CWM April 2016

APRIL

2016 INTRODUCING:

Our Client Relationship Manager Olive Brick ECONOMIC OUTLOOK: Dr. Constantin Gurdgiev

PRIVACY IN THE WORKPLACE Úna Glazier-Farmer

HOW TO PULL THE HANDBRAKE ON RISING INSURANCE COSTS SWITCH AND SAVE ON ENERGY COSTS MEET THE TEAM

TABLE OF CONTENTS What We Do at CWM Retirement Planning - Olive Brick Economic Outlook - Dr Constantin Gurdgiev Business Briefs Privacy in the Workplace - Una Glazier Farmer How to Pull the Handbrake on Rising Insurance Costs Switch and Save on Energy Costs Legal Briefs Best Deals on a Brand New Car Meet the Team Range of Services

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WELCOME I am delighted to bring you the very first bi-monthly CWM Newsletter and I sincerely hope that you benefit from the news and articles that we will bring to you!

Unfortunately we have had quite a difficult start to 2016 across equity markets. Economic weakness in China and the emerging markets as well as sharply lower oil prices have caused a significant increase in overall volatility levels although this should provide opportunities for new investors. Although a number of key indices moved into bear market territory in early February, the dominant US S&P 500 Index remained resilient. Equities remain better value on a relative basis than either cash or bonds and we do not recommend a move away from this asset class for the time being. If you have any concerns at all re your investments, please do not hesitate to contact us at info@cwmwealthmanagement.ie On a positive note, we are delighted to announce the launch of a new service here at CWM! AdviseHER will offer a free financial advisory service by a team of professional females to professional self-employed females all over the country!! The service will offer ladies bespoke advice on their unique Retirement and Protection Planning requirements. This is a very exciting venture and is proving very popular already and more information will follow!

We would also like to hear from you – what would you like to see covered in this newsletter?

Would you like to include an article that you think may be of interest to other contractors? If so, feel free to contact us!! Please also feel free to share this with your contracting colleagues.

I hope you enjoy the read and I would really welcome your feedback.

Regards,

Carol Brick Managing Director CWM Wealth Management Ltd.

CWM Wealth Management Services

WE CAN OFFER ADVICE IN THE FOLLOWING AREAS:

TAILOR MADE FINANCIAL SOLUTIONS FOR CONTRACTORS

CWM Wealth Management is a sister company of Contracting PLUS who provide specialist accounting and payroll services to self-employed contractors across a wide range of professions.

Retirement Planning

Full review of existing pension arrangements

As a contractor you have unique financial needs and objectives

CWM can provide you with a free specialist financial advisory service

CWM CAN HELP DEFINE THESE GOALS AND ESTABLISH THE APPROPRIATE FINANCIAL STRATEGY WHICH BEST SUITS YOUR INDIVIDUAL CIRCUMSTANCES

Sick Pay Cover

Advice on how best to protect your dependents as a contractor

Through a team of dedicated specialists who understand your employment status, professional impartial advice is available to help manage your needs and objectives

Savings and Investments

We provide all contractors with a free financial consultation to review all existing arrangements and discuss your particular financial requirements.

CWM provide tailor made financial solutions to self-employed contractors all over Ireland. We have access to multiple product providers which allows us to offer you the most appropriate product for your particular requirements.

CONTACT US TODAY: at 021 4839350 or info@cwmwealthmanagement.ie for more information or to arrange an appointment with a Financial Advisor.

AdviseHER

AdviseHER – This service will offer a free financial advisory service by a team of professional females to professional self-employed females all over the country!!

This will offer ladies bespoke advice on their unique Retirement and Protection Planning requirements. This is a very exciting venture and is proving very popular already and more information will follow!

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INTRODUCING OUR CLIENT RELATIONSHIP MANAGER

I am Olive Brick, Client Relationship Manager at CWM Wealth Management Ltd. I am a Qualified Financial Advisor with a Professional Diploma in Retirement Planning.

My main role here is to work closely with you the contractor to ensure that your financial goals are achieved.

This is achieved through an ongoing in depth review process where we examine how we can add value to your overall pension and protection portfolio. It is in this regard that my main responsibility is to review your existing policies with CWM Wealth Management as well as any other policies that you might hold.

IN RELATION TO YOUR PENSION, THE MAIN FACTORS I CONSIDER ARE AS FOLLOWS: •• The overall performance of your scheme.

•• Reassess your attitude to risk to ensure

that your pension is appropriately invested considering your personal circumstances.

The review process becomes particularly critical as you approach your chosen retirement age. People are living longer healthier lives and let’s face it, it’s not a desirable proposition for you to have to work until you drop! So, one of the most important questions which we need to address is “Where will your retirement income come from?”

For those of you who are within 15 years of retirement we will conduct an in depth review of any existing pension plans and address any elements which are not appropriate to your age and circumstances at this extremely crucial stage of the pension investment cycle.

The review process will also involve mapping the best approach to retirement in the most tax efficient way.

Ensuring you have substantial life and serious illness cover in place is crucial for you and your family. You never know what’s around the corner! That’s why planning ahead to protect you and your family financially is important. During the review process, I will also review and reprice your existing life cover policies to ensure that they are still competively priced and meet your overall protection needs.

Please put time aside now to review your current arrangements, assess your options and employ the most effective strategy going forward.

I will of course be available to take you through every step of the way!

Looking forward to hearing from you.

•• Ensure that your funding levels are in line

with your retirement income expectations whilst ensuring that you are maximising the amount of tax relief available to you.

Olive Brick Client Relationship Manager, CWM Wealth Management Ltd. olive.brick@cwmwealthmanagement.ie

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Dr. Constantin Gurdgiev Ever since the first rumors of the U.S. Fed monetary policy tapering in 2013, global financial markets have been living in the shadow of consensual fear of the rising interest rates.

The prospects of rates ‘normalisation’ both in the world’s largest economy and, with lags, in other advanced economies, have made the front pages of financial press, consumed volumes of asset managers’ research notes and drove volatility into the real markets across a range of major asset classes, starting with equities and moving into fixed income. The same prospects have also influenced the evolution of the global capex trends. The impact was felt beyond the realm of financial products, spilling over into the real economies.

The pre-conditions to the current movement toward tapering out of the quantitative easing programmes (excluding the ECB programme) around the world are striking.

Meanwhile, in the Euro area, ECB policy rate fell below its pre-crisis historical low in March 2009 and continued on a downward trend from then on. This coincided with a swing in average real growth rates from 2.02 percent per annum to 0.05 percent. Yes, the numbers speak for themselves: since the start of the Global Financial Crisis, Euro area enjoyed average rates of economic growth that are 16 times lower than the same period average growth in Japan. No need to remind you which economy suffered from a devastating earthquake and a tsunami in 2011.

In the UK, Bank of England rate hit 1.0 percent in February 2009 and has been below that level ever since. Pre-2009 growth averaged 2.44 percent per annum, and since Bank of England monetary policy jubilee set on, it has been running at 1.01 percent.

