INVESTING

INVESTING

 
 

Investing With Aptus: Our Approach

Since we do not actively manage your money, your fee is the same whether you have $100,000 or $1 million to invest.  The typical fee for our comprehensive financial planning and investment advice is $4,000 in the first year and an hourly rate of $200/hr thereafter for appointments you make at your discretion. An increase in the value of your investments due to market forces makes you wealthier, but does not affect our fees.  We believe your investments should earn money for you – not for us!

 

Philosophy: Aptus Financial believes in a simple indexing strategy.  We first help you determine an appropriate asset allocation, or how to divide your money between stocks and bonds.  And then we pursue an indexing strategy where we attempt to capture the returns associated with very broad stock and bond market indexes.  Our strategy is also known as a passive strategy.  By passive, we mean that we do not actively manage your portfolio (nor do you).  We do not change how your investments are allocated between stocks and bonds in an effort to time the market.  We make no effort to select individual stocks, bonds, sectors, or even active managers or advisors.  Our strategy is designed for the average investor over the long term and recognizes that costs have a significant compounded and erosive effect on the average investor’s ending wealth. 

 

What we do:  1) We educate you!  We first determine and then explain your current portfolio composition and allocation.  We identify your management style and we discuss and attempt to measure your current direct and indirect costs of investing.  Direct costs represent checks you write or money deducted from your account for advising. Indirect costs represent all of the “hidden” costs of investing, from revenue sharing by your adviser to the costs of active management.  2) Based on the information contained in your comprehensive financial plan and on an assessment of your risk tolerance, we determine an appropriate asset allocation. 3) We show you how to achieve your desired asset allocation – and with a low cost passive strategy.  We guide you on the dollar amounts to invest in which mutual funds to achieve your low cost passive strategy. 4) Annually, unless significant market conditions warrant otherwise, we reassess your asset allocation and help you rebalance your portfolio as needed.

 

What you do: You save money!  You, with our guidance, rebalance your own portfolio as necessary.  We do not control your investments, you do.  Our approach is somewhat similar to robo advising, but with one significant difference – you have a highly credentialed human element with us!

We don’t actively manage your money, so your fee is the same whether you have $100,000 or $1 million to invest.  Your fee is $4,000 in the first year and appointments at your discretion thereafter for a standard rate of $200/hr. The financial planning and investment advising you receive in the first year are updated each year thereafter, to reflect changes in your financial condition and life situation.  An increase in the value of your investments due to market forces makes you wealthier, but does not affect our fees.  We believe your investments should earn money for you – not for us!