We start most client relationships by preparing a comprehensive financial plan. This begins with a careful review and analysis of your current financial situation. Based on this evaluation, we prepare a financial report that includes a family balance sheet and income statement, and an assessment of your investments, debt management, emergency fund, insurance coverage, college savings, and estate planning. This is followed by a detailed list of recommendations on how to strengthen your financial situation, address any deficiencies, and build a sufficient nest egg to ensure a comfortable retirement.
Once the plan is implemented, we carefully monitor your progress and schedule periodic meetings or phone conversations to discuss any recommended modifications. We offer sophisticated Monte Carlo analyses to check your progress and to determine whether you are on track to meet your retirement savings goals. Examples of a generic financial plan and Monte Carlo analysis are provided to help illustrate this process.
Our investment management services bring the best ideas from the world of academic finance to the individual investor. We begin by listening carefully to understand your financial situation. What are your priorities and concerns? What are your future spending needs? Where do you see yourself in five, ten or twenty years? Our aim is to design an optimal strategy for growing and protecting your assets tailored to your specific goals and aspirations.
Investment portfolios are structured using a combination of mutual funds, exchange-traded funds (ETFs), and/or individual stocks. Taxable and tax-deferred accounts are carefully coordinated to ensure appropriate overall balance and diversification. Tax-minimization strategies are used to reduce investment-related tax liabilities. Your portfolio is reviewed on a regular basis and the asset allocation is adjusted at least annually to maintain proper balance and diversification.
In designing our client portfolios, we are free to choose from among thousands of mutual funds. We generally prefer passively managed funds with low expense ratios because we believe they offer the best value to our clients.
Exchange-traded funds, or ETFs, are index funds that trade like stocks. In other words, they can be bought or sold throughout the trading day, unlike mutual funds, which change hands only at the end of the trading day.