Wichita Wealth Management (WWM) provides fiduciary, fee-only wealth management services to individuals, families and small businesses. Wealth Management is an on-going process whereby we manage the client's investment portfolio and provide support for all things financial. The initial process to set up and fund accounts usually takes from two to six weeks.
The fee for Wealth Management normally ranges from .8% to 1.5% of the household investment portfolio value and is paid monthly (1/12 of the annual percentage fee), usually directly from the investment account(s). It is typically a tiered fee, based on the investment portfolio value; the higher the portfolio value, the lower the percentage. Other factors affecting the fee are the complexity of the client's situation and the number of meetings per year.
Wealth Management includes account types such as: individual, joint, transfer on death, IRA, Roth, trust, college 529, UTMA, individual 401k, SEP, SIMPLE, HSA, LLC, S-Corp, non-profit and annuity. It does not include 401k, 403b, 457 or TSP, unless these accounts are rolled over to us to manage.
The wealth management process typically unfolds as follows:
1. Initial Interview
Answers the question: "Does it make sense to meet in person?" The interview is normally done over the phone or via email. Points for discussion:
- What services are you seeking?
- What is your current situation?
2. Get Acquainted Meeting
Answers the question: "Do the services you seek match the services offered by WWM?" The meeting usually lasts one to two hours and is at no charge and no obligation to you. We think of this as a chance to get to know one another and dive a little deeper into your financial situation. If you feel that we have a fit and we feel we can address your needs, we will move forward to the Discovery Meeting. Points for discussion:
- Discuss your current situation.
- Discuss your goals.
- Discuss the services you require.
- Discuss the Wealth Management process and participants.
- Discuss "Ten Questions to Ask Your Financial Advisor."
- Discuss questions you have for us.
3. Discovery Meeting
Answers the question: "Do you want to engage WWM for wealth management services?" In some instances, the Get Acquainted Meeting and the Discovery Meeting can be combined into one meeting. Points for discussion:
- Discuss Financial Recap. We will prepare a Financial Recap report and review it with you to ensure we understand your financial situation.
- Discuss our Investment Philosophy.
- Determine your risk tolerance, tax bracket and investment time horizon.
- Discuss any questions you have for us.
- Discuss the quote for wealth management services.
4. Mutual Commitment Meeting
At this meeting, you sign the Client Services Agreement, New Account Application and any other forms required to set up your accounts and transfer assets.
Our commitment to you:
- Assist with implementation of financial plan recommendations.
- Partner with you to build a customized investment program for your life stage.
- Focus on disciplined, fee-only portfolio management, rather than market noise, to help keep your investments on track. This is sometimes referred to as behavioral investment coaching.
- Create a tax-efficient asset withdrawal strategy, as needed, to help meet your living expenses and achieve your financial goals.
- Provide resources to address financial planning issues, such as estate planning, tax efficiency, college funding, employer-sponsored retirement plan investment allocation (e.g. 401k, 403b), risk management (insurance) and other as-needed advice.
- Connect with you (at least) annually. This includes a portfolio review/rebalance, risk assessment review and review of progress toward accomplishing your goals.
- Deliver “peace of mind” regarding your finances, so that you can spend your time enjoying life, with the knowledge that you are working with a fiduciary Certified Financial Planner - CFP™ professional.
Your commitment to us:
- Implement financial planning recommendations.
- Entrust us with management of your investment portfolio.
- Contact us whenever there are any significant changes in your life situation; e.g. job change, retirement, inheritance, new additions to the family, children moving out, death in the family.
- Provide us with information such as tax returns and 401k statements as needed.
- Attend meetings (at least annually).
5. Set Up & Fund New Accounts
WWM submits signed paperwork and sets up, funds and rebalances new accounts. See Wealth Management Participants for details of the players involved in the wealth management process.
As we fund accounts, we focus on the following goals (see Wealth Management Best Practices for more info):
- Funding accounts with an asset allocation that matches the client's unique profile
- Minimizing investment expenses
- Diversification of investments
- Consolidation of accounts with like registrations
- Minimizing complexity of investments, where feasible
- Maximizing transparency of investments, where feasible
- Minimizing income taxes
6. Initial Financial Plan (optional)
The Initial Financial Plan is optional and, if requested by the client, includes the following phases.
- Gather documentation and develop goals.
- Review data and goals.
- Analyze data and goals and develop financial plan.
- Present financial plan.
- Implement recommendations (part of On-Going Wealth Management).
7. On-Going Wealth Management
- Implementation of recommendations.
- Build and monitor customized investment program (see Wealth Management Best Practices for more info).
- 90-day review (initially).
- Focus on disciplined, fee-only portfolio management.
- Create customized, tax-efficient withdrawal strategy (as needed).
- Address as-needed financial planning issues. If it has to do with your financial life, WWM is the "go to" provider of advice. If we cannot help directly, it is highly likely that we can recommend someone who can.
- Annual review:
- Repeat process.