You get the picture: unprecedented by historical comparisons monetary policy deployments across advanced economies produced, at best, lukewarm and drawn-out recoveries. At worst, recent monetary policies achieved the Japanification of the Euro area (a slide of the economy into a near-deflationary growth stagnation).

Last time Bank of Japan’s policy rate was at or above 1% was in June 1995. Before the era of low rates on-set, Japanese economy managed to deliver average annual rate of real economic growth of around 3.6 percent. Since the onset of monetary easing, Japanese economic growth averaged less than 0.8 percent. Things are now so bad even introduction of the negative rates earlier this year failed to produce a desired effect of inducing a yen devaluation. Instead, Bank of Japan’s shenanigans moved markets to bid yen up.

The U.S. Fed has been keeping its own policy rate at or below 1 percent since October 2008. Before then (starting with 1980), the U.S. enjoyed average growth rates of 3.04 percent per annum, while since the start of the Fed activism, growth averaged 1.44 percent. There was not a single year between 2008 and 2015 in which growth has hit the precrisis average, despite the Fed effectively monetising a fiscal stimulus on top of a massive lending spree, as well as funding shares buy-backs, corporate debt issuance and M&As.

The European Central Bank cut its key lending rate to zero (from 0.05 percent) in March, slashing its deposit rate further into negative territory (to -0.4 percent from -0.3 percent). Desperate for stimulating slack corporate investment, the ECB also significantly expanded the size and scope of its asset-buying program, hiking monthly purchases targets from EUR60 billion to EUR80 billion.

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Worse, Mario Draghi also expanded the scope of the programme to include investment grade, euro-denominated debt issued by nonfinancial corporations. And he announced yet another TLTRO – a longer-term lending programme (4 years duration this time around, having previously failed to deliver any meaningful uplift in the corporate capex via three 3-year long programmes). The new TLTRO will be operating on the basis of the ECB deposit rate, effectively implying that Frankfurt will be giving away free money to the banks as long as they write new loans using this cash. Last, but not least, the finish line for the ECB’s flagship QE programme was pushed out into March 2017 from September 2016.

And yet, the ECB’s latest blietzkrieg into the uncharted lands of monetarist innovation ended with exactly the same outrun as was the case for the Bank of Japan few weeks before it. On the day of the announcement, Euro failed to devalue vis-à-vis its main counterparts, posting instead an upward correction amidst huge volatility. Why? Because the markets are practically obsessed with forward looking rates changes. Which means that the shorter-term measures expanding money supply and stimulating credit issuance and demand fall prey to long-term expectations concerning rates ‘normalisations’.

Before December 2015, no investment professional in their early careers had witnessed a substantive rise in interest rates in their entire tenure in the investment markets. Worse, interest rates have now been continuously below their historical averages for 88 months in the euro area and the UK, 102 months in the U.S. and 270 months in Japan. U.S. rates are currently running some 460 bps below their historical average, Japanese and Euro area rates are 200 bps lower, while UK rates are roughly 290 bps down on average.

The following chart shows the extent and the duration of the current monetarist aberration in the Euro area.

Source: Author’s own calculations based on data from the ECB In simple terms, restoring ‘normality’ in the interest rates environment will require a very painful adjustment to the cost of capital for nonfinancial companies, banks and households. Adjustments that not only going to be disruptive to the economies, but are likely to take long time.

This, along with the fear of the unknown by the younger generations of traders and investors, are the two key reasons that explain the markets’ reactions to the December 15 hike by the Fed, the Bank of Japan policy move in January and the ECB QE extension and expansion announcement in March.

In all cases, policies changes ultimately delivered by the Central Banks were well flagged and anticipated, both in magnitude and timing, and in some cases in terms of policy specifics. In all cases, the markets have been well prepared for them. Still, following the announcements, there were big spikes in volatility across the markets and asset classes, accompanied by severe swings in currencies.

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The question that drives these swings in investors’ sentiment is a singular one: what really happens in the medium term to financial assets when interest rates rise?

Recent research from Credit Suisse and the London Business School used data covering 21 countries over the period of 1900-2015. The authors found that based historically, interest rates changes announcement trigger only minor reaction in the markets, with such reaction further diminished by pre-announcement of rates changes. Per Credit Suisse Research: “…real equity and bond returns tended to be higher in the year following rate falls than in the year after rate rises… The report found marked and statistically significant differences in stock and bond returns between periods following interest rate rises and periods after rate cuts. In the USA, annualized real equity returns were just 2.53 percent during tightening cycles and 109.3 percent during loosening periods. Real bond returns were 0.23 percent in hiking cycles and 3.76 percent during periods of easing“.

So from the point of view of the post-crisis period, the rallies and recoveries in bonds and equities over the last six years have been justifiable. The latter suffered massive fall-offs in the wake of the Global Financial Crisis, and the recovery in markets valuations has been in line with the Central Banks’ activist efforts to prop up liquidity within and solvency of the financial systems. The former witnessed valuations increases driven by the stagnation-like economic recoveries and the QE-driven supply-demand mismatches in the fixed income markets.

However, from the forward perspective, periods of rates normalisation that await major advanced economies are likely to see both returns to bonds and equities falling in the near future. The reasons for this assertion are multiple. Firstly, as December 15 hike by the Fed and subsequent policy changes by Bank of Japan and the ECB showed, there is a high probability of policymakers committing serious errors in structuring monetary policy forward. Secondly, despite all the Central Banks’ efforts to help Governments to implement systemic reforms, structural changes in the advanced economies are thin on the ground.

Which means there is plenty of systemic fragility around. Thirdly, cyclicality of economic growth and asset returns suggests that over the next 5-10 years, returns on bonds and equities are likely to be subdued.

Over the medium term, we are likely to see zero real (inflation adjusted) returns to bonds and low returns to equities. For a traditional 40:60 portfolio, this implies 1.5-2.5 percent real returns, hardly a reason to get excited. Which is consistent with markets behaviour in recent months.

Over 2014-2015, and into the first months of 2016, traditional screening strategies for equities selection delivered returns of 0.8-4.7 percent.

Momentum trading strategies, meanwhile, were able to capture greater upsides from volatility, yielding 12-13 percent excess returns.

The gap between passive returns and momentum trading returns in Europe has been even deeper.

As the gap between cheaper and more expensive equities gets bid down (a dynamic evident in the markets since the start of 2014), passive screening is likely to experience even greater compression of returns.

This, in turn, means more money flowing into momentum strategies, bidding down momentum returns, but also pushing equities off meanreversion paths, into a major correction. The result – gradual slowing down across all market strategies and low returns for a new medium term cycle.

However, normalisation of the monetary policy environment does not have to pose the risk of a steep drop off in returns for investors, willing to recognise the changing nature of the markets. As the above suggests, during the period of rates normalisation, structurally lower returns on ‘buy-and-hold’ strategies will be associated with rising volatility and widening trading spreads.

