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We provide the highest level of care and accountability. Everything we do must be in your best interest.

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No magic tricks or distractions. Everything we do is transparent. Log into our online system to see your accounts any time, from any device, no matter where you may be.

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We have been serving client needs for over 30 years which means we probably have experience in situations like yours.

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We are not a large institution. We are your neighbors who happen to offer financial expertise. When you call, we answer. When you need someone, we are here.

Different People. Unique Needs

Some people need help accumulating and growing wealth. Others need assistance with the responsibilities wealth creates. No matter your money issues, we will help you find the solutions which best fit

Retire Confident

Retirement is a once-in-a-lifetime experience, but we have helped people retire comfortably and confidently for over 30 years. We can help you too.

Get Comfortable

We provide a safe and relaxed environment where you can be comfortable with your money.

It is a journey,
not a destination

No matter what your stage of life and career, we can help you. As you change and grow, we adjust so your plan continues to fit your needs.

It takes two to tango

We provide the know-how; you provide direction and guidance. 

Wealth is not determined by money

Wealth is determined by love, happiness, and relationships. The number of dollars in your account does not make you more or less than anyone else.

You are not your neighbor

There is no magic formula that works for everyone. We have the knowledge, experience and tools to help you plan and achieve your goals.

Investing, not trading

It is not flashy, but the long term outlook has stood the test of time. We seek to capitalize on this trend through patience and discipline rather than guessing when to zig and when to zag.

The media provides exposure, not advice

In this age of information overload, there are an over-whelming number of financial opinions. We help you focus on your specific financial goals by using our experience and knowledge as a filter to cut through the constant noise and chatter.

Putting it all together

All the parts of your life are connected. Getting to know you goes beyond your finances. We want to know your values, hopes, and dreams so your success is not purely financial. A life measured only in dollars can never be rich. 

Simplicity

It is our job to explain your money in simple and straight-forward terms, not to impress you with jargon and investment “speak”. You can never ask too many questions. 

Independence brings freedom

Our “product” is our guidance and advice, not specific investments. We are neutral and transparent when selecting the solutions necessary to implement your plan.

Blog Posts
 

What is an Exchange Traded Fund?

This is the last article in a short series. You may want to start at the beginning, Three Really Good Questions

In our look at professionally managed investment vehicles we started with mutual funds and unit investment trusts. While they have their differences one element they have in common is that both are forward priced. That means that they do not trade during the trading day. Transactions to buy and sell are recorded during the day and only once the markets are closed can the share value can be calculated and the day's buys and sells completed. Under this model neither the buyer nor the seller can predict exactly how much the shares will be worth before they place their order. Fortunately the sponsoring companies allow you to place your order in dollars which means you do not know in advance how many shares it will take to fulfill the order.

What is an ETF?

Exchange Traded Funds (ETFs) are a professionally managed investment vehicle designed to be traded in real time and are not forward priced.

An ETF, like a mutual fund or an UIT, is a basket of securities selected by the fund manager. The basket may change, but only in between trading days and is published in advance of trading activity. Since they trade in real time, they are traded like a stock. Orders are placed to buy or sell at market price, as well as limit orders, stop orders, and even stop-limit orders. Without going into the mechanics of the various order tools, this gives the ETF investor a lot of control over the price of their ETF buys or sells. The various orders allow you to set parameters and conditions which have to be in place for you to buy or sell.

What difference can that make? Here is an example. I have a husband and wife for clients who each have an IRA account. When they came on board as clients I asked if they wanted me to manage their IRA's as two separate accounts or as one portfolio. They asked me to treat it as one portfolio. To illustrate my point, let's suppose I thought they should own 6 different fictitious ETF's which we will call AAA, BBB, CCC, DDD, EEE, and FFF. I bought AAA, BBB, and CCC in one IRA and DDD, EEE, and FFF in the other. As time passed I was getting asked why one IRA was doing better than the other. Even though I explained that each IRA made different investments, I could tell they would rather have each IRA mimic the other. So I needed to sell half my holdings in one IRA, and buy the other holdings with the proceeds. But I decided to take full advantage of the situation to benefit my clients. I made sure to sell each ETF at a price at least 1% more than I was buying it for the spouses account. By controlling the buy and sell prices, I was able to buy back the shares I sold at a lower price than I had recently gotten for the sale. It took a few weeks, but soon enough each of the two IRA's had identical holdings and we were able to make the transfer transactions profitable.

Advantages of ETF's

  • Complete Transparency – Like the UIT, you always know the holding of an ETF
  • Low Cost – The management fees of ETF's are generally pretty low compared to their mutual fund brethren and there are no additional assessments for expenses.
  • Instant Satisfaction and Control – Trading in real time offers the opportunity for near instantaneous trade execution. By using limits and/or stops in the orders, investors can set minimum parameters for their trades.
  • Wide Selection – Today, there are all sorts of ETF's covering indexes, market sectors, maximizing leverage, regions, and assets classes. Just about anything which is investable has an ETF to invest in.
  • Tax Control – Since ETF's are traded like stocks, they are taxed like stock trades. Investors can track each share and select a tax treatment for those shares which best fits their situation

Disadvantages of ETF's

  • Not effective for systematic investments – In order to consistently invest in ETF's, that would require consistent purchases which is probably not efficient. Dollar cost averaging is the strength of mutual funds.
  • There is a lot of confusion about ETFs – There is so much variety and a huge difference between the types of ETFs that the casual observer often draws inappropriate parallels. Other than both being structured as ETFs, there is little similarity between a broad indexed based ETF and a highly levered sector ETF. And don't get me started on the misconceptions of thinly traded ETFs…
  • The ETF expert is truly a rare breed – A lot of people know something about ETFs but very few people really understand their nuances. I use ETFs in the portfolios I manage but would caution the casual investor to learn all they can about an ETF before they commit their money.

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