Q: If you don’t take possession of my assets, how is my portfolio allocated?

A: Clients maintain direct ownership accounts where they choose to keep their money. After we make our portfolio recommendations we will work with you to make sure you implement the proper allocation among all of your accounts.

Q: Do I have to use certain fund families or brokers to work with you?

A: No. It doesn’t matter to us, though we generally recommend that our clients use Vanguard for their mutual funds.

Q: Are there any other advantages to this approach?

A: Peace of mind for one: since we don’t control your money you don’t have to worry about us taking it. Also, this allows us to give you recommendations on your entire portfolio, including 401k assets that you can’t transfer to a broker.

Q: Are there any disadvantages to this approach?

A: Yes, no model is perfect. With this model the onus of implementation falls on the client. We will work with the client every step of the way, but we cannot execute implementation ourselves, it is up to the client. 

Q: How do you monitor our portfolio if you don’t take custody?

A: Our clients have access to an online portal whereby they can automatically link all of their investment accounts. This portal aggregates all of you assets and helps us ensure that you remain on track. The portal also gives you real time access to your retirement and other plans and can also track your spending if desired.

Q: Do I need to have a minimum net worth or income in order to work with you?

A: No.  Since we don’t earn fees by managing assets or selling expensive products, we don’t have any net worth or income thresholds. Our only criteria is that someone sees value in our service and be willing to implement our recommendations.

Q: So will you work with anyone then?

A: No. If we feel someone will not follow our advice or believes in frequent trading, or trying to “beat” the market, we will not work with them.

Q: Who is your typical client?

A: We have many different clients but we feel we provide the highest value to those who need sophisticated planning but who’s net worth does not justify the cost of a family office or private bankers who are exceedingly expensive. This usually equates to families with a net worth between $5M and $25M. 

Q: How/what do you charge?

A: We charge a fixed fee based on the complexity of a client’s needs. For the affluent, who often pay 1% of assets under management, this structure is much better since it is less expensive and aligns our interests. For example, a $5M portfolio charged 1% will pay $50,000 with a typical advisor arrangement whereas our fee would range from between $9,000 and $12,000 per year including tax preparation. We also offer an hourly service whereby clients can simply pay per time used, and that fee is $600 per hour.

Q: What is a CFP^®?

A: CFP^® stands for CERTIFIED FINANCIAL PLANNER^TM . In order to qualify to become a CERTIFIED FINANCIAL PLANNER^TM Professional (CFP^®) a candidate must complete an approved educational curriculum that normally takes at least a year,  pass a two-day ten hour exam covering five different financial planning areas, have at least three years experience in the field and agree to a Code of Ethics. In order to maintain certification, a candidate must complete 30 hours of continuing education every 2 years including a 2 hour Code of Ethics course and must adhere to the CERTIFIED FINANCIAL PLANNER BOARD OF STANDARDS’ Code of Ethics. More information can be found at the Board’s web site.

Q: I see that your firm is registered with the state of NJ as an investment advisor. Can residents of other states work with you?

A: Yes. Most states require a certain number of clients before they require registration. We are currently in the process of transitioning our registration from the state of NJ to the SEC.

Q: You recommend that clients invest their money with Vanguard; do you have fee sharing or any other arrangement with them?

A: No. We don’t receive a penny from any third party. We recommend Vanguard to our clients because we believe it is the best fund family to use, however we often advice that clients use other fund families. We are agnostic as to where our clients keep their money.

Q: Do you prepare taxes for clients?

A: Inner Circle Platinum Advisors does not prepare taxes but our parent company Inner Circle Advisors does. Clients can consolidate their tax preparation and financial planning in one place if they desire, but it is not a requirement.