In this environment, retail investors require access to more dynamic tactical asset management tools to extract greater value out of lower return markets. In addition in seeking to smooth extreme volatility, investors should also strive to strike the right balance between achieving execution costs efficiencies, while avoiding sub-optimally low frequency of trading on their portfolios. Lastly, greater tax efficiencies can help deliver a stronger portfolio beta during the more subdued markets returns.

In brief, high quality strategy advice, tax planning and markets analysis will make all the difference in investor returns in years to come.

Dr Constantin Gurdgiev is the Adjunct Assistant Professor of Finance with Trinity College, Dublin and serves as a co-founder and a Director of the Irish Mortgage Holders Organisation Ltd and the Chairman of Ireland Russia Business Association. He holds a non-executive appointment on the Investment Committee of Heniz Global Asset Management, LLC (US).

In the past, Dr Constantin Gurdgiev served as the Head of Research with St Columbanus AG (Switzerland), the Head of Macroeconomics with the Institute for Business Value, IBM, Director of Research with NCB Stockbrokers Ltd and Group Editor and Director of Business and Finance Publications. He also held a non-executive appointment on the Investment Committee of GoldCore Ltd (Ireland) and Sierra Nevada College (US).

Born in Moscow, Russian, Dr. Gurdgiev was educated in the University of California, Los Angeles, University of Chicago, John Hopkins University and Trinity College, Dublin.

GOVERNMENT TARGETS €1.25BN OF TOTAL €75BN HORIZON 2020 BUDGET Nearly 600 science projects run through colleges and companies in Ireland won have won funding worth €251 million from the Horizon 2020 programme, the Minister for Skills, Research & Innovation, Damien English, has announced.

Horizon 2020 is the European Union’s programme for Research and Innovation, and it has granted €157 million of that funding to projects in the higher education system and €72 million to companies based in Ireland, English said.

In the Marie Skłodowska-Curie sub-programme of Horizon 2020, which promotes the training of researchers, Ireland won €18.5 million, equivalent to 35 per cent of the available Marie Skłodowska-Curie budget. That brought Ireland’s total from this sub-programme to €49 million.

According to the Department of Skills, Ireland has a target of winning €1.25 billion of the almost €75 Horizon 2020 for the period 2014 to 2020.

In a statement, English said he was “delighted with this performance to date which clearly shows that Ireland is on track to achieve its ambitious national target of €1.25bn.”

“This success bears testimony to the excellence of research in Ireland, both in our higher education system and in our innovative companies.

It shows that our researchers are among the best in the EU”.

The applications for funding for Horizon 2020 are coordinated by Enterprise Ireland, and Imelda Lambkin, National Director for Horizon 2020 at Enterprise Ireland, said “ A key role of Enterprise Ireland is to support the commercialisation of research and the development of innovative businesses. We are proud to lead Ireland’s participation in Horizon 2020 and the €250m in funding secured by Irish researchers and companies under the programme demonstrates the strength and leadership of the people involved.

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BUSINESS BRIEFS CONSTRUCTION ACTIVITY AT HIGHEST SINCE 2000 Irish construction activity increased at its fastest pace since June 2000 during February, according to the latest Ulster Bank Construction Purchasing Managers’ Index.

The Index rose to 68.8 in February from 63.6 the previous month.

This was the highest reading in the history of the survey, surpassing a previous peak set in November 2004.

NEW CAR REGISTRATIONS ROSE BY 37% IN FEBRUARY The Society of the Irish Motor Industry (SIMI) statistics for February show a 37pc increase (to 21,625). Registrations for the year-todate are up 35pc (to 61,350 compared with 45,586 for the first two months of 2015).

RED TAPE A GREATER CONCERN TO SMES THAN FINANCE Government-controlled red tape is strangling businesses more so than a lack of access to credit, according to new research.

Taxation, regulatory and compliance issues are the biggest challenges small and medium sized companies face with access to credit and a lack of government support next in line, a survey carried out by software firm Big Red Cloud found.

“Far from pointing the finger at the banks for slowing their growth, 66% of SMEs point to Government-controlled issues of taxation, regulation & compliance and a general lack of Government support

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Construction activity has now increased on a monthly basis throughout the past two-and-a-half years.

However, Ulster Bank chief economist Simon Barry expressed caution. «Record rates of growth need to be seen in the context of what are still extremely low levels of construction activity.

This point was borne out by [recent] national accounts figures which showed that even after three years of recovery at very solid growth rates, construction output is still about 50pc lower than pre-crisis peak levels,» he said.

SIMI Deputy Director General Brian Cooke says the figures “clearly indicate” consumer and business confidence remain strong.

The five top-selling brands this year are: Hyundai, Toyota, Ford, Volkswagen and Nissan.The top-five selling models are: The Hyundai Tucson, Ford Focus, Volkswagen Golf, Skoda Octavia and Toyota Corolla.

Light Commercial Vehicles (LCVs) are up 39pc so far this year.

as the key impediments to job-delivering growth.

“We’ve been through a dark few years and those business that have managed to survive are still reeling from the effects of the downturn but there is also a feeling on the ground that if they have survived the last few years then there is hope. They are ready to grow; they want to push ahead but there are so many obstacles in their way,” said Big Red Cloud chief executive Marc O’Dwyer.

The survey also points to concerns around the high rate of capital gains tax and strict rules governing Employment and Investment Incentive Scheme.

“There is real sense of disillusionment amongst smaller businesses,” Mr O’Dwyer said.

NEW €100M LOAN FUND FOR DAIRY FARMERS TO COMBAT PRICE VOLATILITY A new €100 million loan fund offering dairy farmers more flexible repayment structures to help them cope with price volatility has been established.

Glanbia has teamed up with the Ireland Strategic Investment Fund, Rabobank and Finance Ireland to offer suppliers finance with inbuilt “flex triggers”.

The Glanbia MilkFlex Fund adjusts the repayment terms on loans in line with movements in prices so as to provide farmers with cash flow relief when they need it.

Global milk prices have fallen by nearly 40 per cent since 2014 on the back of a glut in production, a fall-off in Chinese demand and the Russian trade ban.

Rabobank, the Ireland Strategic Investment Fund, Finance Ireland and Glanbia Co-Operative Society plan to invest in the fund while Finance Ireland will originate and manage the loans, which will range from €25,000 to €300,000.

When milk prices fall below 28 cent a litre for three consecutive months, repayments will be temporarily reduced. A milk price below 26 cent a litre will trigger an automatic moratorium on repayment while milk prices above 34 cent will prompt an increase in loan repayments.

EU Commissioner for Agriculture and Rural Development, Phil Hogan said: “This new model of funding for milk suppliers is an international first and will mitigate the investment risks for milk suppliers.”

Minister for Agriculture Simon Coveney said: “While any decision to invest must be based on sound financial planning, it is important for farmers to be able to access affordable financing in a timely manner.

The slump has wiped more than €800 million off the value of Ireland’s dairy sector seen average incomes drop by up to €35,000.

