Business Philosophy

We seek to have clear communication between us and every client on the services that we are providing and the fees that you will pay for such services. Each time that we deduct our Wealth Management Program fees from your account, you will receive an invoice disclosing the amount of the fee and how it is calculated. We do not bill our fees in advance of providing services. We do not try to “lock you in” to our firm through surrender charges or deferred sales charges. You may terminate our services at any time. We do not impose any termination fees other than paying our agreed upon fees for services provided prior to termination.

We seek to avoid conflicts in how we are paid. We do not accept sales commissions of any sort. Fees paid to us by clients represent our only compensation. Our compensation does not depend on the investments that we use or recommend.

We believe in our clients having direct access to our Chief Executive Officer. Lawrence Chin, CFP® personally manages all client relationships and client portfolios. If you call us, you will not speak to an assistant or a staff member. Lawrence strives to address promptly all client questions or issues.

Financial Planning Philosophy

We define financial success as “managing one’s limited financial resources in an efficient manner to further one’s personal goals and values.” In order to be financially successful, one must (1) have clear goals, (2) be well organized, (3) be emotionally disciplined, (4) be accountable to targets and metrics, and (5) execute consistently. Often, the key to success is executing simple actions consistently (e.g., saving x% of your income).

We can prepare financial projections to help us make decisions, but the future is unpredictable. Focus on the things that we can control (e.g., managing cash flow, being tax efficient, managing investment costs) and be ready to make course corrections in response to unexpected future events.

Investment Philosophy

Asset allocation is the primary determinant of long-term portfolio returns.

Valuation matters. Asset class valuations can deviate from historical averages. At any given time, various asset classes can be relatively expensive or inexpensive by historical standards. Asset classes at inexpensive valuation levels are more likely to deliver higher risk-adjusted long-term returns from that point in time than asset classes that are at expensive valuation levels.

Short-term asset price movements cannot be predicted. Asset class valuations can stay expensive or cheap for a long time. Patience is important in achieving beneficial long-term portfolio returns.

The asset allocation decision is a bigger driver of long-term returns than the selection of individual securities within an asset class.

Company and issuer specific investment risks can be reduced by diversifying the individual securities within an asset class.

Portfolio costs matter. While cost should not be the only factor in choosing specific investments, an investment fund that charges above average fees must offer benefits that justify such fees.

Taxes matter. An investor can boost long-term portfolio returns by (1) using tax-advantaged investment accounts, such as 401k accounts and IRAs, (2) managing the realization of taxable capital gains, and (3) selecting tax-efficient ETFs and mutual funds.