How do you get paid?
Investment professionals usually get paid in one of two ways, commissions for “selling” you a product, or fees for giving you advice-much like a doctor or lawyer, or CPA. We only get paid for advice. Imagine if your doctor had to “sell” you stuff to get paid, how many ailments would you have?
What is active versus passive investment management?
Passive management means that there is no skill used in managing a portfolio of stocks, just a list based on a market index. There are some periods of time where this strategy works. There are also periods of time where passive investing just doesn’t work. Active management entails the use of skill. Someone using their brain to make decisions. Studies have shown that 89% of active managers can’t beat their passive competitors, and I agree. What about the other 11%? That’s where we like to invest!
Do you sell insurance?
No. We do not sell insurance, but we can analyze policies, make recommendations, and help you determine types and amounts of insurance you may need. You can use your current agent for the purchase, or we can help you find one. (We do not accept any payments for referrals to other professionals.)
If I’m retired, I only need dividends, right?
Dividends are important, but more importantly you need to understand your “total” return, which would include dividends, interest, capital gains, and investment appreciation. You have to consider the longevity of the portfolio and the risk of inflation.
What is business succession?
Business succession is having a plan in place to transfer the operations and/or ownership of the business that you worked hard to build, to someone else in case of your death or disability. What happens to your business if something happens to you? Who will take over? Do you have a plan in place?
I hear 401k’s are a rip-off?
There are countless stories running through the press that discuss this issue. It’s all about investment fees….Realistically they’re talking about internal expenses. How much it costs to operate. More importantly, it should be about results. Imagine choosing a grocery store because it has lower overhead “fees,” but you pay more for a loaf of bread. Would it save you money?