Glanbia managing director Siobhan Talbot said: “This product is designed to match the cash flow generated by a dairy farm enterprise, with no repayments during certain times of low prices and increased repayments at times of high prices.”

ORNUA OPENS €20M CHEESE PLANT IN SAUDI ARABIA

«We now have a manufacturing and trading hub in place to service the high growth dairy market of Saudi Arabia and our growing MENA customer base,» Mr Lane said.

Ireland’s largest exporter of dairy products Ornua has opened a new €20m cheese plant in Riyadh, Saudi Arabia.

New technology developed by Ornua and Teagasc, will be installed at the facility in order to create the range of white cheeses. The Ornua boss said the ability to innovate and respond to market needs is «key to developing opportunities for Irish dairy».

The facility will make white cheeses for the Saudi Arabian market, which is the world’s fifth-largest dairy importer. The Riyadh plant will also act as a central hub for the firm to access dairy markets in the Middle East North Africa (MENA) region.

Chief executive of the Kerrygold-maker Kevin Lane said the facility will provide Ornua with a new route to market for Irish dairy.

APPLEGREEN AIMING TO EXPAND US PRESENCE Irish forecourt retailer Applegreen is in talks to expand its footprint in the United States after delivering strong results for 2015.

The company, which floated on the stockmarket last year, is in negotiations with a potential franchise partner in the US, and also in discussions to extend its trial presence there to Massachusetts.

Applegreen currently has five outlets in Long Island, having acquired three sites there last year. But chief executive Bob Etchingham stressed that the US remains a small part of the group’s business and that it’s focused on a long-term play there. He added that the US operation managed to break even last year.

The Riyadh plant will also have an innovation hub that will be used to develop cheese solutions with customers. The move follows on from Ornua’s acquisition of Shanghai-based dairy manufacturer, Ambrosia. The Ambrosia takeover was the firm’s first Chinese deal.

But it’s in Ireland and the UK where Applegreen continues to see its biggest opportunity. The company’s earnings before interest, tax, depreciation and amortisation (EBITDA), rose 26pc to €28.9m last year, while revenue was 15pc higher at €1.08bn.

The company operates from 200 sites, including forecourts and motorway service areas. It has just opened its second service area in Northern Ireland.

Applegreen spent €58.8m on capital expenditure last year, and chief financial officer Paul Lynch said that the company currently has sufficient funds for its planned estate development into next year.

Last year, Applegreen expanded its portfolio by 48 sites, 37 of them in the Republic of Ireland. It’s likely to increase it by a similar rate this year.

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WHAT DOES THIS MEAN FOR PRIVACY IN THE WORKPLACE? Úna Glazier-Farmer On the 12th January 2016, the European Court of Human Rights (“ECHR”) published its judgment in a challenge taken by an employee, Mr. Barbulescu, whose employment was terminated for his use of Yahoo Messenger during working hours on his employer’s network.

CHALLENGE FACTS Mr. Barbulescu was employed as an engineer. He was requested by his employer to set up a Yahoo Messenger account to allow for communication with clients. He duly carried out these instructions.

However, Mr. Barbulescu also used the messaging app to message his fiancé and brother during working hours, something, which was in direct violation of the Company’s Internet Usage policy.

During a period in July 2007, his employer informed him that his Internet usage had been monitored and it showed that he was using the Company’s Internet for personal purposes.

DISCIPLINARY The Company launched an internal disciplinary investigation into Mr. Barbulescu, which produced a 45 page report on his personal communications. The outcome of the investigation resulted in his employment being terminated for the breach of Company policy.

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Mr. Barbulescu argued that the Yahoo account was created at the request of his employer. However, following a review of his communications, it was discovered that Mr. Barbulescu messaged his fiancé and brother on the application during working hours.

Following an unsuccessful challenge to this decision before the Courts in Romania, Mr. Barbulescu appealed to the ECHR under Article 8 of the European Convention on Human Rights on the basis that the correspondence pertained to his private life.

Article 8 states: 1. Everyone has the right to respect for his private and family life, his home, and his correspondence.

2. There shall be no interference by a public authority with the exercise of this right except such as is in accordance with the law and is necessary in a democratic society in the interests of national security, public safety or the economic well-being of the country, for the prevention of disorder or crime, for the protection of health or morals, or for the protection of the rights and freedoms of others.

GOVERNMENT’S SUBMISSIONS

TOP TIPS FOR EMPLOYERS

The Government of Romania noted that Mr. Barbulescu set up the account for professional use and during the internal investigation claimed that he only used it for this purpose. It was argued that this prevented Mr. Barbulescu from later claiming an «exception of privacy» while at the same time denying any private use.

1. Ensure that there is an updated and unambiguous Internet Usage policy in place.

Relying on case-law from the French Court of Cassation, wherein it was held that emails sent by an employee were at the disposal of his employer and could be deemed to have professional character and thereby accessible to the employer.

3. Employers should establish clear guidelines for employees if a level of personal communication is permitted in the workplace;

An important point to note was that at all times Mr. Barbulescu was aware that his workplace communications could be monitored.

COMMENT While this is a significant decision in relation to the workplace, it does not allow for unlimited monitoring or access to employee‘s use of company computers, by employers. The key point in the judgment was that Article 8 could be relied upon in the workplace but only where there is a ‘reasonable expectation of privacy’. Therefore, where there is a clear Internet Usage policy to include all devices and applications and the employee has been adequately advised of the policy and accepted it in writing, then the Barbulescu decision may be relied upon.

In a contrasting judgment of the ECHR of Copland v UK (2000), it was held that an employer breached Article 8 in its monitoring and recording of an employee’s phone calls, emails and Internet usage. One of the significant differences between this case and Barbulescu was there was no warning that her usage would be liable to monitoring.

There is commentary to suggest that this judgment will be appealed to the Grand Chamber but this remains to be seen.

2. All employees should be adequately trained in the policy as well as accepting it by signing it;

4. A clear explanation of when, how and why workplace emails will be monitored; 5. Give clear examples of unacceptable use (such as sending emails containing obscene, racist, sexist, or defamatory content); 6. If employees use their own devices, e.g. mobile, tablet or laptop , for work related communications ensure that there is a Bring your own Device (BYOD) policy in place; 7. It is essential that there is a statement making it clear that that any breach of the policy may result in disciplinary action including dismissal; and 8. As with any breach of workplace polices ensure that employees are dealt with fairly and in accordance with the principles of natural justice, i.e. right to be heard, right to representation, right to have all the evidence presented to them in advance of the hearing, right to a fair and impartial hearing and only form a judgment after all the facts have been disclosed.

ÚNA GLAZIER-FARMER

B.A., LL.B, LL.M in Competition Law, Dip. in Finance Law

Úna is a practising barrister with extensive experience in employment law and personal injuries

SHORTAGE OF SEED FINANCE COULD HOLD BACK FIRMS, CONFERENCE TOLD A shortage of seed finance could threaten the potential of some of the most promising new and growing companies on the island, InterTradeIreland, has warned.

