Step 1 – Establish your investment goals and determine your objectives.
Meet with an RF investment professional to discuss your financial situation, risk tolerance and time horizon. Based on this discussion, or series of discussions, the investment manager will create an Investment Policy Statement (IPS) for you, which establishes the parameters of the account. You will review this document for accuracy and sign off on it as confirmation.
Purpose of an Investment Policy Statement (IPS)
The purpose of the IPS is to articulate your objectives, risk tolerance, liquidity needs, time horizon, unique circumstances, and any other relevant data, and to describe an investment strategy that will incorporate these considerations. The IPS helps you maintain a disciplined investment strategy and avoid spontaneous revisions and/or emotional decisions, to make achieving your financial goals and objectives more likely.
Step 2 – Fund the account and implement an investment strategy.
There are a couple of ways to fund your account once it has been opened: you can simply deposit cash or you can transfer your existing portfolio of securities into it. Once your IMA is funded, your investment manager will begin to construct your personalized investment portfolio based on the guidelines established in your IPS.
Portfolio Creation & Implementation
Knowing your investment options is only half the story. The key lies in finding the right mix of these investments and creating a portfolio in such a way that you maximize the benefits of each. Your IMA team will propose a mix of available investments that correspond to your personal goals, time frame, and risk tolerance – all designed to meet your stated objectives.
Once funded and constructed, our team of investment professionals--led by your investment manager--manages the portfolio, monitors it regularly, and keeps you informed along the way. Any transactions within the account are governed by your IPS.
The Importance of Monitoring
It’s essential to review your portfolio’s asset allocation regularly to ensure that it still fits with what you set out in the IPS. If changes need to be made, your investment team will recommend them. Essentially, a regular review of your IMA includes an examination of:
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All buy, sell, and hold decisions;
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The portfolio’s overall diversification and risk exposure;
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Ongoing security research and analysis to find potential new opportunities;
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Any rebalancing needs
Step 4 – Stay informed with account updates and reviews
Your investment manager provides regular account updates—via email, telephone, and in-person meetings. However, your manager is available any time to discuss portfolio performance and keep you abreast of current market conditions. Additionally, your investment manager will evaluate your IPS at least once every two years or whenever your financial situation changes significantly and will consult with you if any revisions need to be made to it.
Reporting and Communication
In addition to providing personal service, your investment manager will keep you regularly informed on account activity and performance through:
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Confirmations that reflect all account transactions;
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Monthly statements that show your account activity;
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Quarterly performance reports that provide a summary of the markets for the time period and information on investment decisions made on your behalf during the period;
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Online account access to review your portfolio at your convenience;
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A dedicated phone number for direct access to your investment manager.
As your needs change or your feelings about risk change, your portfolio should reflect your new realities.
No client is the same, so why should our solutions be?
What to expect from your IMA:
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Minimum opening balance of $500,000
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Direct access to a professional investment manager who will provide personalized attention and assistance, discuss your specific questions and provide the reasoning behind investment decisions made on your behalf
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An expert investment management team
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Monthly portfolio valuations showing your account activity
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Quarterly portfolio reports that provide a summary of the markets for the past quarter and provide information on investment decisions made on your behalf during that time period
Our Principles when Managing Your Account:
| Do | Don't |
|---|---|
| Make sure we understand the client’s financial objectives and needs for the short, medium, and long term. | Try to time the market to take advantage of short term anomalies. |
| Provide intelligent investment options that are reasonable, understandable, and that conform to the client’s risk tolerance profile. | Trade too frequently or incur unnecessary additional costs. |
| Provide professional service, personal attention, and quality reporting. | Promise more than we can deliver. |
