Our Creed

Our Creed

  • We diversify – practicing true diversification
  • We create your own personal investment policy statement
  • We practice transparency – We place investments directly with companies. We do not hold any of our clients assets in our name
  • We practice risk reducing strategies for your investments
  • We decide on your asset allocation model and update it often
  • We do the job the right way the first time
  • We service your family in the event of your death or disability
  • We plan for the best; prepare for the worst
  • We transfer risk to others whenever feasible
  • We pay attention to current events and the landscape of changing financial conditions
  • We are aware of expenses, both obvious and hidden – Lower expenses are generally better, but not always. Don’t be pennywise and dollar foolish.
  • We use tax efficient investment platforms when practical
  • We include securities that offer both potential growth and income – Remember dividends and interest are your friends.
  • We have different baskets of investments for different time horizons
  • We use risk aware managers
  • We use portfolio insurance whenever possible
  • We use a proprietary age weighted asset allocation method instead of traditional market based asset allocation models
  • We believe the adage of “The higher the risk, the higher the return” is false and has caused untold damage to people’s investment portfolios and lifestyles
  • We believe it is nearly impossible to time the stock market. However, one can practice seasonality with good results

 

 

Are you dealing with a salesperson or a true financial advisor?

A salesperson will:

  • Usually represent just one company or just one company’s product
  • Place their needs or their company’s needs above yours
  • Present few options
  • Confuse you
  • Discuss a problem, excite you with a solution, and sell you something. This could be a mutual fund, an asset allocation model, an index annuity, the latest fad, or
    worse, an unregistered investment.
  • Many times they will come to your home to isolate your decision making process and to exert undue influence.
  • Gather information to use against you.
  • State everybody else is wrong.
  • Not reveal their true fees, costs, risks, or compensation.
  • Stress benefits without stating risks.
  • Never contact you again unless they have something else to sell.

A financial advisor will:

  • Place your interests first
  • Define your objectives for
    • Building an estate
    • Minimization of income taxes
    • College funding
    • Retirement planning
    • Purchase of a second home
    • Charitable giving
    • Estate tax planning
  • Determine asset allocation for
    • Evaluating risk tolerance & explaining forms of risk
    • Discussing investment time horizon
    • Considering existing investments
    • Discussing risk & return
    • Using diversification
    • Explaining portfolio insurance
  • Adopt an investment policy statement to
    • Outline your objectives
    • Define asset allocation targets
    • Provide an investment road map
    • Define your comfort level and design a portfolio to suit you
  • Implement an investment plan by
    • Selecting investments for each asset class, such as:
      • Fixed income
        • Taxable bonds
        • Municipal bond funds
        • Individual bonds
        • Bond strategies
        • Fixed annuities
        • CD’s

 
      • Equities
        • U.S. stock funds
        • International stock funds
        • Individual equities
        • Real estate investment trusts
        • Managed fund platforms
        • Variable annuities
        • Closed end funds
        • Exchange traded fund
  • Dollar cost average into positions
 

  • Monitor the progress by
    • Reviewing accounts quarterly
    • Rebalancing to target allocation
    • Adjusting target allocation for significant changes in circumstance
    • Explaining new products and strategies as they evolve
  • Communicate throughout the process by doing
    • Comprehensive quarterly reports
    • Quarterly newsletters
    • Annual client meetings
    • One on one access to investment advisor via phone or in person