Our Wealth Management service is a financial planning-based Investment Management service. In order to access the Wealth Management Service, clients are required to first participate in the comprehensive Financial Planning Service with at least a Basic Plan. This process helps insure your financial house is in order and provides the foundation for all our investment decisions.
Find out about our Retirement Plan for Your Small Business
Comprehensive Financial Planning’s Wealth Management Service is fee-only, and the fee-only standard provides a fiduciary service to the client and eliminates the conflicts of interest inherent to commissioned brokers and fee-based advisors.
You may have noticed the two terms, fee-only and fee-based. What is the difference? Learn about the big difference at https://www.nerdwallet.com/ask/question/what-s-the-difference-between-fee-only-financial-advisors-and-fee-based-is-one-necessarily-better-than-the-other-what-s-the-best-6719
Stan Johnson is a Registered Investment Advisor, not a Broker. To learn more about the differences between Brokerage Accounts and Advisory Accounts, review the comparison provided by the Financial Planning Association .
We use a service called Riskalyze. This software uses a simple questionnaire to pinpoint how much risk you are willing to tolerate in your investment portfolio. We feel that this is an essential starting point in the financial planning process. Without fully evaluating your risk profile, we can't put together a financial plan that truly suits you.
Take this simple test to find your Free Portfolio Risk Analysis and start the conversation for your personal wealth building strategy.
Based upon the information gathered in the planning process, a written personal Investment Policy Statement (IPS) is carefully prepared and reviewed with the client. The IPS will include:
Target for returns expressed in percent or relative to a given index
Risk tolerance and expected portfolio volatility and loss threshold
Asset Allocation that specifies weightings of major asset classes
Liquidity requirements (cash for emergency fund or other specific need)
Time horizon (short, intermediate or long-term)
Laws and regulations
Tax considerations (income, capital gains, estate)
Preferences and circumstances unique to you
Research - Comprehensive Financial Planning provides you the benefit of current and continuing study of economic conditions, securities markets and independent analysis of financial assets. We use many independent sources of research not affiliated with any product providers.
Investment Philosophy - We believe in putting your eggs (portfolio) in many baskets (asset classes). We also believe there are sometimes specific asset classes that are significantly overpriced and/or others that are similarly underpriced and we take advantage of that mispricing by avoiding and overweighting to increase long-term returns. We invest all over the world to participate in the growing capital markets outside the U.S.
Investments – We use actively managed, no-load mutual funds and passive index funds and exchange traded funds (ETFs) in our portfolios including:
Stock funds (domestic and foreign)
Bond funds (corporate, government, mortgage-backed, inflation-indexed, high and low yield, domestic and foreign among others)
Money-market funds and certificates of deposit (CDs)
Real estate investment trusts (publically traded REITS)
Commodity index funds
Bear or long-short mutual funds
Private real estate investments
Diversification - Emphasis is placed upon building a diversified portfolio which lowers volatility without sacrificing long-term returns. This risk reduction strategy is achieved by investing in multiple asset classes and fund styles which don’t always change in value at the same time.
Implementation- Comprehensive Financial Planning has no custody of client assets, and access is limited to only trading and decision making authority over the client’s portfolio. Investment decision are made and implemented for you, but all accounts remain fully owned by the client only. Most accounts are in the custody of TD Ameritrade Institutional.
Reporting – A portfolio performance report is provided every 3 months that details the performance of your individual accounts and the total portfolio and compares returns to an appropriate benchmark. All fees are completely delineated and fully reported on a quarterly basis.
Wealth management fees are based on a percent of assets under management. Being a fee-only advisor we work hard to reduce your other investment fees associated with the brokerage and investment product companies.
Management fees are billed quarterly, in advance, and are based on the market value of the assets under management on the last business day of the previous quarter as follows:
|Assets Under Management||Annual Fee-%||Quarterly Fee-%|
|On the first $400,000||1.0||.25|
|On the next $400,000||.80||.20|
|On the next $400,000||.60||.15|
|On all over $1,200,000||.40||.10|
There is no minimum account size required but there is a minimum quarterly fee of $800 which can be excessive if the managed assets are less than $200,000. Also, for most of our clients ongoing financial planning support is included in the above fees at no additional cost. See our Company Brochure for more details.