Financial Planning and Asset Management

Financial Planning

Steve has been a Certified Financial Planner™ (CFP) since 1989 and was even once nominated for election to the international board of directors (he came in fourth out of four candidates for two seats on the board, but it was still interesting to be considered).

The term Financial Planner has suddenly become very popular, particular among employees at large stock brokerage firms who now wish to disassociate themselves from the recently publicized greed and transgressions of the industry. The CFP designation is not a guarantee of quality, but it at least shows the holder has at least three years of experience and has passed an exam which is sometimes considered comparable to the CPA exam. The difference between the two is that the CPA is a specialist and a CFP is more a generalist. The CFP exam includes challenging sections on tax law and regulations concerning tax deferred retirement plans, but it does not get into depreciation schedules, auditing standards, etc. Other areas in the CFP exam include investments, insurance, estate planning and overall goal setting and evaluation.

Steve is perhaps the ultimate financial planning generalist, akin to the family doctor who sees patients from all backgrounds and refers them to specialists when needed. (Steve has some knowledge of taxes and law, but only provides suggestions for clients to discuss with their own CPA and attorney.) Often Steve functions as a sounding board for client questions: How should we save for retirement and how much will we need? Should we buy the new property at a low price even though our present house has not yet sold? We have vacant land, stocks, etc. that are valuable but give us little income - how can we get income without triggering capital gains tax upon selling them? We just want an explanation of our various statements and an opinion on our overall assets. How should we leave things to our kids, given that we’re a bit worried about one of them relative to possible medical/divorce/substance abuse/handicap conditions.

While every case is unique certain commonalities have emerged over the years and Steve may be able to offer a few suggestions.

Asset Management

The federal Investment Advisors Act of 1940 and state level regulations require that people who give advice for a fee must pass an exam and be registered. Steve became so registered with the SEC in 1990 and continues his registration now only at the state level via his separate company Financial Planning Associates, LLC. (Regulation of financial planning falls partly under the same law.)

Steve "manages" only a handful of accounts, each with a minimum size of $1 million of securities. He prefers to confer regularly with clients and arrive jointly at investment decisions, in contrast to pure management firms which often manage billions, but spend less time on client contact.

Some mutual fund companies offer services that are not customized for tax or other management, but which can be a low cost alternative.

Steve would be glad to discuss details on a case by case basis and provide a copy of the investment advisory brochure describing background, services and fees.

More Information 

If either of the above conditions do not meet your needs, we suggest The Financial Planning Association's web page to find a Certified Financial Planner in your jurisdiction.