Start Where You Are

An assessment of your current financial situation is necessary for making proper decisions regarding which financial planning services are appropriate for you. We need to know what you own, what you owe, where your money comes from and where it goes. Before beginning down the road to financial security, it is a good idea to think about your goals and what you are hoping to achieve through financial planning.

Document Gathering

We believe that proper investment advice can only be rendered when an entire portfolio is taken into consideration regardless of whom holds and manages the assets. Therefore we encourage the client to have us consider all investment assets in our analysis.

For a Document Gathering meeting we request the following be brought to the meeting:

• Income Tax Returns from Previous Three Years
  
• Financial Statements (Balance Sheet)
  
• Statements of Investment Assets (Brokerage Statements)
  
• A List of Debts
  
• Bank Statements
  
• Life Insurance Policies
  
• Disability Insurance Policies
  
• Employee Benefit or Retirement Plan Statements
  
• Wills and/or Trusts
  

Anything else that would address a particular concern may also be brought.

Initial Meeting

The initial meeting is without cost or further obligation on the part of the client or D. Scott Neal, Inc. The meeting will be informative and instructional.

The initial phase in designing a personal financial plan involves accumulating and organizing facts about the client’s current financial condition and identifying specific goals and objectives. This will be accomplished through a series of interviews and questionnaires.

The initial meeting will include identifying services to be provided, disclosure of compensation arrangements, and delegation of the client and our responsibilities.

Preliminary Analysis

We will present our analysis of the data accumulated as a draft of tables. At the conclusion of this meeting, the client and we should have a good understanding of the clients’ current situation and financial planning goals. Then, the detailed analysis can be directed specifically toward the client’s concerns. After we review the results of the preliminary analysis, a detailed analysis of the client's financial circumstances will be performed and recommendations will be drafted..

Recommendations

Detailed analysis allows the planner to make recommendations addressing financial concerns or problems the clients may have, as well as uncover other problems or opportunities that may exist. During this meeting the financial plan will be finalized. All recommendations will be in writing and may include specific investment recommendations. A timeline will be established for accomplishing goals and responsibilities will be assigned for implementation.

Follow Up

This meeting will occur approximately six months after financial plan completion and will address implementation steps that remain open. This meeting is included in the initial financial planning fee.

A financial plan should be reviewed at least annually so that adjustments can be made for changes in personal circumstances and economic conditions. Annual reviews and updates will occur under a separate agreement and fee arrangement.

Investment Management Services

Everyday new investment choices are added to the already dizzying array of products and services that face each of us. Our firm is here to add a new dimension to asset management. We start the process from a financial planner’s perspective. In short, we regard each client as a unique person with a set of goals and objectives like none other. Therefore, every portfolio will be unique to the client’s situation.

Our first asset management task is to get to know the client. We will want to know about family history, hopes, dreams, disappointments and fears. Of course, we will also want to know about future financial needs and risk tolerance. All of these factors go into the development of an investment policy that is unique. That policy will guide future investment decisions and remind the client and us of the goal toward which we are striving.

Once the investment policy decision is determined, we will point the client toward investments that are selected based upon predetermined criteria. We start with the universe of investment vehicles. We select those that we believe are right for the client based upon the manager’s tenure, risk-adjusted return, and cost. Our recommendations are objective and independent. We do not accept commissions or contingent fees from any provider of products.

We then make recommendations, listen to feedback, and with the client's approval, set up accounts on behalf of the client at a discount broker or no-load mutual fund company. Unlike other managers of money, we encourage our clients to become as involved as they want in investment decisions.

At the close of each calendar quarter, we produce a detailed financial report for each client. Our reports include investment performance data and portfolio activity on the portion of the portfolio over which we have management responsibility. The report may also contain our recommendations on investment assets held at other financial institutions including bank CD’s, annuities, and employer-sponsored retirement accounts. Our reports are written in clear language and are supported by graphics.

For clients who subscribe to our investment management service, we also consult with them quarterly or as needed to discuss the report and it’s implications for their financial well being. We assist the client in any and all aspects of their investments. We are “on-call” to answer questions as they arise about the portfolio or a proposed investment.

Asset Allocation Services

Most investors face daunting investment choices in employer-sponsored retirement and 401(k) accounts, annuities, and CD’s or bank savings accounts. Those choices can have serious and long-term results. We are here to help make those decisions. The following beliefs about investing guide our delivery of investment advice.

Assets held in investment portfolios should be invested in many different asset classes. The proper amount to be invested in each type of asset will be tailored specifically for the client based upon their unique objectives for risk and return. This is known as asset allocation. The initial asset allocation model is generally designed during a separate financial planning engagement. Periodically, economic and/or personal circumstance changes will dictate needed adjustments in the portfolio. This is known as re-balancing.

Re-balancing of the portfolio can occur at any time and as often as necessary. Experts agree that a portfolio should be re-balanced at least annually but no more than quarterly. The frequency of re-balancing is likely to be determined by cost vs. benefit. As the portfolio grows, the frequency with which it is re-balanced is likely to increase.

With this service, we will assist in making transactions with your broker, mutual fund company, or retirement plan custodian that are necessary to bring the portfolio in line with the recommended asset allocation model. As always, we remain “on-call” to address concerns or questions about the client’s portfolio as they arise. We are available to meet with the client as needed to review and discuss our recommendations.