I’m starting Impact Fiduciary, a wealth management firm that reflects my values and answers a simple but powerful question. What would I want if I were the client?
I’ve outlined why I decided to take this path and start this new adventure. I hope you’ll join me along the way or at least stop and say hi as I press forward.
You may ask, “Why start a financial planning firm? Aren’t there already a million other firms doing the same thing? What makes you different? How are you going to be better? Why should I invest my hard earned money with you?
The focus of Impact Fiduciary is empowerment. My process is designed to make your life less stressful while helping you better define and live your vision.
We will invest intelligently in sustainable companies without sacrificing performance. The goal is to avoid companies that are harming the planet while focusing on those that have a positive impact on our world.
Eighteen years of investment experience and in-depth academic research have shown me that it’s not necessary to sacrifice values to achieve higher returns. In fact, the opposite is true. Sustainable investing can give you an edge. I view this as a win-win.
I’ve been working in the Financial Services industry for well over a decade. I’ve seen it all.
I have worked at one of the world’s largest mutual funds, helped individuals at a bank and a credit union, and managed relationships at a large broker dealer.
Prior to starting Impact Fiduciary, I worked directly with over 300 clients and advised on over $100 million of assets at a fast growing independent firm.
Thousands of consultations and portfolio reviews later, I’ve seen almost everything there is to see in personal finance.
My experiences have reinforced certain cardinal rules. You should only work with someone who is a Certified Financial Planner (CFP) and a fiduciary.
An advisor with the CFP designation has demonstrated a high level of competence in financial advising and investment management.
Status as a fiduciary is the gold standard in wealth management and means the advisor is legally obligated to act in your best interests. This means no product sales or commissions.
I believe your advisor should keep expenses reasonable and make sure you are getting value in return for the fees you pay.
You should never pay an advisor a fee to put you into mutual funds and you should run, not walk, away if they mention commission-based annuities.
At Impact Fiduciary, I’m proud to offer both a monthly retainer model and an assets under management option so that I no longer have to turn away clients simply because they haven’t obtained a certain level of wealth.
I’ve found that there are plenty of folks who need help with financial planning and are willing to pay a fair price for advice but may not have the assets to meet the high minimums required by most advisors.
A major shortfall today is that there aren’t many CFPs/fiduciaries who offer a flexible pricing model. In most cases, in order to work with a fee-only advisor, you need to have at least $500 thousand or even $1 million dollars of liquid assets to invest.
A major problem that I’ve seen in the industry is that relationships tend to be very transactional. This could mean buying and selling a product, but it can also include fee-only advisors.
Some advisors capture assets but never proactively help with financial planning. The key word here is proactive.
You don’t know what you don’t know. It shouldn’t be your responsibility to know the right questions to ask. This should be the advisor’s job.
Planning should be systematic and focused on all aspects of your financial life, not just the investment management piece.
I’m focusing my energy on forward thinking clients that don’t necessarily have the time, inclination, or expertise to think about how to best protect their loved ones or allocate their investments.
I’m based in Los Angeles, but can work with anyone anywhere in the country who has access to a computer. As a CFP and a financial advisor for over the past decade, I have spent countless hours understanding the tenets of financial planning so you don’t have to.
If you are like most people, you probably have numerous blind spots when it comes to your “Financial Plan” or lack thereof. This is where I come in; I can help you figure out what you need and then act as an accountability partner on your road to financial success.
I'm excited to start this journey and I hope you'll join me! Please schedule an appointment to learn how I can help you!
Disclaimer: This article is provided for general information and illustration purposes only. Nothing contained in the material constitutes tax advice, a recommendation for purchase or sale of any security, or investment advisory services. I encourage you to consult a financial planner, accountant, and/or legal counsel for advice specific to your situation. Reproduction of this material is prohibited without written permission from Patrick Dinan, and all rights are reserved.