Financial Planning Process

As financial advisors and investment consultants, we believe in the following fundamental principals with regard to designing an investment portfolio and making specific recommendations. The purpose of a client's investment portfolio is to fund current and/or future financial objectives. The design of the portfolio must take into account the client's financial objectives, tolerance for risk, needs for current income or liquidity, and special considerations such as income and estate taxes. The appropriate allocation of investment assets for your goals and risk tolerance is the most important component in developing an investment portfolio. We believe that having a diversified, well-balanced portfolio, following long-term buy-and-hold strategies, and having patience, increases the likelihood that one will achieve their long-term financial objectives.
Diversification, dollar cost averaging, comprehensive portfolio reviews and analysis are beneficial methods of managing assets. Dollar-cost averaging has some advantages in a declining market--or, more precisely, in a market whose general direction may be downward but still has ups and downs. An investor who bought the Dow in 1929 and held it until 1939 would have seen a -46% return; but an investor dollar-cost averaging would have been able to take advantage, for example, of all the months in 1932-1934 in which the Dow closed at less than 100. In these months, that investor would have gotten a lot more for his money. This effect adds up to a nominal return of 5% during the period for the dollar-cost average method, which compared favorably to bond interest rates over the same period.
We believe that low cost mutual funds that consistently perform above average against their peers are wise choices. We also recognize the importance of culling a portfolio from time to time. How do you create this personal financial plan? What makes Brightbridge different is our commitment to working jointly with clients to produce a comprehensive, custom financial plan, enabling them to make wiser financial choices. First we focus on your goals, objectives, priorities and values.
For instance, the reduction of current and future income taxes may be an immediate goal, funding a quality education for your children and/or grandchildren may be an intermediate goal, and enjoying a secure financial future in your retirement years is likely to be one of your most important long-term goals. Another goal in life for some people is creating wealth and/or leaving a legacy for your chosen beneficiaries or charities. You may already be on the road to meeting these objectives and simply need a new strategy, professional insight, or to fine-tune your plan. You may just be starting out, or you may be somewhere in between.
Next, we collect detailed personal financial information and make a thorough analysis of this information: current financial situation, employee benefits, children's educational funding, retirement situation, pension and retirement plans, living estate, insurance and investment portfolios to produce a written financial plan with specific recommendations to achieve your goals. Then, we share the results with the client, who determines if the recommendations are sensible and reasonable. Once comfortable and satisfied with the final recommendations, clients take action or direct us to take the steps necessary to attain their objectives. Finally, to achieve the intended results, you must implement and monitor your plan. Your financial plan is a living document, reviewed periodically for progress and adjusted appropriately. Whatever your unique situation may be, everyone needs a periodic assessment of where they are on the road to meeting their financial goals. As a Fee-Based certified financial planner, we work with people based on their preferences and needs. Some may want a second opinion or help on a specific situation. Others would like more comprehensive, coordinated financial advice. »  Financial Planning Process