 |
| Adrian Mastracci, president
of KCM Wealth Management, says “This
unique advisory model differs considerably
from traditional methods. It provides a high
level of service and personal attention for
each client at a cost-effective professional
fee." |
For Immediate Release
Vancouver, BC (November
7, 2003): The world
of investment advice has undergone many changes.
Adrian Mastracci, president and fee-only investment
counsel of Vancouver based KCM
Wealth Management comments, “In particular, the investment
counsel category has become a principal source
of unbiased investment advice. And investors
have welcomed their services.”
“This unique advisory model differs
considerably from traditional methods,” adds
Mastracci, “It provides a high level
of service and personal attention for each
client.”
"Most investors seek professional counsel.
Usually about what to do with the investment
portfolio," notes Mastracci, “Often,
coupled with other matters, such as retirement,
estate and tax planning.”
"Investor needs may range from a little
advice to designing, implementing and monitoring
the total investment plan," points out
Mastracci, "One recurring question is
how do investors select the appropriate professional
to manage their nestegg."
“The investment counsel draws from experience
and perspective to assemble the most appropriate
and cost efficient investment plan for each
client,” mentions Mastracci.
“My description of investment counsel
is a professional who designs, invests and
manages portfolios according to clear and well-defined
investment criteria for each client,” says
Mastracci, “The investment counsel has
no affiliation with products or financial institutions.
No products are sold.”
"For many investors, objectivity is the
most attractive feature for choosing the investment
counsel," explains Mastracci, "Investors
seek a professional they can work with and
whose advice they value. One who has no financial
stake in their investments."
Mastracci offers these comments in selecting
the investment counsel:
- They are experienced professionals, trained
to manage portfolios for clients who have
a variety of needs and complexities. The
service
is personalized, confidential, cost-effective
and takes into consideration issues such
as family, retirement, income tax, estate
planning
and legal matters.
- The unique feature is that the investment
counsel sells advice, not products. That
professional is paid a fee for the service,
not a commission.
Hence, the advice is objective, with no
potential conflict of interest. The investment
counsel
does not act as a principal in security
transactions.
- The investment counsel develops a clear
understanding of each client’s needs, personal goals,
investor profile, diversification requirements,
time horizon and attitudes towards risk. The
client’s risk tolerances depend on the
importance placed on capital preservation,
long-term growth and income requirements. All
of these are vital in designing the client’s
portfolio.
- The primary role of the investment counsel
is to meet the unique investment needs
of each client. The thorough analysis of
what is important
to the client results in the creation of
the investment policy statement, or investment
game plan, specific to each client.
- The investment counsel does not receive
commissions for the buying or selling of
securities. There
is no bias in selecting the appropriate
portfolio securities and mix of assets. This
objectivity
is often the most attractive feature for
investors in choosing the investment counsel.
- Investment counsel fees are generally calculated
as a percentage of portfolio value. Most
fee schedules reduce as the portfolio increases.
Fees are typically lower than the cost
of investing
in traditional mutual funds, and are deductible
for tax purposes for non-registered accounts.
- Minimizing all portfolio costs such as
in the purchase, the sale and the ongoing,
receives
special attention. Just imagine no more
deferred sales charges. The use of exchange
traded funds
and index funds are indications of cost
consciousness. Another focus is the portfolio’s
tax friendliness.
- The investment counsel is registered with
the provincial securities commission. The
registration is based upon qualifications
for both education
and experience. Becoming investment counsel
generally requires five years experience
in the management of portfolios.
- All aspects of asset mix decisions along
with the selection of the appropriate securities
and the plan implementation are handled
by
the investment counsel. The asset mix applies
both to registered (i.e. RRSP, RRIF, DPSP,
RESP) and non-registered (i.e. personal,
corporate) portfolios. Trading activity is
kept to a minimum,
undertaken only when necessary.
- In designing the portfolio, the investment
counsel may confer with the client's accountant,
lawyer, banker and other professionals.
This liaison is especially important where
the client
wishes to undertake estate planning and
estate freezing techniques.
- After the portfolio is implemented, the
investment counsel monitors the plan and
reports periodically
to the client. The goal is that the portfolio
remains within the established parameters.
Rebalancing, along with the client’s
changing needs and priorities, are easily
accommodated.
"Investment counsel services are available
to individuals, small businesses, family trusts,
charitable foundations, institutional portfolios
and pension funds," indicates Mastracci.
“Advice rendered by the investment counsel
is governed by what is important to the client,” concludes
Mastracci, “The aim is to direct the
portfolio with a thoughtful plan that endures
the tests of time.”
“The long standing principles of asset
allocation become the foundations of the client
portfolio,” summarizes Mastracci, “The
investment counsel takes pride in providing
objective advice. A truly distinct advantage.”
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