The cross-Border trade and business development body hosted its 15th annual venture capital conference in the Belfast, recently, bringing together hundreds of entrepreneurs, startups, venture capitalists and other potential investors.

The conference heard there is no shortage of ambition or enthusiasm when it comes to getting new business ideas off the ground - North or South.

But according to Drew O’Sullivan, InterTradeIreland’s lead equity adviser, there is a lack of seed finance available that could mean some of these start ups will not grow as fast as they possibly should.

According to the Irish Venture Capital Association, the amount raised by seed funds in Ireland last year was €43.8 million, down from €66.8 million in 2014

In 2015, seed funding accounted for 8 per cent of the overall €522 million raised through venture capital. Mr O’Sullivan said this means that growing businesses in 2016 need to look elsewhere to secure the financial support they require and that one option is crowd funding.

“Seed funds are getting replenished and we’ve had very good domestic seed funds, but the landscape at the moment when it comes to seed funding is quite dry - it’s just where the cycle is, and it’s not going to last forever, but for the time being the lack of seed funding is a big issue.

“There are other options such as crowd funding and of course angel funding from HBAN and Halo NI - angel investors and other established entrepreneurs have the confidence to invest in startups and growing businesses because they’ve seen how successful exits can deliver for them on the island - and this is helping to fill the gap,” he added.

Mr O’Sullivan said he expects more companies in the Republic to turn to crowd-funding opportunities in the UK this year. He said some businesses may have been wary about this because they were not fully up to speed with what it entailed but he said any Irish business can become eligible to apply for crowd funding in the UK if it also establishes a UK base.

“Crowd funding creates an opportunity for Irish businesses to tap UKbased investment,” Mr O’Sullivan added

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HOW TO PULL THE HANDBRAKE ON RISING INSURANCE COSTS MOTORISTS HAVE WEATHERED A 31% RISE IN CAR INSURANCE PREMIUMS IN 2015. HERE’S HOW YOU CAN CURB THE COSTS. According to statistics from the Central Statistics Office, insurance costs increased by 31% in the last year, and experts predict that it will rise further in 2016 while insurers attempt to make up for the losses they incurred in the previous two years. Meanwhile, motorists have to absorb the shock of this chunk taken out of their savings.

3. MAKE A SWITCH It makes sense to switch to a new supplier regularly if you are claims free. Sometimes, it pays to compare the rates of different insurance companies online, or by calling them. Using a broker is also a good idea, and it won’t cost you any extra, because the insurance company will pay the broker commissions. Taking out more than one type of policy with the same company will probably entitle you to a discount, and it won’t hurt to ask what discounts are available to you.

4. RESIST THE URGE TO OVER-INSURE Being conservative about your car’s value can help keep down the costs of insurance. The insurance company’s assessor will determine the value of your car at the time of a claim, and most people tend to overvalue their own cars. Car sale’s adverts provide a good indication of your car’s market value.

You could also check the Revenue Commissioner’s website, which features a car valuation tool for each model and make, based on the year of manufacture. This tool is used for vehicle registration tax purposes.

Thankfully, there are some things you can do to reduce the cost of your insurance policy:

1. USE TELEMETRICS TO BECOME A BETTER DRIVER You can secure a discount on your car insurance by obtaining telemetrics through your smartphone. Some insurance companies will use an app XLNTdriver - to monitor the behaviour, status, movements and location of your car. AIG offers a 20% discount for motorists who use the XLNTdriver app, which is the first driving app with auto start and stop functionality, to measure driving style, and further savings of up to 5% for improved driving behaviour as measured by the app after 3 months’ of consistent use and subject to achieving the required scores.

If you anticipate the flow of traffic and drive smoothly, you should achieve a good score.

2. TAKE A 2 TWO YEAR POLICY Since the costs of insurance cover are predicted to rise again in this coming year, you could lock in your current rate by opting for a two-year cover package. Some insurance companies offers this type of policy, which guarantees that you will pay the same premium that you are paying this year, again next year. Also, your premium won’t rise if you have a claim during this period.

5. BEWARE OF THE EXCESS In recent years, insurers have made a habit of increasing excesses. Before making a claim, you have to pay an amount (excess), so find out how much the excess is before making a claim. With excesses of €500 being quite common, it negates the value of insurance on small accidents.

While it reduces the risk for insurance companies, it also means that you’re less likely to make small claims.

6. DESCRIBE YOUR JOB CREATIVELY Insurers base cover prices on many factors, one of which is occupation.

There is a broad range of job categories that describe the various occupations, and choosing the wrong one can influence your premium negatively. For instance, a homemaker will pay a reduced premium compared to an unemployed individual. However, it is important not to lie about your occupation, as that is fraud. Don’t say that you’re a computer programmer if you’re an electronics technician.

7. AVOID MODIFICATIONS Safety modifications are fine, but avoid small modifications, such as alloys or a killer sound system, which will cause premiums to increase significantly. Alternatively, discuss the changes with your insurer beforehand. If you really want to add a modification, install a new costcutting safety feature at the same time to balance out the increase.

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8. BUY THE RIGHT CAR

10. FIND SAFER PARKING

When buying a car, choose wisely. Expensive muscle cars will also increase your insurance costs. Important cars will fetch higher premiums, as will cars that are popular with car thieves. It may be worth your while to speak to your insurer before you buy a car. Choose three options, get the premiums for each, and then make your decision.

Cars that are parked in locked garages will fetch lower insurance costs.

Parking in your driveway or in the street will drive up the risk of theft and damage, and therefore insurers increase premiums. Likewise, if you live in an area with higher claim rates, you will pay more than you would in a rural area.

9. PAY AN ANNUAL PREMIUM If you’re able to do so, pay annually instead of monthly. Monthly cover can work out up to 20% more expensive due to the interest rates.

BOOMING CAR SALES HELP TO LIFT THE RETAIL SECTOR

Consumer spending, a key measure of economic vitality, was up more than 10pc in January, compared to a year earlier.

Car sales were particularly robust in the opening month of the year, helped by the switch to ‘16 registration numbers.

Stripping out cars, retail sales were up 6.4pc in January from the same time last year.

«Although retail sales remain erratic on a monthly basis, the underlying trend is positive,» said Alan McQuaid of Merrion Stockbrokers.

«While most attention was on cars last year and will be again in 2016, personal spending in other areas is picking up too and is becoming more broad-based. This can only be good news for retailers and employment prospects in the sector.»

After cars, it was electronics, clothes and department stores which saw the biggest gains.

Spending may be growing strongly because low interest rates for savers, coupled with falling prices, have encouraged consumers to spend, rather than save, Mr McQuaid said.

Consumers Consumer confidence hit a 15-year high in January and this has been reflected in stronger retail spending, according to Mr McQuaid.

That points to a rise in disposable incomes, despite the widespread rubbishing of Fine Gael’s ‘Keep the recovery going’ election slogan.

However, the figures as published by the Central Statistics Office don’t provide a regional or county-by-county breakdown of where spending is happening.

