1. The basis for a successful advisory relationship has to be based on mutual trust.
- Needs to be earned with complete transparency on both sides - Straight answers all the time…avoid over-promising
2. The foundation for an investment portfolio is always a PLAN.
- Basic retirement income game plan…will you outlive your money or will your money outlive you? - Comprehensive financial and estate plan
3. Investing is foregoing consumption now in order to consume more later.
- What is “Real” rate of return? - Every year, everything you buy gets more expensive - Preservation of principal while cost of living doubles = you lost half your money
4. Equities - the partial ownership of the companies in America and the World - has been far more effective than bonds and other fixed income investments at preserving and enhancing purchasing power.
- If you want to keep up with inflation, you need to own the businesses that cause it - Balanced sectors and industries
5. There is a difference between the risk of volatility vs. the risk of loss
- Expect volatility? - Downside and Upside
6. No one can predict the economy and current events, therefore, we do not attempt to.
- There is a difference between speculation and investing - Far more has been lost anticipating market corrections versus the corrections themselves - Why is there a difference between investment returns and investor returns?
7. The only certainty is uncertainty.
- Successful investors stick with a plan and DO NOT trade on headlines or current events - The “crisis of the day” has nothing to do with the real world outcome of outliving your money
8. What you pay for:
- Retirement Income Plan - Legacy and Estate Planning Advice - Portfolio Design and Selection - Monitoring and Reporting (eMoney) - Communication, communication, communication