Employees with 401(k) or 403(b) plans

Saving for retirement and managing your 401K presents challenges most participants face that we have worked with such as:

  • Lack of time, help and guidance in managing their 401K plan amid the current market volatility and political instability
  • How to choose the right investments in their 401K
  • Am I saving enough to reach my retirement goal?
  • Am I taking on too much risk in my current 401K plan?
  • What is the best way to develop a plan to convert your savings into income once you retire?

Conventional financial wisdom tells you to invest for the long term because the stock market will always come back, have a diversified portfolio of investments to limit your losses in a market decline and once you have your 401K allocated, "set it and forget it" and let the market work for you.

We believe getting back to even is not an investment strategy. Our proactive investment approach follows the fact that there are times be conservative and focus on capital preservation during bear markets and there are times to focus on growth and capital appreciation during bull markets.

Participating in a bull market since the end of the 2008-2009 financial crisis is only half the job. The other half is keeping those gains during the next bear market.

We have also found that many investors manage by emotion. When they see their 401K's become 201K's, they often sell at the top and go to cash at the bottom.  For example, research firm Dalbar's April 2014 report found that investors on their own underperformed the S&P 500 over a 20 year period by 7.4% per year! This is a prime example of investors buying high and selling low. 

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What is an investor to do?

Our goal is to help you manage your emotions by providing a rules based investing methodology to override emotions.

How can professional advice help you?

2011 STUDY FROM AON HEWITT AND FINANCIAL ENGINES found that workers who used help between 2006 and 2010 experienced annual returns nearly 3 percent higher (292 basis points, net of fees) than those individuals managing their 401(k)s on their own. The portfolios of people who didn’t get help suffered from “inappropriate risk levels and inefficient portfolios,” according to the report.

Our process:

  1. Review your current contributions and plan design
  2. Determine your goals, objectives and risk tolerance.
  3. Conduct a cost of the problem analysis based upon the current investments in your 401K plan. In other words, we compare your investment allocation against our investment allocation to determine your "opportunity cost."
  4. Analyze the investments in your 401K plan
  5. Provide an allocation based upon your risk tolerance and the current market environment. Your 401K plan investments stay at your employer.
  6. Provide access to your personal, financial tracking and reporting website where you will be able to see all of your accounts in one place, continuously updated and accessible from anywhere. Click here to learn more about your personal financial website.
  7. Provide at least quarterly video updates on your 401K investments, any recommended changes as well as a quarterly market and economic update.
  8. Help you meet your retirement goals