There was an increase of 6pc in the value of retail sales in January 2016, compared with December 2015.

There was an annual increase of 8.9pc when compared with January 2015, according to the CSO. The figures were boosted by tourist spending due to the weakness of the euro.

DUBLIN THE SECOND BEST HOTEL MARKET IN EUROPE Dublin has been named the second best performing hotel market in Europe.

The Irish Times reports that the 2016 hotel valuation index, by global hotel consultancy HVS, shows RevPAR of Dublin hotels increased by 13.4% in 2015. Values rose by 13.2% in 2014.

Ireland’s capital came in second place behind Madrid and ahead of Manchester, Athens and Birmingham.

The European average was 3.6 per cent. Geneva was one of the “losers” with a growth in value of just 1 per cent, while Paris saw almost no change in value following November’s terrorist attacks.

Dublin is also expecting an additional 5,000 rooms to enter the market over the next five years.

IHF president Joe Dolan has also called for a fiveyear product development plan for Irish tourism; «Our industry has benefited enormously from positive economic tailwinds from North America and Britain in recent years, contributing to impressive growth in overseas visitor numbers.

It’s vital that we focus on achieving sustainable growth while safeguarding our market share against potential risks.»

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SWITCH & SAVE

ON ENERGY COSTS YOU MIGHT BE ABLE TO SAVE ON ENERGY COSTS BY SWITCHING TO A NEW ELECTRICITY AND GAS PROVIDER

?

Diesel and petrol prices are plummeting, but why are residential energy rates still so high?

Many outlets are selling diesel for 99 cents, and most forecourt signs show that petrol is going for less than €1.20 a litre. We have not paid this little since 2010, which is pleasing to motorists. With lower fuel prices being commonplace all over Ireland, one wonders whether it might be prudent to switch energy providers.

According to Simon Moynihan from Bonkers.ie, the diesel price has fallen by approximately 33 cents per litre in only six months, which saves the average motorist approximately €1.20 a litre every time he or she fills up, compared to what we paid last summer. That means that we can easily save €600 in the next year, compared to what we paid last year.

There is an obvious link between lower diesel and petrol prices, and that of falling oil prices, worldwide. Low oil prices offer a great many benefits to consumers, including reduced heating costs.

The fact that we have just experienced the warmest winter on record, added to consumers using significantly less gas and oil than would usually be the case. Electricity costs are closely linked with that of natural gas, which have been falling steadily too. As a result, we, as consumers are expecting sizable reductions in our household energy bills. However, while most suppliers have carried cost savings over to consumers, the reductions are nowhere near as dramatic as those we are seeing at the petrol stations.

ENERGY PRICE REDUCTIONS Bord Gáis Energy set the tone for other household gas and electrical companies by reducing its rates back in October. Flogas, SSE Aritricity and Electric Ireland followed suit by also lowering their prices at the start of 2016.

Consumers have appreciated the fact that most gas and electricity “standard rate” prices were reduced by 2pc-2.5pc per unit, and while the annual savings of €20-€25 have been insignificant compared to the savings motorists see at fuel stations.

Critics also cite the fact that wholesale prices of electricity have gone down by 18pc and gas by 29c in the last year, which means that providers could have easily passed on a bigger piece of the cake.

HOW THEY JUSTIFY SMALL PRICE CUTS Of course, suppliers argue that they have to buy natural gas well in advance to cater to demand at consistent prices. That is the reason why it takes a long time for reduced wholesale prices to result in savings for consumers.

However, it has been two years since the oil price started falling, and it’s only fair to be expecting bigger cuts. The price cuts have certainly been significant at the pumps, which indicate that there is scope for better savings on gas and electricity too.

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ENERGY COSTS & DISCOUNTS According to Simon Moynihan, suppliers may be passing the savings they make from wholesale prices on to consumers in the form of bigger discounts and cash incentives, which are aimed at motivating new customers to sign up.

Ireland has eight energy companies, which makes competition fierce.

Suppliers have to work to sign up new customers, to the extent that they now offer cash-back deals - something that was unheard of before the oil price started falling.

Other deals used to entice customers to switch, include free boiler services for gas customers, and free heating controllers. Suppliers are doing everything in their power to sign up new customers, and they are cutting deep discount prices to do so.

Bord Gáis Energy first launched their Big Switch campaign back in 2009, giving new customers 13pc discounts. This saw a deluge of customers (close to 450,000, or over 20% of the entire market) switching over to the supplier.

Suppliers are now offering much bigger discounts to encourage customers to switch. SSE Airtricity offers electricity discounts of up to 25%, while Energia is offering unit rate discounts of up to 26%. The result of these discounts could save consumers in excess of €200 across the span of 12 months, compared to standard rates.

Most gas companies are also offering discounts that will provide customers with significant savings. Flogas is in the lead with a 20% discount on offer, which will save the average household over €145 in savings over a 12-month period.

SWITCHING TO SAVE According to the energy regulator, about 15% of energy customers switch to different suppliers to get a better deal. Close to 80% of electricity consumers and 94% of gas consumers switch for the purpose of saving money. Since deregulation, we are seeing the highest level of discounts available to switchers, which makes it the perfect time to consider making the switch.

According to Moynihan, the savings to be made from using separate suppliers for energy and gas can result in the biggest savings, and it far outweighs the inconvenience. Bonkers.ie shows that the average consumer can easily save €360 by signing up with Flogas for gas and Energia for electricity.

If you switched to save money more than a year ago, you are probably paying close to the expensive «standard» rates again, since new customer discounts only last for 12 months before suppliers apply the standard prices. While insurance companies must notify clients of price increases, energy suppliers do not have to do that.

The good news is that you have the right to switch to another company that offers large introductory discounts, which means you do not have to continue paying those ridiculous standard prices. You could switch suppliers and save money.

SURVEY SIGNALS GOOD NEWS FOR JOBSEEKERS A new survey shows the number of available jobs in the construction sector is up 40%.

Overall, the latest employment monitor from recruitment firm, Morgan McKinley, is predicting steady job growth this year.

However, the firm has warned against a period of prolonged political uncertainty to protect the recovery in Ireland.

Tracey Keevan, the International Investment Manager with Morgan McKinley, said: «There is economic confidence coming across most of the sectors that we have seen, from a candidate perspective that is shown by the number of people that are looking for opportunities.

«Then it is shown obviously by certain sectors that are hiring, dare I say it, en masse at the moment.»

IT’S EASY TO SWITCH ENERGY PROVIDERS Switching is simple. Simply select your preferred supplier, and pick the deal you wish to enjoy. You will only need: •

Your MPRN (meter point registration number) on your electricity bill.

•

Your GPRM (gas point registration number) which is on your gas bill.

•

Billing details.

•

The reading from your last bill, or - if possible - the current meter reading. (An actual reading is usually better, because that is what your old supplier will use to close the account, and the new supplier will need it to start billing you. Accuracy can save you money!)

The supplier will take care of everything else from here on in. Your service won’t be interrupted, and there will be no need for a technician to visit your home. The process takes only about two weeks, and your new supplier will let you know as soon as you’re on supply.

