Can you explain what a wealth advisor does and why I should do business with you?
We take a unique academic and science based approach to working with you in designing solutions and strategies. By understanding the things that are important in life, we bring our extensive education and experience to help create the right strategies for you. Our interests are aligned with yours, so that we don't make recommendations that we wouldn't use ourselves in similar circumstances.
Can you explain how you manage my money and why you choose the investment approach you do?
Our process is goal-driven, evidence-based and academically grounded to provide you with the most successful investment experience possible in all kinds of markets – where global diversification is essential. We focus on the controllable factors not where the short-term market is. We take the same approach to your investments as we would in our own in similar circumstances. We focus on what works not what sells.
Shouldn't I wait for more certainty in the markets before I commit more money to my investment portfolio?
If you take a long-term perspective to investing, the short-term market moves aren't important. We are successful in managing money through all kinds of market conditions because of the approach we take. This is where the determination of your willingness, ability and need to take financial risks is critical to your investment policy.
Isn't there too much risk in the stock market for me to expose my retirement portfolio?
We take a conservative approach to investment management based upon our academic understanding of how markets work. Your retirement portfolio will be designed to meet your retirement goals which we monitor to ensure that you stay on track and we will recommend changes if we believe it is in your best interests. We firmly believe in the concept of asset allocation across highly uncorrelated asset classes. This protects your from most short-term ups
and downs.
Why should I pay fees to a wealth advisor? Can't I do this myself? How do you get paid?
We have the experience, training and expertise to guide you toward reaching your goals. This is our full-time profession rather than a part-time hobby. Our role is, rather like your personal Chief Financial Officer, helping you clarify your goals, concerns, opportunities and needs and then setting forth a customized strategy. We get paid approximately 1% on the assets we manage for you, sometimes more or less, depending on the size of the portfolio.
I like everything about your philosophy and firm, but I already have a long-term relationship with my current advisor? Therefore, I'm not ready to make any move at this time.
We are not setting out to take away a relationship but to simply start a new one with us, which is precisely how we've obtained our current clients. Many of our clients found that a second opinion was beneficial for them when it came to reaching their long-term goals. Our approach to wealth management is unique and may provide you with a level and breathe of services you've not realized before.
Why would I buy fixed income in this extremely low interest rate environment. Why should I pay a fee to ladder low yielding CD's when I could buy equivalent CD's from several local banks?
Our systematic, academic view tells us that asset allocation is the key to long term performance. Regardless of where interest rates are, we recommend our clients maintain a fixed income allocation to reduce the volatility in their portfolio and the risk of not being able to follow their previously established Investment Policy. In addition, it's always difficult to predict the short-term moves in any market. For that reason, we like to manage the interest rate risk by laddering your fixed income portfolio so that we maintain flexibility.
Why should I pay fees when my account goes down?
Our measure of performance is whether we are able to reach the goals that you set for your investment at the outset. You don't pay us to outguess the markets, because we can't deliver on that. Our job is to develop the right long-term strategies that do not depend on the short-term moves of the market. In addition, we continuously monitor your portfolio performance and will make changes that may need to be made as your circumstances change.
Why didn't you do something to prevent my account from decreasing so much in the market meltdown?
Since short-term market moves are impossible to predict, we have constructed your portfolio that has the best opportunity to reach the goals set by you given your willingness, ability and need to take financial risks. We review your situation to identify opportunities and threats to attaining your long-term goals. Over time, we may need to revisit your risk tolerance as your goals change or evolve.
How are my assets protected?
All of your assets are held at large, financially sound, third party custodians. The financial system has checks and balances especially for these institutions. We provide you with a continuous reporting process to help you keep track of your investments and their values.
A trusted advisor relationship integrating academic principles, fiduciary
standards and income and estate tax expertise to create Full Circle Financial Advice from a CPA.
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Our Team
Our Philosophy
Our philosophy is to create strategies built on accumulated and ongoing academic wisdom, not
hope or on Wall Street's empty hype. Unlike most financial advisors, Cornerstone Wealth Advisors doesn't spend time trying to time...
