government policy or regulation may
affect your benefits e.g. changes in superannuation
policy. Changes typically happen after elections or around the time
of the Federal Budget. See also taxation risk.
A purchasing arrangement where you rent an item, such as an
appliance of piece of furniture, for a specific time. At the
end of the rental period, you can continue to rent the item or buy
it outright. This should not be confused with rent to buy home ownership
schemes which are high risk and often targeted at people who do
not qualify for home loans from traditional lenders.
Deposit paid by a tenant to the landlord when renting a
property. It's a form of security for the landlord in case you
damage the property or owe rent when you move out. The amount
varies between different states and territories, but is usually
equivalent to at least 4 weeks rent.
Insurance cover for the contents of a rental home.
A licensed entity or body that operates a managed investment scheme.
An account offered by financial institutions that is used to
save money for retirement. These are simple, low cost, low return accounts.
A type of loan often used in retirement as a way for people to
access the equity in their home. The loan amount
depends on your age, the value of the home and how it is taken
(lump sum, regular payments or draw down as needed). Interest is added to the loan and
compounds. The loan does not have to be repaid until the borrower
moves out or the house is sold, usually as part of a deceased
Offered by credit card providers or retailers, whereby you
receive reward points depending on how much you spend. Reward
points can then be exchanged for goods and services. Credit cards
that offer rewards usually come with higher annual fees and
The possibility that your investment may fall in
value or earn less than expected.
The degree of uncertainty you are prepared to accept in relation
to investment returns, in particular the extent to which you are
prepared to experience a negative investment return while trying to achieve positive
Charges when you make or receive calls, texts or connect to the
internet on your mobile phone when you are overseas.
Last updated: 03 Jul 2015