The Elderly Retired Couple
Our clients were almost 80 years old and came to us for investment management services after realizing they had invested too aggressively during the market downturn from 2000 to 2003. By reducing the level of risk in their portfolio, we were able to provide some peace of mind during subsequent volatile periods and allow them to stay the course with their investment plan.
Along the way they determined the home they lived in was too large and planned to sell and buy a smaller home during the real estate boom in 2004 – 2005. We advised that they sell the large home, but rent a smaller home, converting their home equity into an income producing investment, and avoiding buying a new home right before the residential real estate crash of 2007 – 2008.
Additionally, we assisted them with some guidance on estate planning so they would be prepared to meet with an attorney to craft important documents. We currently work with their son to assist them in their late retirement years.
The Investment Savvy Retired Executive
This retired executive had successfully managed his own portfolio during his career and built a fine nest egg, which in conjunction with his pension and Social Security would provide nicely for he and his wife. He was, however, concerned about his own mortality since most of his family passed at relatively young ages.
By establishing a relationship with Integra Capital Advisors, he and his wife became comfortable in having us manage the bulk of their investment portfolio, and eliminating the need for the wife to look for an advisor in the event of his passing. Planning ahead has provided peace of mind for both.
After this couple’s CPA retired, we referred them to a local CPA that works with many of our clients. We also work with their attorney on estate planning topics.
The Pre-Retired Medical Professional
This Dentist and his wife are one of our oldest tenured clients. He plans to continue in practice, health permitting until age 70. We manage their portfolio for risk-controlled growth given his anticipated retirement horizon, and have advised him on corporate retirement plans, IRAs, and annuities. Part of this process is developing an income plan based on portfolio value targets to make sure we are on track for eventual retirement.
As retirement approaches we will convert their portfolio to more of a balanced approach to further reduce risk of principal loss and to emphasize production of income to replace the income from his dental practice at the time he fully retires. We will also provide Social Security planning to help them maximize their benefits when they are ready to start collecting. The difference in collecting as early as possible and using creative strategies can be in excess of $100,000 potentially.
Their son, in his 20′s, is now one of our youngest clients. We enjoy working with this great family in a multi generation setting.
The Young Professional Family
This young family was just starting out. Both had great educations, jobs with good salaries, and a new baby to start their family.
We advised them to start a disciplined savings plan including IRAs for them and a state sponsored college savings plan for their child. As the saying goes, investing early and often takes away a lot of the worry. Their portfolio is growth oriented and is managed in conjunction with a long-term retirement income plan.
When a job change occurred we were able to help the couple roll their employer sponsored 401K plan into an IRA, and provide management of the account. Job changes are more frequent in today’s economy and it is easier to maintain consolidated retirement accounts rather than keeping track of several.
We hope to work with this family as they have more children and experience all of the great life events ahead of them.
The Young Retired Couple
This young retired couple (mid-fifties to early sixties) was still very active and planned to travel and enjoy life at an active pace for many years to come. When couples or individuals retire early there are extra strains on their retirement income plan. With life expectancies for healthy individuals easily reaching into their 80′s and not uncommonly into their 90′s, the investment plan may need to be relied on for income for well over 30 years.
Social Security planning and maximization techniques are very important for this couple, as are understanding the concept of the “safe withdrawal rate” which acts as guidance for how much of an investment portfolio can be withdrawn each year without putting the portfolio at a high level of risk of running out of money during their lifetime. A retirement income plan combining their Social Security with income from their investments provides peace of mind.
This couple was also successful financially during their careers, but had no children of their own as heirs. We referred them to a trusted estate-planning attorney to help them work through the process of setting up trusts for eventual disposition of assets to individuals or organizations they chose as beneficiaries.
The Single Established Female
Our client was widowed soon after she and her husband retired. Her husband had always handled the investment accounts and she was nervous about being in charge of the decision process and making sure she received the right advice. Coming to us through a referral from an existing client helped ease her anxiety a bit, but we still needed to establish a relationship and earn her trust through several meetings and conversations.
We manage her portfolio conservatively to help keep emotional stress to a minimum. Her investment income and Social Security provide her means for survival so avoiding large losses is of paramount importance. Since working with us she has used our advice on selling real property which was not producing income and converting the value to income production. We have also referred her to trusted professionals for estate planning and tax preparation.