Case Study: Investment Management
by
SITUATION: After selling his private dental practice in 1999, Dr. Smith, a periodontics, amassed a significant amount of liquid wealth spread across multiple investment and retirement accounts. In 2003, he recognized that he needed someone to help him invest his retirement nest egg with the objective of maintaining his pre-retirement lifestyle even if he lived to be 100 years old.
SOLUTION: Our recommendation was three-fold: Plan/Strategize, Implement and Monitor.
ACTION
- Plan/Strategy: With our client’s input, we devised an Investment and Spending Policy Statement that provides the overview of investment objectives, risk tolerance, tax strategy, investment philosophy (Confidence Investing), distribution policy and organization framework.
- Implement: We conducted our due diligence on the investment vehicles and custodians. We implemented the investment accounts and aggregated the multiple accounts into our cloud-based performance reporting system in order to monitor the performance of the portfolio and the individual accounts on a real-time basis.
- Monitor: We met with Dr. Smith quarterly to discuss current investments, restructuring/rebalancing, the performance of the individual investments and on-going due diligence findings of our firm.
RESULTS: The three-fold approach allowed the client to relax knowing that the retirement nest egg was invested and managed prudently and he was not going to outlive his retirement assets.
The case study presented is a real description of an actual client relationship. We have protected the identity of the client and their occupation. Given that many of our clients experience similar life events, the case study is designed to depict the value proposition Furuya & Co. brings to the table. Each client we work with is unique. There is no “cookie cutter” set of solutions. We bring our full set of resources to the table to solve, educate, implement, and monitor.
In addition, investing in a cd is a savings product that earns interest on a lump sum of money for a set length of time.