News Release 27 July 2006
Financial advice giant Northplan acquires 50 percent stake in Colin Strang
One of New Zealand’s largest financial advice companies with more than $900 million funds under management, Northplan
Investment Specialists recently acquired a fifty per cent share in Colin Strang Financial Planning (1993) Ltd for an
undisclosed sum.
Already with eight offices in the North Island, the deal gives the privately owned Northplan a firm foothold in the
South Island investment market, while equipping Colin Strang Financial Planning (1993) Ltd with considerable bulk buying
capabilities.
Managing Director of Colin Strang Financial Services, Colin Strang, said the partnership between the two companies was
ideally positioned to ensure that clients receive the safety, security and cost saving benefits of a large company,
without losing the good quality personal service they have become accustomed to.
“The association between Colin Strang Financial Planning Ltd and Northplan Investment Specialists is by no means new,
but Northplan’s shareholding will elevate our relationship to new levels which will benefit both our clients and the two
companies.
“For some time our company has shared certain services with Northplan. This includes access to Northplan’s Investment
Committee which is responsible for asset allocation and product selection. The excellent returns that clients have
enjoyed are a result of our relationship.
“Becoming part of a larger group like Northplan just makes sense right now, particularly in light of impending changes
to compliance legislation and disclosure for financial advisors,” said Strang.
All decisions relating to the composition of every one of Northplan’s client portfolios is made by the company’s
Investment Committee – a think tank which combines the experience and skills of the likes of well known independent
economist Donal Curtin, Northplan Managing Director Kelvin Syms, Northplan Director Simon Purvis and chartered
accountants John Perris and John Price.
Northplan Managing Director, Kelvin Syms, said Northplan’s was excited by the opportunity to roll out the benefits of
its cutting edge IT systems and products to Colin Strang Financial Planning Ltd’s clients.
“Northplan enjoys considerable bulk buying power which enables the group to negotiate both higher returns and lower fees
on behalf of our clients.
“At Northplan Investment Specialists we have made research and ‘due diligence’ a matter of policy – it’s a rule of thumb
which has helped the company return 16.31 per cent pa on average, after tax and fees (balanced risk client) to our
investors for the last three years until 31 March 2006.
“These are just some of the benefits that clients will be able to enjoy as part of the new arrangement,” said Syms.
No staff will be affected by the new shareholding arrangement and all are expected to remain with both companies for the
long term. The insurance, superannuation and retirement planning business run under Colin Strang Financial Services Ltd
is unaffected by this partnership agreement, and both businesses will continue to operate out of the offices at 30
London Street Dunedin.
ENDS