Wealth Accumulation & Preservation: I believe that clients want to build and maintain wealth and long-term security through a reliable and easy to follow investment strategy that results in good long-term performance, providing the ability to obtain goals and objectives, while keeping the portfolio in line with the client's specific risk tolerance and personal circumstances.
Efficient Market: I believe markets are efficient and that very few money managers can ever consistently provide market-beating performance versus its corresponding index. I also believe it's almost impossible to identify those few money managers before the fact. I do not believe in timing the market, or chasing returns.
Diversification & Risk Management: I believe in diversified, risk-managed portfolios, focused on wealth preservation. When reviewing a portfolio, I look for diversified exposure to a variety of market sectors and asset classes, including small and large capitalization, growth and value, domestic and international. A well-diversified portfolio usually has some individual investments, which, on their own, may not be attractive to the client, but as a whole, can have a significant impact in managing client's risk & meeting goal attainment.
Costs Matter: When investing "you get what you don't pay for". Expense ratio's and fees for many financial products and services have been dropping significantly lately. Using these low fee quality financial products and services in portfolios will make a huge difference in long term performance when compared to fiancial products with high expense ratio's, service fees and commissions.
Honoring the Individual: I understand clients have constraints in their portfolio or restrictions in their investment selections, so I will work with the client to formulate an Investment Policy Statement before any actual investing is done. I will evaluate existing holdings and recommend appropriate allocations based on the clients risk tolerance, agreed upon investment policy statement, investment options, tax ramifications, expenses, and opportunity costs.
Strategic Passive Management: Active management provides investors the hope of out-performance but this hope is greatly exceeded by the likelihood of under performance. Passive management all but guarantees to match the appropriate index benchmark over the long-term. Active management, based on historical research, has a very, very low probability of meeting or beating the market, and very, very high probability of actually under performing the market over the long-term. I believe those odds are found only on gambling tables, and should not be presented to clients as a means of attaining their goals. I believe a core portfolio of passively managed securities is the most diversified, cost-effective, tax-managed, and style-consistent strategy to use for clients to reach their goals.
Practice Management Philosophy
Highest Ethical Standards: We adhere to a strict standard of ethics. We will always maintain a fiduciary relationship with you. Our firm is committed to the general principles of honesty, integrity and professionalism, and of putting the interests of our clients first. We will not take inappropriate advantage of our position of trust. We will hold the identity of the security holdings and financial circumstances of our clients to be confidential, maintain our independence in the investment recommendations and decisions on behalf of our clients, and will handle all personal securities transactions so as to avoid any actual or potential conflicts of interest or abuse of any employeeï¿½s position of trust or responsibility.
Commitment to Education: It is necessary for practices and planners to focus on the highest standards of financial planning education. I am very committed to continuing education as set by the CFP Board of Standards and the National Association of Personal Financial Advisors (NAPFA). I will always strive to meet or exceed your expectations of professional competence.
Trust: Trust in a relationship is nurtured and grows. I work very hard to build and maintain that trust. I want to be your most trusted financial advisor for life. I take great strides in protecting clients' financial resources and financial life, and as such, the client will always feel comfortable with Resource Management as their advisor and knowledgeable of the reasons for actions I recommend they implement.
Practicing What We Preach: It is essential for a comprehensive planning firm to practice what they preach. In order to do that, Resource Management, as a firm, must focus on providing consistent, uncompromised excellence in financial planning, while maintaining a profitable & dynamic operation.
Flexible to Change: Investment and financial planning solutions must be monitored and adjusted in light of changes in planning strategies as defined by academic research, credible resources, strict due diligence, and most importantly, client circumstances. I believe technological developments and academic theories will continue to advance the field of financial planning and create new opportunities for clients. I am constantly attuned for more change. Over time my philosophies will most likely evolve as I develop and learn of new insights, but the foundational values of integrity, objectivity, excellence, and critical thinking will remain firmly planted.