Investment management is our core focus, and the core need we service for our client population. This means, in a few words, that we offer access to top-tier managers leveraging the most efficient structures, directly negotiating with them to minimize client costs. We have a robust due diligence process to select managers and design strategic and tactical asset allocation strategies, which is the most important decision to be made when building a portfolio.
Tailoring the portfolio and experience:
First and foremost, we gather a solid understanding of our clients on three fronts:
Objectives (short and long term)
Financial position (assets and liabilities)
Gathering everything we can about your current position and, within reason, your future, will change the conversations we have and more importantly, change the outcome of the planning process.
All clients have to do is make good decisions. All advisors have to do is help clients make good decisions. Simple, right? It’s actually very, very difficult in practice. We are all hard-wired to make bad financial decisions. The study of behavioral finance is truly amazing! By changing the conversation, the approach, and the process, we will make better decisions, together.
We further optimize the strategy by analyzing asset location, tax efficiency and sensitivity, concentrated positions, outside, illiquid holdings (such as a closely held business), and a host of personal preferences and specifics. We overlay these analyses and create a plan to mitigate undesirable behavioral tendencies.
We take a very comprehensive and holistic approach to a client’s wealth. We create a Balance Sheet with each client, which also helps to serve as a scorecard. We analyze and optimize liabilities, evaluate tax considerations, and take a close look at estate planning issues and concerns. We also dive deep to provide comprehensive risk management strategies.
Why is this approach to wealth management critical? Mistakes in these wealth management disciplines can be meaningful - potentially catastrophic.
A tax mistake might cost 30% of value or more. An estate planning mistake could cost 50% of value or more. It’s crucial that someone is paying attention to these facets of your wealth. Our process is designed to understand the client’s situation, and uncover all components of the financial household- even a client’s blindspots. From there, we work with and coordinate the client's other advisors (CPA, attorney, etc.).
Small Business Services
As entrepreneurs and business owners we are a unique breed. And who better to create a service experience, than a fellow business owner. We understand you.
Along with investment and wealth management, risk management strategies are critical to be prepared for both the expected and the unexpected. We practice what we preach from preparing for an exit strategy to connecting with M&A advisors, investment bankers, business valuation experts, etc.
Frequently, lending is a crucial need, and Plum Pointe brings the added advantage of being able to leverage your personal assets in addition to business assets to structure an optimal lending package. Many times, the business is the center of an owners life. Just as personal planning needs bleed into business planning needs day-to-day, planning should be all encompassing and comprehensive.
We understand that communication between generations can be extremely difficult. We help to answer questions like:
How do we prepare the next generation for wealth? How should we approach legacy conversations? How do we communicate and build a shared philosophy?
These needs can be addressed in some very specific and creative ways- family governance meetings, communication pieces designed specifically for the next generation (in several formats, including video), the 100 Year Family Plan, custom modules or educational events.
Experience tells us Family Offices also need help with some very specific “household” needs - record keeping, bill paying, credit card reconciliation, tax payments, planning and mitigation strategies, financial reporting & balance sheets, bank reconciliation reports, custom financial reporting and much more. Beyond these are the more complex risks and specialized management needs such as digital identity theft, impact investments and philanthropic planning that aligns values to causes.
Most importantly we understand each family has a unique set of goals and objectives and we bridge the gaps to achieving those goals.
Investment management is the core delivery for endowments and foundations. We balance the needs of the foundation with the ability of the endowment to sustain well into the future.
Governance is crucial. We help develop and implement an investment policy, and establish best practices in review of that policy and in its governance. Entities have boards and committees, and communication and education of directors and members is important and often overlooked.
We help develop and facilitate these interdependent moving parts. Many nonprofit entities are constantly concerned about ongoing funding. We help with short and long-term lending needs, help think through cash flow considerations (working formulas into the endowment policy), and connect, whenever possible, patrons and outside experts.