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Some people think of investing as a game. They “play the market.”
And more often than not, they lose. In reality, investing is serious
business, requiring time and study, patience and vigilance. That’s why
we have developed our investment management service. Individuals who
may find it helpful to open an investment management account with us
include:
- Those who have recently sold businesses or properties.
- Professionals and business managers whose demanding careers
leave no time to follow investment markets and trends.
- Retirees and those about to retire.
- Those who find themselves with large sums to invest from legal
settlements, inheritances or insurance payouts.
- If your own financial future will depend largely on the success
of your personal investments, you too may wish to take advantage of
our services.
Successful investing
Although investment results never can be guaranteed, we believe our
clients will benefit from the application of these principles:
Success favors the long-term investor
The probable results of various investment approaches over long
periods are fairly predictable. They can be estimated and compared,
along with the probable risks involved.
By contrast, short-term results—how stocks or bonds will perform over
the next six months, even the next year—appear to be virtually
impossible to predict. Plenty of “experts” guess right once; few guess
right two or three times in a row.
Whether your primary goal is to build wealth or to enjoy a steady
income that keeps pace with the cost of living, we believe a long-term
approach is essential.
Choosing the right asset mix is critical
How much of your money should be in stocks—and in which types of
stocks? How much should be in bonds? How much should be set aside as a
stable, interest-earning reserve? Deciding on the right investment mix
and sticking to it (until your goals or circumstances change
significantly) is a major step toward investment success.
Serious investment programs need to be custom tailored
Libraries and book stores are full of generalized advice on how to
invest when you reach the age of 35, or near retirement or actually
retire. Substantial investors are seldom comfortable with these
off-the-rack formulas, and for good reason.
The right investment strategy for you will depend on your unique
personal circumstances. If your investment program is not tailored to
your needs, you won’t be happy with it—and, therefore, it probably
won’t succeed.
Expecting a big retirement-plan payout?
If you’re about to change jobs or retire, you may be due to receive a
small fortune in retirement money from a 401(k) plan, profit sharing
plan or other tax-deferred retirement plans. Ask us about a direct
rollover into an IRA.
By having your lump sum transferred directly to an Individual
Retirement Account, you can have us invest the entire payout for you,
undiminished by current income tax or a possible 10% penalty tax.
Caution: If you do not arrange in advance for a direct rollover, 20%
tax will be withheld from the distribution you receive.
Putting us to work
To open an account, you simply execute our agency agreement and
deliver to us the investments or investable assets that you wish to
place in our care.
You may set up either of the following types of accounts, depending on
how involved you wish to be with specific investment decisions:
- Investment Management Account. After meeting with you to
discuss your goals and studying your
circumstances and preferences, we develop an appropriate
investment strategy for your approval. We
then assume full responsibility for managing your portfolio. We
buy and sell investments as necessary to
carry out your strategy and report all transactions and other
account activity to you.
- Investment Advisory Account. Based on the same careful study
of your needs and circumstances, we
develop an appropriate investment strategy and submit proposed
purchases and sales for your approval.
We recommend; you decide.
Whether you opt for a management account or an advisory account, we
attend to all investment details. You can rely on us to handle
purchases and sales of securities, keep investment records, redeem
called or matured bonds, and collect or reinvest or disburse your
income.
Three advantages
Our clients enjoy a number of advantages:
- Objectivity. Unlike
“transaction-based” investment consultants or financial
planners, we charge a clearly stated annual fee for our
services, linked to the market value of each client’s account.
Our clients know they can count on us for guidance that is
objective. We have no financial stake in promoting any
particular investments, nor do we have any reason to trade
excessively and “churn” our clients’ accounts.
- Economy. In addition to
benefiting from moderate management fees, our clients save money
through deeply discounted transaction charges, thanks to our
status as an institutional investor.
- Broad capabilities. As
our clients build their net worth, they can look to us for a
wide range of additional services. Whether it’s a matter of
setting aside something in trusts for the grandchildren or
developing a succession plan for a family business, our trust
and estate specialists can help.
The living trust option
Like a growing number of our investment clients, you may prefer to set
up your account as a revocable living trust.
With a trust you can arrange for us to provide for full management of
your personal finances in the event of serious illness and disability,
eliminating the possible need for court proceedings. Trusts also offer
well-known estate planning advantages, including greater privacy and a
reduction in the delays and expenses associated with probate.
Choosing the revocable trust option does not tie up your money in any
way. You remain free to change or cancel the trust whenever you wish.
Taking the next step
We believe we have a lot to offer: professionalism and objectivity,
economy and personalized service.
Just as you should be comfortable with your investment strategy, you
want to be sure you’ll feel comfortable with the investment adviser
you select. The best way to become better acquainted with our
investment specialists, free of charge and without obligation, is to
schedule an introductory meeting. We look forward to answering your
questions and discussing your personal investment goals.
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