The firm's primary commitment is to deliver exceptionally thorough and creative investment research.  Over the years, our firm has established a reputation for integrity and results.  We believe our success stems first and foremost from our deeply held values that keep us committed to excellence and integrity in all we do.  Over the years we've built a team of highly skilled professionals who share these values, as well as an intense passion for our profession.  The resulting firm culture is the foundation of our competitive advantage.

 
The benefits of our investment research can be accessed in four different ways:
 
Our culture is at the core of our competitive advantage.  And, integrity and a commitment to excellence are at the core of our culture.  Our decisions are driven by loyalty to our clients and an understanding that long-term success will be enhanced by always putting our clients' interests first.
 
An outgrowth of our value system is our obsession with research and a disciplined investment process. Behind our research effort is a commitment to intellectual honesty and staying within our circle of competency. We believe our clients' long-term interests are best served by making decisions based on careful fundamental research, rather than pursuing what is temporarily popular and might be superficially appealing.
 
Our obsession to get an edge has led us to think outside the box. We strive to be creative in our thinking and this has allowed us to deliver to our clients what we believe are some innovative investment alternatives.  The strategy of focused investing with our in-depth research to select and hire some of the nation's most highly regarded money managers and to purchase some of the best run companies both in the United States and overseas.
 
A commitment to our clients includes a focus on the quality of the relationship. Our clients include wealthy individuals, family groups, corporations and small businesses.  We believe strong client relationships are born out of exceptional efforts by all our team members and must be based on an accurate understanding of each client's needs and objectives. Our Investment Professionals and client service team members strive to make the practice of outstanding service a core value of our business.
 
TABLE OF CONTENTS
  1. Our Investment Management* Process
  2. Investment Research
  3. Client Education
  4. Performance Evaluation
  5. Selection of Portfolio Managers of Mutual Funds
  6. Investment Management* Portfolios
  7. Individual Equity Management*
  8. Hedge Funds and Venture Capital
  9. Educational Services
  10. Seminars & Speaking Engagements

 OUR INVESTMENT MANAGEMENT* PROCESS
 
Our investment process consists of three ongoing phases:
 
PHASE ONE: Understanding The Client's Needs
We establish an Investment Policy for each client. The investment policy incorporates risk considerations, return objectives, cash flow needs, tax issues and other factors specific to the client.  The Investment Policy plays the role of roadmap as we apply our overall investment strategy to each individual client situation.  It is the basis for determining which investment strategy is appropriate for the client.
 
PHASE TWO: Active Investment Management*
All our investment strategies begin with a "neutral asset allocation."  The neutral allocation reflects a sensible static asset allocation for a hypothetical long-term investor who is not actively allocating assets.  Asset classes that could be included in the "neutral" allocation for our basic portfolio strategies include:
  • Investment grade bonds
  • Large-cap U.S. stocks
  • Small-cap U.S. stocks
  • Foreign stocks
 
We shift away from the neutral allocation only when there are "fat pitch" opportunities.  This usually happens when fear or greed drives prices of certain asset classes to unjustified extremes.  At the margin, asset allocation may also be influenced by long-term trends that we are highly confident will have a major impact on the upcoming investment climate.
 
We use scenario analysis to aid us in managing each portfolio's risk exposure. This involves testing the impact on the portfolio of various economic and market scenarios.  If necessary this may result in adjustments to the asset allocation.
 
Throughout our research process we take advantage of our global information network. Our position in the investment industry as a highly respected investment management* firm gives us access to investors we respect at other investment firms and mutual fund companies around the world.  The ability to tap into their knowledge base and benefit from their research is, we believe, an important part of our competitive advantage.
 
PHASE THREE:  Research on Specific Investments
Our portfolios are invested according to our client's goals and objectives. We conduct in-depth due diligence on mutual funds, stocks, ETFs, closed-end funds, etc.  Unlike other due diligence providers our process is not driven primarily by performance history.  We have found that historical performance is not a good predictor of future performance. Therefore we focus on often-overlooked qualitative factors in addition to quantitative screens.
 
