How are you paid?
I only receive transparent planning fees invoiced directly from you, or investment fees billed directly from accounts I manage for you. No commissions or product sales here.
What does it look like to work with you as a Full Service client?
You can expect to meet with me in the Spring and in the Fall. This allows us to review your tax return in the Spring and plan for the rest of the year. I prefer to be as proactive as possible to prevent investment and tax-related mishaps from occurring for you. In the fall, we can see where your income is at so far for the year and see what needs done before year's end to not miss any opportunities.
See the sample service calendar & Annual 16-Point Client Checklist I go through for every Full Service client each year below for an outline of what we do for you throughout the year.
What is your Investment Philosophy?
The investment philosophy is built on four pillars.
1. Safety First - Ensure your immediate financial needs are taken care of and don't take unnecessary risks in the market. If you are living off your investments, maintain at least 5 years of expenses in your "safety bucket" for protection when, not if, markets drop. Reducing the effect of market drops is extremely important to due the power of "reverse" compounding.
For example, a -20% loss actually needs a gain of +25% to break even. However, when we look at bear markets such as 2000-02 or 2007-09, the market can lose -50% or more, which requires a +100% gain to break even! This is why Safety is the first principle of Focal Point Financial Planning's investment philosophy.
2. Markets Eventually Recover - So buy low, sell high, and master your emotions to take advantage of larger market downturns while maintaining a long-term focus
3. Invest Efficiently - Avoid overlap (i.e. don't own the same companies ten times over), excessive taxes, and unwarranted fees
4. A Strategy For Your Personality - Each investor has different preferences. The strategies consist of:
- Opportunistic - For those who want to be more aggressive in pursuit of returns in different areas of the market
- Low Cost - For those who prefer a low-cost investment approach that grows in lockstep alongside the market
- Defensive - For those who prefer downside protection during recessions while still participating in some upside
Where will my money be held?
Your accounts will be held at TD Ameritrade. Your funds are never taken custody/ownership of to help reduce any conflicts.
You will have your own login to access the accounts so you can always see what is going on.
How will we communicate and meet?
Focal Point Financial Planning, LLC is a virtual-only firm. We can communicate however you prefer between Zoom or phone calls.
I do this to ensure we make the most out of your valuable time so you don’t have to sit in traffic getting to an office.
Will you act in my best interest?
Yes; as a Certified Financial Planner I will always act in your best interest when making recommendations for you in your current situation. I will also inform you of any conflicts of interest as they arise so you can make informed decisions.
Do I have to pay for the onboarding meetings?
No. I want to ensure I can provide value for you before charging you a dollar in fees.
If I'm not the best fit for your needs, I will point you in the right direction to help you move forward.
What does your typical ongoing client look like?
My typical clients are professionals in what they do, value their time greatly, and aren't afraid to delegate. Typical clients are intelligent, driven people who play as hard as they work, and value working with like-minded people.
You can certainly spend your time and effort managing your finances on your own. Or, you can choose to delegate your financial stressors, freeing you to focus on what matters most.