Navra Financial Services for Income etc,etc

Hi I am interested in learning more about Navra financial services -

I have been to see Steves seminars and they are quite easy to understand... But my questions relate to other investors here who have joined his finance fund for income to hold their IPs as well as build up their wealth portfolio wiwth a combination of shares and properties.


A few questions like to ask anyone involved with the fund -
What amount of equity would you need to seriously get involved with Navra financial services.

Are you worried about losing your capital if it goes down in value

Is the risk doubled because you are combining shares and property and margin loans.

Do they teach you how to live off equity from your shares and property income

How long realistically would it take you to reach financial independence.

And finally would anyone here be trading themselves and watching there own money instead?

Thanks for the input

 

Can a NFS client correct me if I'm wrong, but I've looked around and from what I can see the very basic's of their strategy is as follows

1. Buy an investment property(ies) - wait until equity builds up then proceed to step 2.
2. Borrow against said investment property (or your house) and then leverage that up even more by using a margin loan or a warrant and invest into shares or Trees (Shares via their own managed funds of course).*
3. Wait until equity builds up to a point where you can live off your equity.

*all the time maintaining a buffer etc etc

Another successful financial planning business Storm financial employed a similar strategy with huge success, they just skipped step 1. I suggest you Google them to hear their glowing reviews....

All of this, you can do yourself, but it is built on huge amounts of debt, and when markets don't do what they are suppose to do, i.e. go up, the strategy can go pear shaped extremely quickly.

As for the Navra funds, at the moment they are sitting with 70%+ cash allocation as they cashed out late last year. It’s saved their investors some of the losses suffered by the market recently. This normally would be a good thing as you would be able to take advantage of the current downturn and give the fund a competitive advantage. However as many clients were advised to invest in Navra warrants the fund has it hands tied as the stop loss on these warrants is extremely close, less than 1.7% in one series. So they are very nervous about going all in, as this would potentially wipe out many clients in 1-3 days of poor trading. So they are trading only a small portion of the funds to prevent this happening. This is a double edged sword as if the market recovers quickly, Investors will be worse off due the opportunity cost of not being fully invested. So the manager would be walking on a tight rope at the moment.

If I had new cash to invest (or equity in my home) at the moment I’d invest into a portfolio of well diversified, quality ASX companies, either directly or through STW or an index fund. I would steer clear of step 1 (for the moment) as that ship is yet to sink. Don’t get me wrong there is nothing wrong with borrowing to invest, as I’m a big of that, but too much debt can be a real problem especially when it’s through a ML or Warrant.

 

Anyone know if Steve Navra finally finished part 5 of his of LOE strategy I was waiting to read it because the other 4 parts were great reading.

 

Young Gun. What would you consider a reasonable LVR ATM for a portfolio comprising your PPOR + IP + shares/managed funds ?
Also, I may be wrong, but I was under the impression that there were now very few Navra clients still holding the B warrants as most had now changed to the A warrants which are currently around 8% from stop loss. If this is the case then I doubt it is having a major influence on the level of funds being committed to the market, as the majority of investors would then be held back by the unlucky few, which is obviously not right.
I agree with your final point and I have been pursuing this strategy of investing into STW over the past five months or so.

 

What is STW?

Does Navra financial explain what they are investing in before you sign up or are you to do your own DD and just understand it.

 

Interesting thought Young Gun

 

Yes.....Yes.... I think it would be a good idea to invest in trees... Better to stick to true assets like land and gold.

 

checkout Timbercorp and Great southern for trees.......

I paid $1 to get back $0.30, excellent investment.....maybe not

 

Timbercorp has fallen and Great Southern is heading South

 

I'm not sure if my sarcasm was clear enough on my last post