What is Turbo Advisor?
You don’t need to gather a million receipts and your paycheck stubs dating back through your first job. All you need is a little bit of basic information- how old you are, how much you’re currently saving, when you plan to retire- and a few minutes to fill out a form. Plug that information into our easy-to-use interface, and watch as the latest in investment technology does the rest.
Our algorithms use your information to build a personalized investment strategy based on Modern Portfolio Theory- a Nobel Prize winning set of investment principles. All that’s left is to put your plan into action, which you can do with a few clicks of the mouse.
Who is my financial advisor?
You will have a personal financial advisor whom is a seasoned financial advisor with many designations that can include CFP, CFA, CPA, and JD. You are not working with a call center. Your personal financial advisor will be with you throughout your life’s milestones. Your Personal Financial Planner will continue to assist and guide you in various market conditions and give you valuable advice to make sure all of your goals and financial objectives are achieved.
What is modern portfolio theory?
Informally, that 90% of your overall return in attributed to asset allocation, about 5 percent is attributed to stock picking and almost 2% due to market timing, with the remainder 3% caused by unknown events. Formally, Modern Portfolio Theory is a theory of finance that attempts to maximize portfolio expected return for a given amount of portfolio risk, or equivalently minimize risk for a given level of expected return. This is accomplished by carefully choosing the proportions of various assets.
What are main reasons financial planning fail?
Financial planning fails for 2 mains reasons, emotion and lack of continued planning. Our software alleviates these 2 main problems with easy to understand scenarios, using interactive decision trees that illustrates causes and effects.
Why are your fees so low compared to what I'm paying now?
Our fees are low because we are using mostly ETF’s inside of our portfolios. Most portfolios contain No-Transaction-Fee ETF’s, meaning we can make trades in your portfolio without you incurring any fees. Our fees remain below industry standards because we embrace and utilize technology—not run away from it.
Where is my money being held? Who is the custodian?
We have the ability to custodian your money on any platform out there. For example we can additionally use Fidelity, Charles Schwab, or TDAmeritrade.
Are my investments insured?
Yes, each account is insured by standard SIPC protection and also many custodians offer excess protection up to 1 billion dollars.
Can you do an analysis on my current portfolio to determine cost, rate of return, and risk?
Yes, free of charge. We will do a full scale financial analysis on your current portfolios—even if you decide to continue using your existing financial advisor. If we think you’re investments are the right mix for you, we’ll tell you and even point you to the vehicles that do the same thing but cost fractions less.
What are the differences between using your firm versus my current brick and mortar advisor?
The biggest differences you will see are the continued and persistent services, price and convenience. Not only will you save money on fees, but the convenience of never leaving your house will be immensely important. The #1 reason why people’s financial plans fail is because of the failure to make changes to their current plans. Having most reviews done interactively, using web-cams and screen shares, you will be able to see interactively how your plan has changed since we last met.
Who conducts the research necessary to manage the accounts?
Since we are a completely independent firm we have the capacity to choose from some of the finest analysts in the country to conduct research and perform trades. Our analysts are completely independent. They do not work for an insurance company or a mutual fund company—therefore their research is pure and completely unbiased.
Are there account minimums?
Our account minimum is $5,000
What is the differences between ETFs and mutual funds?
Mutual funds aim to beat a certain benchmark. They can take on additional risk in order to achieve this goal. This can create a higher return than a benchmark, or an incredibly lower return then the benchmark. It is very hard, if not impossible for managers of actively traded mutual funds to continually outperform benchmarks. That is why we strongly suggest the use of ETF’s in your portfolio.
Another difference is that on average, mutual funds are 5 times more costly than ETF’s.
ETF’s are designed to follow and track certain benchmarks, this will allow you to participate in all global markets and various sectors in the industry.
Do you help with Social Security analysis, insurance, and estate planning?
Absolutely, this is an important step that is too often overlooked. We will run many different scenarios to make sure you are covered on all bases.
Is there a separate fee for financial planning or is that included in the price?
The most important thing a financial advisor can do for you, is provide you with a holistic financial plan—and this is included in our investment management fee.
Do you have relationships with CPAs and estate planning attorneys to handle complexed cases?
Yes. We have many relationships with some of the finest CPA’s and Estate planning attorneys in the country.
How do you handle mortality tables?
We run mortality tables for women to age 95 and men to age 93.