No. There is no charge to come in and speak with an advisor about your financial situation.
Being independent means our advisors have extreme flexibility when selecting products and investments that are most suitable to the client. LPL supports our practice, but they do not have any proprietary products, and we do not have selling quotas.
Being fee-based means that the bulk of our business pays a fee instead of a commission per trade. This allows us to trade in a cost effective manner while holding high fiduciary standards.
That is completely fine. Many people have not. Part of our job is to educate clients about investing and make sure they know exactly how their investments operate. There is never pressure to invest. We present options and recommendations, but the decision to implement ultimately belongs to the client.
For the first meeting, our goal is to get to know as much about you and your financial situation as possible. It’s our fiduciary responsibility to know our client first and make recommendations second. We follow our comprehensive and confidential discovery process and have a conversation with you about your goals and concerns. Complete our Fact Finder and email it to us to get started!
A tax efficient portfolio consists of a couple factors:
1) Utilizing investments with low/no taxable capital gain payouts;
2) Actively managing gains and losses throughout the year.
With an advisory account, your advisor has the ability to harvest gains throughout to year to lock in profits on holdings that performed well. To offset the taxability of locking in these gains, your advisor can then harvest losses in stocks or funds that underperformed, thereby reducing the taxable amount.
But is it a bad idea to sell low? Typically, yes, but the second part of harvesting a loss is to reinvest in a similar fund immediately. This allows you to harvest the loss without locking in your loss in that asset class. Harvesting gains and losses should take place throughout the year to maximize efficiency.
For example: Gary invests $100,000 into a non-retirement account. Three years later, he needs to take out $20,000 to purchase a boat and therefore needs to sell some holdings. His advisor sells a mix of gain and losses to minimize the taxable impact. Since his advisor rebalanced regularly, the gains were kept in check throughout the investment period and reallocated to other holdings over time.