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Centerville, OH 45459
Phone: 937-434-5697 or 866-401-ADVR
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Our Income Portfolio is designed for retirees or other investors that would like to receive a steady
income check from their investments. Or for more conservative investors that would prefer to rely
on a steady reinvested income stream, than the vagaries of the stock market to grow their wealth.
The problem that many retirees have run into is that they have tried to fund a retirement income
stream from a portfolio of stocks or mutual funds that rely on capital gains to generate
distributions. Without stock market gains, such portfolios have depleted at alarming rates as
principle is liquidated to meet distributions, over this past decade. For many retirees portfolios
have dropped to the point that a permanent reduction in income is the only alternative to running
out of money.
To manage this risk we fund our client incomes from actual stock, bond and fund distributions.
While current interest rates remain at historical lows, we currently feel that a realistic target
dividend/interest target rate is 8% (11/17/2009). We expect that most of this will qualify for
reduced dividend tax rates, making this a very tax efficient option. Capital gains are a secondary
Minimum Investment Recommendation: $50,000
Our Tax Deferred portfolio utilizes one of the few true No-Load variable annuities on the market.
Instead of the typical insurance charge of 1.45%- 1.65% annually plus surrender loads for up to
10 years our no-load products charge a nominal charge of $25.00 per month. This is easily offset
by the fact that there are no trading costs or commissions on our trading activity.
This portfolio utilizes a conservative, diversified approach to portfolio management. Our strategy
involves 13 different holdings that are all traded using their own individual algorithms. Resulting in
diversification of strategy as well as holdings.
Minimum Investment required: $25,000
4. ETF Endowment.
Our ETF Endowment strategy follows two Golden Rules of portfolio management. First, we utilize a
truly diversified approach using low cost, index based, exchange traded funds (ETF’s). ETF’s allow
us to invest more directly into non-stock indexes such as commodities, currencies, and precious
metals. This is a strategy pioneered by the large endowment funds of Harvard and Yale
Universities. The second Golden Rule is “never lose money”, and its corollary “never lose money”
per legendary investor Warren Buffet.
We feel we can always recover from a bull market that gets away from us, but it is extremely
difficult to recover from huge draw downs of approximately 50%, experienced twice in the current
Minimum Investment Required: $100,000
5. Sector Rotation.
This is an aggressive portfolio utilizing the Fidelity Select mutual fund family. The portfolio is
rebalanced on a monthly basis. It is designed to by “long” or invested in the market under most
market conditions. This strategy can provide for very exciting short term returns, but the price is
volatility. Therefore it is recommended for small aggressive portfolios, or as a portion of a broader
Minimum Investment Recommended: $25,000
6. ETF Growth and Income.
This strategy is designed for investors looking for a modest amount of income, modest growth and
a consistent return. Trades are “cloned” from our tax-deferred model, but use ETF’s instead of the
variable annuity platform. Designed for portfolios that prefer a traditional brokerage platform to the
variable annuity platform, and with lower transaction costs than our ETF Endowment model, it is
suitable for smaller portfolios.
Minimum Investment Recommended: $50,000
1. Managed Opportunity Strategy.
Our premier strategy utilizing a mix of the individual strategies
below. This strategy blends the benefits of low cost index investing
(through Exchange Traded Funds), diversification of assets, and
diversification of strategies. This strategy is known as “Enhanced
Modern Portfolio Theory”.
Minimum Investment Requirement: $500,000