You could compare services and prices on Bonkers.ie in order to find the best deal possible. They will also take care of the switch on your behalf.

Simply complete their short application form, and enjoy your savings.

‘PLAN TO HIRE 5PC MORE STAFF’ A new report from Manpower Group shows that restaurants and hotels are reporting strong growth in the opening months of 2016 with employers expecting to boost staff levels by 12pc.

Net employment across all sectors is expected to rise by 5pc in the three-month period between April and June, Manpower claims.

«The restaurant and hotels sector is expected to enjoy the highest levels of year on year growth in employment levels,» said Manpower Group Ireland sales director Cara O’Leary.

Companies in the utilities sector are thought most likely to hire staff in the second quarter. Employers are expecting to increase staffing levels by 19pc between April and June.

Manpower surveyed 620 Irish employers and found that those in Connacht reported the strongest intentions to hire.

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LEGAL BRIEFS

RENT ALLOWANCE CAN NO LONGER BE REFUSED BY LANDLORDS Landlords can no longer refuse to accept rent supplement.

Landlords can no longer refuse to accept rent supplement.

Under new equality laws - those receiving an allowance towards the cost of their accommodation - are protected against discrimination.

Under new equality laws - those receiving an allowance towards the cost of their accommodation - are protected against discrimination.

Anyone who advertises a property saying that rent allowance is NOT accepted or who refuses to rent to someone on rent allowance could be fined up to fifteen thousand euro.

Anyone who advertises a property saying that rent allowance is NOT accepted or who refuses to rent to someone on rent allowance could be fined up to fifteen thousand euro.

NEW GROCERY RULES WILL HURT IRISH SUPPLIERS, SAYS SUPERVALU The head of the country’s biggest food retailer has warned that new rules could disincentivise supermarkets from buying Irish products. SuperValu Managing Director Martin Kelleher said that the new rules put an unreasonable administrative burden on supermarkets when dealing with suppliers.

He was referring to the Grocery Goods Regulations, which were signed into law by Richard Bruton just before the General Election was called. They will take effect at the end of April.

A spokesperson for Musgrave clarified that the rules cover relationships with all direct suppliers, even if goods are coming from overseas - but might be avoided by multinationals who buy indirectly through offices in other countries.

«We think it’s an administrative burden that adds cost and, we believe, very little value,» said Kelleher.

The rules are particularly burdensome when dealing with very small suppliers, the spokesperson added, and can act as a disincentive to supporting food start-ups.

The rules mean contracts between big retailers and suppliers must all be closely documented and cannot be unilaterally changed. Practices such as demanding payments for shelf space are banned. Records must be kept for several years.

«We are very clear that Musgrave’s relationships with its suppliers and partners are strong, clear and fair. We don’t believe there is any benefit from this to people dealing with us,» said Kelleher.

«We are disappointed with certain aspects of it, because we feel that it penalises businesses like Musgrave that are Irish and support Irish businesses,» said Kelleher.

Their suppliers are not asked to pay to be stocked on shelves, he added.

«There is a temptation or a possibility that one of the easiest ways to get around those regulations is not to buy from Irish businesses. The rules are that you only have to record and do the administration parts of it when you are dealing with Irish suppliers.

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When you buy from abroad, which obviously multinational companies can do more easily... it incentivises that behaviour.

And we don’t think that’s good.»

Switching to foreign suppliers «would be a last-ditch resort», he said. «We are so focused on supporting Irish and supporting local suppliers. But if our competitors are getting price advantages or administrative advantages by doing so, it puts you in a difficult position, it challenges us.»

IRELAND NEARS 20PC OF ALL NEW US INVESTMENT INTO THE EU

According to a recent report, commissioned by the American Chamber of Commerce Ireland, FDI into Ireland from the US amounted to $310bn (€283bn) by the end of 2014.

The new report was written and researched by US academic and Wall Street economist, Joseph Quinlan.

In his report Mr Quinlan highlighted a surge of investment flows of $58.1bn in 2014 from the US into Ireland.

Mr Quinlan said that despite increasing worldwide economic disorder, Ireland remained one of the «prime destinations» for US FDI. «Yes, there has been a great deal of churn and change in the global economy since our last report. But what has not changed is international investors’ overriding preference for doing business in Ireland.

«Various metrics point towards Ireland and the United States deepening their well-established trade and investment linkages,» Mr Quinlan said.

According to Mr Savage 75pc of the 19,000 jobs announced by IDA Ireland last year were created by US companies.

«To maintain and strengthen our success in the global battle for FDI, our nation must continually reassess the needs of business, both domestic and multinational. We believe Ireland can continue to compete strongly on the international stage continuing to attract strong US FDI over the coming decade,» Mr Savage said.

The chamber also outlined the challenges facing Ireland in order to keep foreign direct investment coming from the US. Education, accommodation, and nationwide jobs growth were amongst the challenges listed by the chamber.

Ireland must ensure its education system is challenged to produce graduates with business-relevant skills sets, the chamber said.

Mr Savage addressed the current housing crisis as an issue that may impinge on FDI if it isn’t addressed appropriately.

Ireland’s portion of FDI from the US can be compared favourably to that of Germany and France.

The chamber president highlighted the importance of «ensuring Ireland has a sufficient supply of quality, affordable and well serviced accommodation for all those who want to build a great career in Ireland».

With Ireland’s amounting for just under 20pc of all US investment flows into the EU, France takes just 3pc while Germany accounts for just 2pc.

Since 2008, Ireland has been second only to the Netherlands in attracting more US investment flows to Europe on a cumulative basis.

The Irish share of US investment stock has risen substantially over the last ten years, up to 11pc in 2014 from 6pc in 2004.

In the research Mr Quinlan says that Ireland’s resilience has made it amongst the most attractive destinations in the world for US FDI.

American Chamber of Commerce Ireland president, Bob Savage, said he was delighted at the positive story that arose from the report.

Mr Savage was speaking at the launch in the Intercontinental Hotel in Dublin, where he eluded to the importance of US FDI to Irish job creation.

The Wall Street economist says the US looks to invest in expanding economies and with Ireland’s rate of expansion it is «no surprise» that US FDI has spiked here.

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BEST DEALS

A BRAND NEW CAR

on

LOOKING TO BUY A NEW CAR? PAYMENT OPTIONS ABOUND, BUT BE WARY OF THE TYPE OF VEHICLE FINANCE YOU CHOOSE. Few people can afford to pay hard cash for a brand new car, which leaves those of us who have not inherited a fortune, or won the lottery with no choice but to get finance. Technically, there are two choices: obtaining a finance package from the dealers, or getting a car loan from the bank.

Car loans from credit unions or banks are invariably more costly than the finance options offered by dealers. Dealers commonly offer personal contract plans or hire purchase agreements, although banks have reduced interest rates on some of their car loans in recent months.

