Wealth Management and Investment Philosophy

LifeWealth Principles, LLC. defines successful wealth management as helping you determine and meet your investment and retirement income objectives. Our philosophy focuses on seven key areas:

The goal of our wealth and investment strategies is to add value by enhancing your returns and reducing risk, thereby increasing the likelihood that you will achieve your goals.

Asset Allocation

Asset allocation is our first area of concern, since it is a key factor in total portfolio volatility. Studies have shown that asset allocation decisions account for a larger proportion of the variation of returns than either security selection or market timing. Therefore, this suggests that the key determinant of the success of an investment strategy may not be which asset classes - e.g. large cap, international, fixed income - are purchased, but how the portfolio is divided among them.                         

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Quality of Investment Managers

LifeWeatlh Principles, LLC makes use of specific chosen managers who invest in distinct sectors of the markets. Specialists who adhere to a predefined investment discipline, such as large company growth managers, have an opportunity to hone there approaches and to anticipate changes within their areas of the market. For LifeWealth Principles LLC, this approach of selecting highly ranked managers for the various asset classes and styles provides opportunities for greater consistency and predictability of results.

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Continuous Portfolio Management

Portfolio management is a continuous process. Once your needs are defined, a plan developed, and a strategy implemented, confirmation and reevaluation of the portfolio is ongoing. There are two key components of this process. First, the portfolio is rebalanced regularly to assure that the mix of assets defined to achieve goals is constant. Rebalancing keeps the investment plan aligned with your financial goals. Second, we constantly "reevaluate" the managers we allow to manage our clients' portfolios. Each manager is continuously monitored and is subject to replacement should he or she deviate from their stated philosophy of process or fail to achieve their stated goal.  Sample Portfolio Review Statements

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Tax Management

Taxes matter, and for investors with taxable assets, failing to analyze tax implications can significantly impede the realization of their financial objectives. We believe our focus on tax management will enhance your after-tax returns. Wise tax decisions are important for you, your children, and your grandchildren. We will keep you up-to-date on new and changing tax laws, as well as, develop and implement recommendations that can effect your situation. This material is not intended to replace the advice of a qualified tax professional. Before making any financial commitment, consult with your tax advisor.

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Retirement Income & Distribution Planning

Analyzing income needs now and in the future is critical in determining the asset mix of our client's investment portfolios. We continually develop and implement strategies to fund income needs and help our clients maintain a comfortable standard of living. Ignoring the importance of "order" for retirement asset distributions and the impact of inflation could cost years of retirement income. LifeWealth Principles LLC will also ascertain that retirement assets are titled correctly and conduct an analysis of your IRA beneficiaries to help make the important decisions that must be made concerning IRA account setup and the distribution of the IRA upon death.  Back to Top

Return and Risk Expectations

The goal of LifeWealth Principles investment process is to outperform passive market indices by selecting specialist managers with extensive security selection experience. Our return expectations are that our separate managers, and investment portfolios will outperform their market indices. From a risk perspective, we expect the returns of our investment portfolios to have risk ratings that are less than those of their peer group averages, while potentially returns that are higher than the average portfolios in those same groups. An index is a composite of securities that provides a performance benchmark for other funds and is not illustrative of any fund performance. Indexes are unmanaged, do not incur management fees, costs and expenses, and cannot be invested in directly. Past performance does not guarantee future results.

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Comprehensive Financial Blueprint

Through experience, we have learned that clients normally have numerous investment accounts. There may be several personal investments that may be held individually, or jointly. In addition, there are probably two or three IRA accounts, and possibly two 401K or similar employer retirement accounts. It is important that all the accounts be viewed as one. If you examine each account individually, you might not see any large problem. However, when all accounts are viewed collectively, it becomes obvious that there is too much money in a certain asset class. A comprehensive overview of the accounts is one way LifeWealth Principles can provide prudent wealth management for our clients.
These components of LifeWealth Principles wealth management and investment philosophy are the result of years of experience and research in serving clients just like you. The philosophy to which we adhere is, in fact, the day to day disciplined routine by which every client is served.

Investing involves risk including the potential loss of principal. No investment strategy, including diversification, can guarantee a profit or protect against loss. Past performance is not a guarantee of future results.

 

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