This package is designed to implement and manage the strategies developed in The Financial Planning-Only Package. We help our clients get things done, thereby achieving an effective and integrated retirement strategy.
Your Package Includes:
- Meetings on a regular basis to discuss objectives, review financial and investment performance, and address issues of particular importance
- Summary of recommendations provided after each meeting
- Unlimited access to Professor Ulivi via face-to-face meetings, phone and email (all within reason, please)
We Will Implement and Update Your:
- Retirement Income Strategy
- Investment Strategy through our investment management services.
- Monitoring Strategy plus, any optional services such as real estate analysis
Investment Management Services
This service implements your Investment Strategy. Our goal is to efficiently and effectively manage investments to achieve the highest possible return at an acceptable level of risk. Our investment objectives include:
- Preservation of capital
- Targeting a rate of return of 7% for those clients who wish to maintain the purchasing power of their capital, while maintaining an initial withdrawal rate of 4%
- Our investment approach is to be guided by either of the following:
- CalPERS, which manages in excess of $220 billion on behalf of over one million current and future retirees
- OCERS, which follows a slightly more conservative asset allocation policy. They manage close to $10 billion for the employees of the County of Orange.
Why use these pension plans as guides? There are several reasons for this, including the following:
- Similar investment objectives as retirees
- Expertise–they have large staffs of investment professionals
- Time tested approach
- Experience in managing hundreds of billions of dollars
- Process is transparent
- Great historical track record
Below are some of the actions we take in designing portfolios:
- Portfolios are diversified into several asset classes, so that over the long run any weaknesses in one area are offset by gains in another
- We believe that over 90% of the variation in investment returns of a large, well-diversified pool of assets can typically be attributed to asset allocation decisions.
- Our portfolios are diversified among equity and fixed income, real estate, and inflation-linked asset classes.
- We adopt a tactical asset allocation policy in response to changes in the economic environment
- We prefer to use index funds and/or exchange traded funds, because these can be very representative of the asset class we are trying to mimic; they are low cost, well diversified, have great liquidity and offer tax advantages.
- We update investment recommendations
- We provide quarterly performance reports
- Clients are provided transaction confirmation notices and monthly summary account statements from TD Ameritrade
- We hold regular meetings to discuss performance and any rebalancing needs.
- We execute trades on a non-discretionary basis, which means we can only make trades that have been pre-authorized by clients