Tweak, Fine-Tune and TURBOCHARGE Your Portfolio

There are a number of tweaks you can make to your portfolio that will “turbocharge” your investments and your returns. Are you implementing these strategies in your portfolio?

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1:49 Make sure every asset is working together

• If you don’t have a portfolio but simply a handful of investments you might need more of a strategy.
• You might have multiple mutual funds and think you’re diversified, but there could be a lot of crossover between those funds and you could be diversified in the same stocks over and over.
• Placing the right investments in the right accounts allows you to better optimize for taxes.
• Ryan shares an example of a client who came into the office without tax efficient accounts.

5:03 See the fees

• Hidden fees are often within the portfolio in a way that you don’t know you’re paying them.
• Some big firms sell products with a lot of fees and the advisors are more like a sales force.
• The biggest problem is that your statement doesn’t articulate the costs that you are paying.

6:16 Optimize your portfolio with tax-efficient income

• Bob shares a story of a client who had annuities with additional taxes.
• By placing the right investment in your portfolio you can have investments that generate tax-advantaged income.

11:11 Mailbag: Enough money for retirement

• Christine thinks she has enough money for retirement but is scared every time she makes a withdrawal and feels like she might run out of money.
• Bob sees this all the time–it’s one of the biggest fears in retirement.
• The older we get, the more insecure we get about our future.
• Peace of mind is worth so much.

13:24 Purchasing an annuity

• Mary is considering the purchase of an annuity to help with retirement income needs. This purchase would represent about half of her assets, is that too much?
• You typically have to give up your principal for the annuity.
• That would be a red flag to have that much of your net worth illiquid.
• A positive: When you generate income from an annuity, it is very tax inefficient.

16:24 Client spotlight

• Certified Financial Planner Michelle helped someone who is already retired but was frustrated with a past advisor.
• What immediately jumped out to Michelle was the fees since the advisor was charging well above the average but not giving good service.
• Michelle shares how their tax situation was a way she found an area to add value to the client’s portfolio.