Advisory Services


There are many services available to help you on the road to financial independence. It is valuable to begin with a detailed financial plan and evolve to more specific areas of finance as they are needed. These may include researching different types of investments and building custom portfolios to fit with your personal or business situation, retirement plans, tax and estate plans, and cash management. Kummer Financial Strategies, Inc is a Registered Investment Advisor and is compensated at $200.00 per hour for advisory work. A written estimate is provided at the initial meeting. Implementation of the plan may call for recommendations of investments or insurance programs which may be purchased either on a commission or fee basis.

You already know it is important to invest, but how do you get started? There are many programs available to you. Let us help you choose the most appropriate one for you. For more detail, please request a copy of our ADV II.

THERE ARE THREE MAIN INVESTMENT STRATEGIES:

1) DYNAMIC ALLOCATION STRATEGIES - (DAS) 

DAS is a KFS proprietary asset allocation for managed accounts designed to add diversification based on perceived opportunities resulting from a given market or economic environment. Accounts are established at Fidelity, and KFS will research, design, select, monitor and rebalance according to the portfolio design. Allocation fees are tiered and range from 1.00% for single accounts over $1,000,000 to 1.30% for single accounts below $250,000. Volume discounts are available for accounts over $1 million. All funds or ETFs are purchased utilizing institutional pricing where available so the retail investment purchase cost is waived. Portfolios are monitored by our Investment Team and reviewed on a quarterly basis, and investment decisions are reviewed by the KFS Investment Committee. Financial plan updates are provided at no additional cost for anyone invested in this program.  

 

2) FACTOR-BASED ALL-CAP STRATEGY - (FAS)

FAS is a KFS proprietary strategy implementing a concentrated, largely rules-based stock selection process that seeks long-term growth of capital with some income by owning individual equities of U.S. companies of varying sizes. Clients must have $1 million investable assets with KFS in addition to potential assets to be invested within this Strategy in order to participate in the Strategy. Rebalances are maintained on a quarterly basis. The minimum account size for deploying the Strategy is $250,000. Minimum requirements may be waived on a case-by-case basis. The annual management fee for the strategy is 1.25%, which excludes brokerage transaction charges.

 

3) ASSET ALLOCATION -

Offered for implementation of your IPS on accounts under a certain amount, approximately $100,000.  These accounts are held at Charles Schwab and are the responsibility of the client to open and work with Schwab for servicing.  KFS will be the advisor, design the allocation and select and monitor the funds.  Schwab will automatically rebalance according to the portfolio selected.  Asset management fees start at 0.5% annualized, withdrawn quarterly. The normal hourly charge for plan updates will be assessed for meetings and plan revisions. 

 

HOUSEHOLDING -

The option of having one asset allocation cover the entire household of accounts rather than having separate asset allocations for each account; both options are within the scope of your Investment Policy Statement.

 

THERE ARE THREE MAIN INSURANCE STRATEGIES:

1) LIFE INSURANCE

  • Life insurance programs are designed based on the insurance analysis in your financial plan.  Short-term needs can be often met by term insurance and long-term needs such as pension or Social Security replacement can be met by permanent policies or combined strategies in one policy.  Cost, credit quality of the insurer and affordability will be considered.

2) LONG-TERM HEALTH CARE INSURANCE

  • Elder care planning will be addressed for every client planning for retirement as early as age 45.  Types of coverage, insurers and costs will be evaluated.

3) BUSINESS AND ESTATE PLANNING INSURANCE

  • A wide variety of business, disability and estate planning programs are available and will be customized for each client’s optimum situation.


These are considered part of the implementation of your financial plan. Your portfolio is designed in you financial plan along with recommendations. Now it is time to implement the investments and put the money to work for you.
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The calculation used in the planning process can only be as accurate as the information given to the planner. It is expressly understood and agreed between the parties of this Agreement that the Planner will not provide accounting or legal advice nor prepare any accounting or legal documents for the implementation of the Clients financial, business or estate plans. The Client is urged to work closely with the Clients attorney and accountant or tax adviser.

*There is no guarantee that a diversified portfolio will outperform a non-diversified portfolio in any given market environment. No investment strategy, such as asset allocation, can guarantee a profit or protect against loss in periods of declining values.