Alignment of Interests
Wall Street has simply failed most investors due to complicated fee structures and rampant conflicts of interest.
Wall Street has simply failed most investors due to complicated fee structures and rampant conflicts of interest.Studies have consistently shown an increase in performance and often a decrease in risk when there is an alignment of interest between each client and each member of their investment team. In fact, this is a key element in most institutional portfolios such as those utilized by the Yale Endowment. Institutional investments are overwhelmingly guided by fiduciaries; not sales people.
What is a Fiduciary? Watch this fun video to learn the important difference between a fiduciary and the typical Wall Street broker or insurance agent.
We believe individuals should also be guided by Fiduciaries who exhibit that same level of commitment and alignment of interest as institutions demand. WE Alliance Wealth Advisors, Inc. has adopted a fiduciary approach to investing.
WE Alliance is a Registered Investment Advisory firm and we have a fiduciary obligation to each client to act in their best interest. Advisors at WE Alliance are compensated the same amount regardless of product or portfolios employed. Further, our founding principal and most of our advisors invest in the same great strategies and investments as we recommend to our valued clients.
Because we are not married to a specific Wall Street product, we can deliver a superior investor experience and we can utilize proper tools and not just those tools that pay the most to the advisor. It results in a dramatically improve client experience.
Focus on Risk Adjusted Returns
We believe that our job is to protect our clients from unreasonable risks and that many risks, such as stock market risk, can be greatly minimized by proper planning. After all, it is not about how much you make in a given year but instead about how much risk you took to make a given return.
If you lived through the tech bust in 2001 – 2002 and the most recent 2008 stock market crash, then you realize that there is real risk in the markets. Downside protection from stock market returns can be a reality and this can be achieved with shorter term portfolios that do not necessarily rely on expensive indexed annuities (the insurance industries’ expensive answer to risk control).
It takes more work to achieve this but we believe most investors will agree that the work is worth the added piece of mind achieved through this approach to investing.
Control Costs
Costs of all flavors, including our fees, have meaningful impact on your portfolio’s long term value. Therefore, any fees that do not deliver more value than they cost, should be eliminated if at all possible. Most mutual funds, often 80% of them or more, cannot meet this standard as they are simply too expensive and therefore cannot even keep up with an indexing approach to investing. We confidently earn our fees and deliver exceptional risk adjusted returns to each client through our planning process and through the powerful strategies we employ.
We are hired to, among other things, to put a heavy focus on reducing fees for each clients’ portfolios. This is done by negotiating fee structures as a group with many investment groups (hence the WE in our name) and by pro-actively implementing strategies that reduce or eliminate many types of costs.
Minimize Taxes
Taxes are simply another form of fees. Pro-active tax planning can be immensely beneficial to each portfolio and to the long term tax impact of your savings. We are exceptional at tax planning and employ powerful strategies such as the “WE Strategic Roth Conversion” strategy that both protects from downside stock market losses AND provides a powerful Roth Conversion opportunity. These strategies can add as much as one percent to your returns in a typical year to as much as 9% in an exceptional year. Let us show you how!