Our due diligence efforts on investments involve several steps intended to help us identify investments with an identifiable and sustainable edge:
  • We analyze the track record relative to an appropriate benchmark.  We consider factors that contributed to the record and whether or not they are repeatable.
  • We spend considerable time getting to know the manager's investment process with an emphasis on assessing the level of discipline.  We prefer stock pickers who make decisions based on a consistently applied discipline as opposed to relying heavily on intuition.
  • Our due diligence process includes in-depth interviews with members of the investment team and frequently includes a site visit.  Our objective is to:
    • Identify consistency across team members in their description of the investment approach
    • Look for characteristics we believe are common to great stock pickers
    • Assess management's long-term business model and whether it is aligned with shareholders-their management of growth is of particular interest
    • Assess the culture and investment team dynamics so we can form an opinion on the probability of the team staying largely intact
 
We favor managers who exhibit specific characteristics.  These include:
  • A clear passion for the business
  • An obsession for gaining an edge
  • A focus on stock picking with limited non-investment responsibilities
  • A high level of conviction and the ability to think independently


Back to Table of Contents

INVESTMENT RESEARCH
 
 
 
FPC performs extensive research as to how to structure investment portfolios.  Emphasis is placed on striving to develop portfolios that have historically achieved high returns, but with lower than normal risk.  FPC’s sources of academic and institutional research include:
 
 
  • The University of Chicago*
  • Stanford University*
  • Investment Management Consultants Association*
  • Various Investment Organizations*
*The above companies/institutions are not affiliated with Raymond James
 
 
Sources of Current and Historic Worldwide Financial Market and Economic Data include:
 
 
  • Investment Newsletters, Newspapers, Periodicals, Research Publications and Professional Journals.
  • Portfolio Managers
 
 

 


CLIENT EDUCATION
 
Education is very important to us.  FPC is dedicated to educating each client about the different investment portfolio types and how they relate to market volatility, time horizons, and investment returns.  It is our goal to ensure that the client understands and agrees with our investment philosophy.  Furthermore, we assist each client in selecting a risk tolerance level with which they are comfortable.  Ultimately, an investment portfolio is designed to meet the client’s objectives.
 
 
 
 

 

PERFORMANCE EVALUATION
 
Investment management clients may receive quarterly performance reports upon their request, which specifically state beginning balance, the ending balance, contributions, withdrawals, realized and unrealized gains, interest, dividends, management fees, total gain after fees and the percentage return during that timeframe.  We may also compare these returns to various indexes, depending upon the type of investment strategy.  While providing detailed information, these performance reports are easy to read and understand.
 
 
 
 



SELECTION OF PORTFOLIO MANAGERS
 
At FPC, portfolio managers are selected first, then the investment vehicle.  By constantly researching and identifying both the strong and weak characteristics of portfolio managers and their investment process, we are assured that our clients are receiving high quality management talent.  Portfolio managers that we recommend are screened utilizing detailed questionnaires and one-on-one interviews, followed by periodic conference calls.
 
 
 
 


INVESTMENT MANAGEMENT* PORTFOLIOS
 
Conservative Portfolios:
Our Lower Volatility Portfolios consist of a number of different investment portfolios each designed to meet a specific client need.  These portfolios are designed for those investors seeking steady returns, with significantly less volatility than the overall market.  To help meet this objective, portfolio simulation and quantitative analysis are used to screen potential investment opportunities.  These portfolios are designed for investors who are uncomfortable with short-term risk and value short-term capital preservation over higher long-term returns. 
 
Balanced Portfolios:
FPC believes that value in the various investment markets is the long-term determinant of asset prices and recognizes that misvaluations occur regularly, providing opportunity to potentially enhance performance by active management.   FPC blends different types of investments having various capitalization sizes (large and small) and investment styles (value and growth) within each asset class.  FPC also determines, through the analysis of current and historic worldwide financial market and economic data, which asset classes and investment styles are under-valued, fairly-valued, and over-valued.  FPC attempts to capitalize on these misvaluations by weighting higher percentages of the client’s portfolio to the investments that offer the greatest value.
 
