Our Services

Wealth Planning

Wealth planning is a process that begins with us listening to what our clients need. We help them dream and envision where they want to be in the future. Then, together, we build the plan that will help them fulfill their needs and reach their goals. Because the plan is developed jointly, our clients truly understand their plan and consequently are well equipped to implement it.

This is not merely a budgeting exercise. It is a matter of strategic asset and risk management and long term planning. Most of our clients have the means to accomplish most of their goals but do not have the financial strategies and tools in place to maximize their potential. The planning process is collaborative and discussion-oriented. We talk about inflation, taxes, investment strategies and insurance options. We provide the pros and cons of various alternatives so that you can find the solutions that are appropriate for you. We are happy to go into as much detail and to spend as much time as needed so that you understand and are comfortable with your plan.

In the end, whether it takes two meetings or four or more, we will provide a set of specific recommendations – a detailed “to-do” list - which is your wealth plan.

We view wealth planning as a continuous process, not a one-time event. As your goals change, as your needs change and as the world changes, we will work with you to update and refine your wealth plan.

Investment Advisory

We will recommend an asset allocation* strategy and specific investments consistent with your time horizon and risk tolerance as developed in your wealth plan. Generally we ascribe to “modern portfolio theory” which holds that investment success is based primarily on asset allocation, a little bit on stock picking and almost never on market timing.3

The asset allocation strategy we recommend does not generally change from month to month or even from year to year. Our recommended asset allocations typically change only as your time horizon changes, if your goals or personal situation change, or if there is a significant market or economic shift. We only recommend investments and managers that have demonstrated consistent performance. 4 We do not chase manager performance. If a fund manager changes his investment style we may recommend a new manager to achieve the intended asset allocation.

Your specific investments may be mutual funds, index funds, ETFs or individual stocks and bonds. We may also recommend non-traditional investments such as non-listed real estate, private equity, hedge funds and commodity funds where appropriate. 5 We have access to virtually every class of investment product. We continually monitor your portfolio’s performance, report on your progress quarterly and discuss the need to rebalance regularly.

Risk Management

Wealth management also involves risk management and insurance planning. In this phase, we plan for life’s unexpected events – the things that can derail an otherwise perfect plan. Some clients want to be sure that every potential hazard is addressed while others are comfortable taking some risks. Either approach is fine with us. What’s important is that we discuss the various insurable risks – disability, long-term care, life, and personal liability – and the costs and benefits associated with insuring those risks. We have access to virtually every category of insurance coverage from many respected companies. If you are interested in coverage, we will present a variety of options and companies and help you select an appropriate solution for your situation.

How We Are Paid

Our compensation is generally fee based. The fee is a percentage of assets under management. It is billed quarterly and is usually deducted from the account balance.

On occasion, we will charge a flat fee for preparing your initial Wealth Plan or other consultations. If this is the case, we will agree on the fee in advance and guarantee your satisfaction with the plan.

Some financial products that we recommend have a traditional sales commission built into them. If there is a sales commission we let you know in advance and will not include that product in the calculation of the quarterly asset management fee.

It is our commitment that you always know how and how much you are paying for our services.

2. The Advisors Group of Chicago does not provide tax or legal advice.
3. Brinson, Singer, Beebower, 1991, Determinants of Portfolio Performance II: An Update, Financial Analysts Journal.
4. Past performance is no guarantee of future returns.
5. Investing in alternative assets involves higher risks than traditional investments and is suitable only for the long term. They may not be tax efficient, and have higher fees than traditional investments.They may also be highly leveraged and engage in speculative investment techniques, which can magnify the potential for investment loss or gain.

*Asset Allocation does not guarantee against loss. It is a method used to help manage investment risk.