Like a good coach, we are here to help you stay focused on reaching your goals.
These are unprecedented times for all of us, and it’s human nature to want to react quickly to the economic disruptions caused by events such as the rapid spread of COVID-19. Market volatility can challenge any investor’s discipline and commitment, but wecan help ease your mind and keep you focused.
Just like an athlete has a coach to train and guide them, we are here to do the same for you. A good coach makes you better, helps you focus on your goals, and knows how to get you there— even when times are tough. A good coach also helps keep things in perspective.
Why do we pay fees when markets are down? A bear market is when advisors and portfolio managers really earn our keep. Portfolio managers are working extra hard to update their analysis in changing economy, and to make effective buys or sells or to invest the cash in their portfolios to reduce the volatilty of the portfolio or mutual fund that they manage. As investment advisors, we are more pro-active, analyzing client porfolios for opportunities, emailing and phoning clients more frequently as markets change. There is more time spent in reviewing client portfolios, checking if changes are needed, or reassuring if changes are not needed, and re-focussing the client on their financial plans, investment strategies, cash flow needs, income tax situation, and long-term goals. In our office, we are compensated as a percent of assets managed, and do not charge fees for buying or selling mutual funds. For example, if compensated through the Management Expense Ratio (MER) of a mutual fund or through a fee-based program, after dealer and business expenses are paid the Advisor may have Taxable income of and about $400 per $100,000 invested. When portfolios drop 10% to 30% the advisor's compensation drops likewise, earning for example $320 on $80,000. We are working for you, for the long-term, to improve your financial situation.
Working together, we can make required adjustments to your financial strategy, helping you take advantage of opportunities in the market and taking you through the best course of action for your personal situation. Based on your time horizon, we can reassess your risk factors and life goals. Remember, it’s not only about the returns on your investments, but ensuring you stay on track to reach your goals despite the current economic and market conditions. Take comfort in the fact that throughout history, a market decline was always followed by a period of recovery.
As always, if you have questions about the markets or your investments, we are here to talk. While our office is closed to in-person meetings, clients can reach us by email or by phoning 1 855-461-9751.
- Elaine Kelly, MBA CFP, FCSI, Investment Advisor, Manulife Securities Incorporated
- David Wyatt, BA, B.Comm, CFP, Investment Advisor, Manulife Securities Incorporated
- Katlin Wyatt, BA, Investment Advisor, Manulife Securities Incorporated
- Diana Kancko, Executive Assistant
- Terry Wyatt, Executive Assistant to David Wyatt
Working for you from home