Part of our balanced investment philosophy is to provide broad diversification by using a variety of different asset classes with low correlations to each other.  Low correlations of return between asset classes and investment styles help to mitigate performance volatility, which is designed to decrease risk while perhaps increasing return.  The major asset classes that could be used in our Balanced Portfolios include:
 
  • Short-Term Domestic Debt (Fixed Income - maturities of 4 years or less)
  • Long-Term Domestic Debt (Fixed Income - maturities of 4 years or more)
  • Long-Term International Debt (Fixed Income - maturities of 4 years or more)
  • Domestic Equities
  • International Equities
  • Real Estate Equities
  • Other Non-Correlated investments (Energy Securities, Precious Metals, Mergers and Acquisitions Arbitrage, Hedges, Venture Capital, etc.)

These portfolios are designed for investors who want to participate in the equity markets, and are somewhat concerned with short-term risk.  Diversification and asset allocation does not assure a profit or protect against a loss.

 
Growth Portfolios:
FPC's Growth Portfolios focus on companies operating in a wide range of industries that exhibit strong fundamentals and a favorable revenue or earnings growth outlook.  These portfolios are tactically managed and, as a rule, are fully invested global stock portfolios.  Consequently, the ups and downs of the portfolio's returns will be as wide as the equity market.  Along with higher risk, we expect higher long-term returns.  These portfolios are designed for investors with a long time horizon and no concerns about short-term risk.
 
 

 

INDIVIDUAL EQUITY MANAGEMENT*
 
FPC has created a number of individual equity portfolios based upon different investment approaches.  The portfolios are managed on a discretionary basis.  Clients do not have the opportunity to provide input on each individual purchase, but are able to discuss with an FPC advisor the overall approach of the portfolio.  The portfolios are as follows:
 
Multi-Strategy Portfolio:
This portfolio is designed to invest in a combination of predominately large, medium and small size domestic equities, which incorporate value, growth-at-a-reasonable-price and growth stocks.  Stocks are selected based upon a number of factors, including positive earnings surprises, as well as positive earnings estimate announcements and estimated earnings increases over the next one to two years.  Stocks are selected so that the earnings growth estimate is greater than the current Price-to-Earnings ratio (PE) and/or the Price-to-Cash Flow ratio (PC).  In order to minimize risk, there are approximately 30-40 positions in the portfolio that are initially equally-weighted.  Typically, each position, over time, ranges from 2% to 5% of the overall portfolio.  Taxable portfolios are tax-managed where possible.
 
Tax-Managed Large-Cap Equity Management Portfolio:
This portfolio is a conservative, low-risk value-oriented approach to investing in high-quality U.S. companies.  The portfolios are fully invested and well-diversified across industry sectors.  The goal is to identify and buy high-quality, attractively priced investments while adhering to a rigorous, disciplined investment process that is designed to provide superior risk/reward performance.  There are approximately 30-40 positions in the portfolio.
 
Tax Managed Mid-Cap Equity Management Portfolio:
This portfolio is an attractive alternative to small-cap equities.  The focus is to invest in high-quality U.S. companies with a market cap generally between $1 billion to $10 billion.  The portfolios are fully invested and well-diversified across industry sectors.  The goal is to identify and buy high-quality, attractively priced investments while adhering to a rigorous, disciplined investment process that is designed to provide superior risk/reward performance.  There are approximately 50-60 positions in the portfolio.
 
 
 
 
 
HEDGE FUNDS AND VENTURE CAPITAL
 
Through Raymond James Financial Services, we offer suitable clients access to more sophisticated investment alternatives, such as hedge funds and venture capital.  These alternative investment strategies, including venture capital, are yet another way FPC offers customized investment solutions that can add value to suitable client portfolios.
 
 
 
 
 
EDUCATIONAL SERVICES
 
FPC provides a number of different financial education workshops that vary in length and content.  Most can be tailored to the group being addressed.  FPC also offers Financial Planning Newsletters that are available on a quarterly basis.  E-mail newsletters for financial planning as well as investing are available monthly.  The workshops available are as follows:
 
 
Basic Investing:
This workshop provides a historical overview of the investment markets, completion of a risk tolerance questionnaire by each individual, and instruction as to how each individual can build an investment portfolio that works towards their financial goals.  FPC does not provide specific investment advice to individuals under this service.
 
Financial Planning:
FPC’s financial planning workshop covers most, if not all, of an individual’s financial planning needs.  The subject areas covered are as follows:
 
  • