Day: July 26, 2016

My wife and I had plans of dedicating the first year of our marriage to each other. No children yet, we said, just us. But nature had other plans. Barely two months into the marriage, she got pregnant. Though unprepared, we were elated, especially when we later discovered we would be having twins. Our boys came, bouncing with life and always eager to eat. Soon, I realised just how big a commitment fatherhood is.  The list never ends – baby food and diapers, walkers and new clothes that speedy growth soon render useless – I  provided them all with joy.

Before long, it was time for school.  Knowing the value of foundations, we embarked on a quest to find our kids the best school around. It was then the real shocker came. The fees were outrageous. After demanding tuition of about N60, 000, we were still expected to pay for uniforms, books, music lessons and swimming. Music lessons and swimming? For 1 year olds that could hardly talk! I was stunned. All my attempts at bargaining with the head teacher failed, it was either I coughed out N90, 000 per child or took my children to another school. Other schools were only mildly cheaper and a little farther from home – our hands were tied.

Returning home, we strategized. School fees have to be paid three times a year, about 3 months apart. We also had to factor in the fact that school fees will most likely increase as our children progress. Combining our financial muscles, we could afford to pay the fees but what happens in years to come when the demand increases? Of course, we hoped to have one or two more children in later years who will also attend good schools. Would we be able to cope? What if something happened and one of us had to stop working? We needed a sustainable plan.

Opting to seek counsel from older couples who must have crossed this bridge at some point, we spoke with Efe, my wife’s cousin. He was fortunate to have had his two kids at two years interval. He revealed that he had an education savings plan with an insurance company, one that enabled him save a substantial sum monthly towards his children’s education. He said the plan worked better than saving in a traditional savings account because the insurance company hold you accountable, monitoring your deposits and paying interests periodically. After a stipulated number of years, you are paid a lump sum. He explained that he plans it such that the lump sum comes in at the point where his kids are about to make major academic advancements like primary school to secondary school. The benefits are endless, he said, should anything happen to the parent, it serves as a cover for the continued education of the children left behind..

His words soothed us like rain after three days of hot Lagos sun, we were relieved and reassured. Since we had proof that his plan worked, we decided to use the same plan so we spoke with his contact at ARM Life.

Three years have gone by, my boys welcome me home every day with nursery rhymes and ‘A for Apple’ and it’s the highpoint of my day. Updates from my insurance company come in periodically, intimating me on the growth of the fund and  assuring me that no matter how expensive education gets or whatever happens to me, I will still be able to provide the best for my boys and the little girl due to arrive in a few months.

In keeping with their commitment to exceeding clients’ expectations, ARM securities recently introduced ARM Stocktrade, a self-service online trading portal that enables clients execute trades, real-time, on the Nigerian Stock Exchange. The portal is also enabled to provide access to stock broking accounts and gainful insight from quality research resources enabling clients to make informed stock trade decisions.

Clients who log into the portal will enjoy the ease and convenience of placing trade orders online, backed by relevant reliable information and timely updates. Speaking on the development, Mrs Kemi Oluwashina, a Director of ARM Securities explained that the portal was born out of the company’s desire to continually add value to its clients; that’s why the live market feed and research pages on ARM Stocktrade portal were specially tailored to meet the growing need for relevant information on the go.

Also reacting to the portal, Mr. Taiwo Adeleye, the Head of Marketing and Corporate Communications at Asset &Resource Management Company Limited (ARM) further stated that one of the things ARM Stocktrade has going for it is its adaptability to any mobile device. Clients will be able to place orders online from their phones and receive contract notes on the same day. He mentioned that this is one of the ways ARM keeps its promise of empowering its clients to realise their ambitions. Existing clients of ARM Securities Limited can log into the system immediately while new clients need only complete the simple online account opening form and upload required documents at www.armstocktrade.com to start trading.

ARM Securities Limited (ARM Securities) is an independent subsidiary of the Traditional Asset Management arm of ARM – a leading, reputable asset management firm with a very successful track record of protecting and growing investments for private investors and institutions for over two decades. ARM Securities started operations in 2008 as a full service brokerage house offering brokerage services to local as well as foreign private and institutional investors. The company is a dealing member of the Nigerian Stock Exchange (NSE) and is regulated by Securities and Exchange Commission (SEC).

Pass this to my children!

Like most fathers, I would like to leave a good inheritance to my children. Something that can give them a good start in life by which they can remember me long after I’m gone. Some fathers are affluent enough to buy their children houses and even replace such houses when the child is not satisfied. But I hardly have anything, save for this house we live in and another plot of land in the village.

When my friend spoke about setting up a will, I laughed as I asked him what assets we have to set up a will on. Feeling smug, I told him of my age long plan; upon my retirement, I will call my children and give each child 10 % of my pension fund.  This would surely give them a head start in life and I would still have 60% to fall back on in old age. Maybe I would start a small business thereafter to keep me busy.   ‘What will become of your house and your land in the village?’ my friend asked. ‘My children can do whatever they like with them when I’m gone’, I told him.

Nodding, my friend agreed. ‘It’s not a bad plan, your pension is a substantial asset’, he said. ‘But what if the unfortunate happens before you retire, what will happen to your pension?’  Pausing to think, I answered assuredly. ‘Well, it will amount to almost the same thing; the pension will still go to my children’. ‘Ken, these things are not automatic o, if you want your pension to go to your children, you need to set up a Will for your pensions account, naming your children as your beneficiaries,’ he explained, opening my eyes to a reality I had not considered.

Many of us have plans for our pension funds. Plans to reinvest it; live on it or even pass it on to our children. Most of us however do not consider setting up a plan that will ensure our pension fund is distributed based on our wishes in case of unforeseen circumstances. A Retirement Savings Account Will (RSA Will) is a legal document set up by an individual stating clearly what should happen to his/her pension fund upon demise. This document allows you to state beneficiaries to the funds and what portion they receive.

In the case where a person passes on without setting up an RSA Will, his pension funds cannot be given to anyone, not even his next of kin. The law requires that for any other person to be able to claim the deceased’s pension, he/she must provide an RSA Will or a letter of administration obtained from the court. Obtaining a letter of administration is a tedious and time consuming process; more exhausting than the process of obtaining letter of administration is the strife and bitterness that may emanate among family members over such unallocated funds.

Setting up an RSA Will is easy and affordable; the wise thing to do is to set up an RSA Will today.

Preparing for the future does not mean you are inviting loss. On the contrary, the assurance that your future is secure enables you enjoy life more. Let us walk you through setting up an RSA Will, call ARM Trustees today.