HIRE PURCHASE OPTIONS Opel Ireland offers 4.5% interest packages for people looking to borrow €20,000. The Opel Adam goes for close to €19,750, which, paid back over 5 years, will be €1,750 a month, along with a deposit of 30% (€5,925).

The one thing to bear in mind, is that dealer loans (HP agreements) are structured in a different way to standard bank loans. The finance company or bank continues to own the car, and merely «rents» it out to you. It only belongs to you once you have paid the final repayment. The interest rate also remains fixed for the term.

While some banks do offer hire purchase loans, they are generally not as competitive as the dealers in terms of rates. AIB’s charges 8.45% and Bank of Ireland’s rate is 7.3%. The benefit is that you can get a 100% loan, which means that you do not have to fork out a deposit.

BANK VS. DEALERSHIP There are of course great benefits to obtaining finance from the bank instead of from a dealer; the main advantage being the fact that with a bank loan, you own the car right away. If you buy from a dealer, you only own the car when you have paid it off. That means that if you get a loan from the bank and happen to run into repayment issues, you can sell the car to pay off the loan. Additionally, you can buy a used car rather than a new car, which gives you more bargaining power.

Of course, the interest rate has to be considered. Permanent TSB has the fourth most expensive bank rates (APR) at 10.5%, but they do offer a special loan rate for people wishing to buy a car newer than 6 years.

If the car is new or less than two years old, you will pay as little as 8.8%; if the car is between 2-4 years old, you will pay 9.3%, and for a car of between 4-6 years, you will pay 9.3%. Ultimately, the bank rates (APR) on car loans of €20,000, paid back over 5 years, start from as little as 7.5% with Bank of Ireland to just under 12% with KBC. Bank loans are also cash-secured, which means that if you have 25% of the loan amount to deposit as security, you can reduce your rate to 6.4% - 8%. An example would be if you put down a cash security of €5,000, you will unlock an 8% rate.

Another way to unlock cheaper bank rates, would be to open a current account with the bank in question, if you don’t already have one. KBC customers pay 2% less on the bank’s standard rate, and Ulster Bank’s customers pay 6.9% instead of 7.9%.

Dealers generally offer lower interest rates, since some manufacturers offer their own financing plans for the purpose of lending buyers money; others have pre-arranged packages with major banks. By shopping around, you may find dealers that charge 0% interest finance.

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More recently, dealers have been offering personal contract purchase (PCP). This type of finance has become increasingly popular, with up to 75% of clients opting for this kind of finance last year.

PCP is effectively a lease, which means that you’ll never really own the car, but it requires a deposit and monthly payments for 36 months, after which you pay a bubble payment. A minimum value car at the end of the lease is guaranteed, and this covers the bubble payment. You then have 3 options: 1. Pay the bubble payment and own the car.

2. Return the car and walk away debt free.

3. Trade the car in as a deposit on a new car with a new PCP deal.

Terms and conditions will apply, and will usually involve a limit on annual mileage, and restrictions on where the car may be serviced.

Deposits are lower than that of HP deals. However, you don’t build up as much equity on the car as would be the case with an HP deal.

Some experts agree that with PCP agreements, you pay for the depreciation on the car, however, it suits people who want to purchase a new car after every three to four years.

CAROL BRICK

FERGAL LENNON

MANAGING DIRECTOR

DIRECTOR CONTRACING PLUS & CWM WEALTH MANAGEMENT

Carol Brick is a UCD Graduate of Economics and a qualified financial advisor. She began her career in the Financial Services Industry over fifteen years ago in Group Financial Control, Bank of Ireland Headquarters.

Since 2005 she has specialised in the area of Asset and Wealth Management. Carol has extensive relationships with all of the major Irish financial institutions and has specialist knowledge of their products and services and has a proven track record of managing a wide array of investment portfolios.

Carol believes that every client is different and has very unique financial needs. A client’s financial plan must reflect these needs and Carol will tailor a bespoke financial plan especially for you.

Carol has throughout her career achieved major success in developing investment portfolios for a wide array of clients.

Fergal was educated in Cork and is a Fellow of the Institute of Chartered Accountants. He spent eight years in London working in a large accountancy practise and in industry. Since returning to Cork Fergal has founded and successfully developed several businesses in the Finance and IT Sectors.

MICHAEL DINEEN DIRECTOR CONTRACING PLUS & CWM WEALTH MANAGEMENT Michael completed his B Commerce Degree in UCC and is a Fellow of the Institute of Chartered Accountants. He has a wealth of experience in financial services and has managed many successful businesses both in Ireland and abroad.

EILEEN CARROLL

DAVID SANTRY

OPERATIONS MANAGER

FINANCIAL CONTROLLER

Eileen joined CWM Wealth Management in 2012 and has worked in the Financial Services Sector for the past ten years. A CIT Business Graduate, Eileen started her financial career with City Life Wealth Advisors before moving to the Trustee Department of Bank of New York Mellon and has a wide range of experience in the Irish financial advisory and the fund management sectors.

David is an employee of Contracting PLUS since July 2012.

After finishing his Leaving Certificate he completed his ACCA training in Waterford and Athlone IT. David has worked for eleven years in practise and eight years in industry prior to his work in Contracting PLUS. He is also a qualified ATTI. David is the Financial Controller of CWM Wealth Management.

OLIVE BRICK

MARY MURPHY

CLIENT RELATIONSHIP MANAGER

LIFE AND PENSIONS ADMINISTRATOR

Olive joined CWM Wealth Management in 2012. A University of Limerick Business Graduate, Olive began her career in the financial sector with CWM Wealth Management. Olive obtained her QFA qualification in 2014 and most recently her Diploma in Retirement Advice Planning in 2016. Olive looks after all existing clients of CWM Wealth Management.

Mary joined CWM Wealth Management in November 2015.

Mary has over twenty years’ experience in the financial services industry after working with New Ireland Assurance for most of her career. She obtained her QFA in 2012.

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RANGE OF SERVICES PENSIONS

SAVINGS & INVESTMENT

•• Executive Pensions (for Company Directors) •• Personal Pensions •• PRSAs •• Self-Directed Pensions

•• Lump Sum Investments •• Bonds •• Regular Savings Plans

PROTECTION

•• Retirement Planning •• Full Review of existing pension arrangements •• Advice on best to protect your dependents as a contractor •• AdviserHER - Free financial advisory service by a team of professional females to professional self-employed females.

SPECIALIST ADVICE

•• Executive Term Assurance (for Company Directors) •• Day One Income Protection •• Serious Illness Cover •• Term Insurance •• Mortgage Protection

APPOINTMENTS ARE AVAILABLE NATIONWIDE AND ON AN EVENING AND WEEKEND BASIS

VISIT US AT: 84 Merrion Square

Unit 6500 Cork Airport Business Park

cwmwealthmanagement.com

Dublin 2

Cork

info@cwmwealthmanagement.ie

(P) 01 611 0707

(P) 021 4839350

(F) 01 481 1594

(F) 021 238 0198

CWM Wealth Management Ltd is regulated by the Central Bank of Ireland