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A Registered Investment Advisor Since 1984 |
Frequently Asked Questions |
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Why should I hire you? |
I am a professional who has been around for 36 years. I have learned over those years that it is more important to preserve client assets during bear markets, than it is to make money during bull markets. The first decade of the 21st Century will not be over until the end of 2009; however, through December 31, 2008, the S&P 500 has lost a total of 32.9%, for an average annual rate of return of -4.4%. For every $100,000 invested January 1, 2000, investors would have $67,251 on December 31, 2008. The S&P 500 will need to have a return in excess of 41.7% in 2009 in order to avoid having the worst decade on record. The money I saved my clients who followed my advice in 2008 is why you should hire me! |
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That means that you and only you pay me. I do not receive commissions or perks from investment companies who try and persuade me to use their investments, even if their investments are not best for you. We’re compensated only by you, so we do not have any conflicts of interest when working with you. |
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The way our contract for managing assets is set up I make more money if you make more money, I make less money if you make less money. If I do have a conflict of interest, it is wanting you to make more money than your risk tolerance level would allow you to make. My 36 years of experience, fiduciary requirement, desire to make you as much as you can under your risk tolerance level and aversion to wanting my clients to lose money is why clients seldom leave. |
Do I have to meet a minimum dollar amount to work with you? |
I believe my fees are most advantageous to people with assets of $1,000,000 or more. However I love a challenge and will work with almost anyone who wants to grow. Michigan is going through some pretty hard times and, although I would like to set my minimums high like other advisors, I believe it is more important to help people than to have an easy laid-back life style. |
How long does it take to do a plan? |
We can get a good start in 4 weeks, but the best plans take a lifetime. We may meet as few as three or as many as five or more times the first year. Then we will meet with clients between two and four times a year, depending on their needs. |
How do you determine fees? |
Our hourly fee is based on an estimate of the time and resources needed to develop, implement and monitor your financial plan. If we manage your assets, we will offset any planning fees by the cost of your plan for one year. |
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It costs you less than it cost you in 2008 because we were not managing your money. Rates are negotiable on a case-by-case basis depending on needs and assets to be managed. |
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Prospective clients sometimes ask to see our investment results. We can compute a global return for all assets under management; however we don’t believe that figure is meaningful to prospective clients. We do not have a "typical" client portfolio. Each client's portfolio reflects the appropriate time line, return objectives, risk tolerance, tax situation and personal financial goals of that client. We could and do show the performance of the particular investments we used over various time periods. Prospective clients can thus observe the range of actual returns of specific portfolios and of the component elements often used in those portfolios. However, this may not be accurate, as in the past we have (when economic signals showed troubles coming) put stop loss orders on investments. These stop loss orders have then sold off those investments placing the clients in cash. Thus the historical returns no longer apply. |
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Clients who have a prior planning relationship often come to us on the rebound from somebody posing as a real financial planner for these reasons: 1. They want a second opinion regarding the other planner’s recommendations. If your current planner is doing a good job, we will tell you that and send you back to him or her. If he or she is not doing a good job, we will not have to tell you, after you have received our plan and recommendations and you will probably be a client for life. I have many clients who have been with me for 20 and 30 years. |
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Click here and ask your question in the comment area. We will get back to you as soon as possible. |
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