Personalized Wealth Accounts
Your own private money manager, possible through Value View Financial's Personal Wealth Account. Your account is opened in your own name (or names) with a discount broker such as Ameritrade, Charles Schwab, or Interactive Brokers. We discuss your goals and complete a written "Client Profile" to help determine the appropriate investment strategy for your specific situation. Each investment is chosen with your specific outlook and goals in mind.
Why an Independent Money Manager?
Many investment professionals work on straight commission. As a result, they only get paid when they make a sale. For example, a stockbroker has no income unless his clients buy and sell often. Therefore, his incentive is to encourage costly transactions. Of course, many ethical brokers and salesmen try to help their clients rather than pad their wallets. But wouldn't you rather have a financial advisor whose incentives are the same as yours? An independent money manager works for you. You pay only a set fee for services, and your money manager invests according to your guidelines. We only use brokers, that will strive to negotiate the best deals possible for you. We don't benefit from high transaction commissions, so our motivation is the same as yours: to find the best investment available, while keeping costs to a minimum. Our income grows as your account grows, so our incentive is for you to make money!
Why a Personalized Wealth Account?
The Personalized Wealth Account is a privately managed account, which has neither the entrance nor exit fees that many mutual funds have, nor any other separate administrative costs. Mutual funds often charge various fees which the investor does not see, in many cases adding up to 3% and sometimes even more. Value View Financial, on the other hand, charges usually around a 1% annual fee. By investing in a mutual fund you are buying their current portfolio, which includes stocks that may no longer be a good value. This is especially true of funds whose past year was very successful. As a new investor in the fund, you participate in the tax liability for some of these past gains. A personalized account like the Value View plan would separate you from these disadvantages.
The Freedom Approach
The freedom Standard Account provides clients with individualized, customized asset management in the long-standing Value View tradition. VVFC will work with each client to design and create a premier portfolio strategy according to the client’s preferences. Your portfolio manager will work with you directly to develop an investment approach which is uniquely designed according to your investment profile. This includes, but is not limited to, strategic diversification, ethical investing plans, capital gains management, year-end tax-loss selling, effective plans for scheduled withdrawals, or any special preferences that the client indicated in their communication to VVFC. This is the portfolio management model that Value View is known for, and what we recommend to most clients.
Pricing for Freedom Approach
The annual fee for Freedom Approach accounts for accounts under $200,000 shall be (1.5%) ; a fixed fee of $3,000 for accounts between $200,000 and $300,000; one percent (1%) for accounts between $300,000 and $900,000, a fixed fee of $9,000 for accounts between $900,000 and $1 million; above $1 million: nine tenths of one percent (.90%) for the 1st million; eight tenths of one percent (.80%) for the second million. The annual fee for portfolio and customized accounts of more than $2 million shall be negotiable. A minimum fee of $300 will be assessed to Freedom Approach accounts between $10,000 and $20,000.
How a Personalized Wealth Account Works
1. Your Personalized Wealth Account is opened in your own name (or names) with a discount broker such as Ameritrade. Accounts may be opened with a check, securities, or both. (All checks should be made out to the broker, not Value View).
2. We discuss your goals and complete a written "Client Profile" to help determine the appropriate investment strategy for your specific situation. Each investment is chosen with your specific outlook and goals in mind.
3. Our clients authorize Value View to make "buy" and "sell" decisions for their accounts. They receive a copy of the confirmations for each transaction. They also receive monthly statements showing the results of their investments, and a comprehensive year-end report.
4. Value View customizes the investment strategy to make allowances for individual ethical standards or unique preferences. For example, some of our clients choose to avoid tobacco stocks, while others have expressed a preference for the burgeoning technology industry. With Value View your preference counts.
5. Value View Financial attempts to hold costs to a minimum. We don't work for the broker, we work for you. Our management fees range from 0.8% and 1.5% per year (subject to a minimum of $200 annually). Management fees may be automatically deducted from your Personalized Wealth Account.
6. As an added benefit, the bi-monthly Investor's Value View newsletter (regularly $95 a year) is sent to our clients at no extra charge. In addition, clients have full access to our website.
7. All the firms we use as custodians including, but not limited to, Charles Schwab, Interactive Brokers, and TD Ameritrade are bonded to provide quality protection for our clients. These brokers provide excellent services to all of our accounts, and are suggested because of their record of honesty and high standards of customer service.
8. To help your account grow, you may add money at any time. Or if you have a need for emergency funds, you may withdraw cash from your account. (Exception: IRA accounts, which have special rules, may not allow for this flexibility.)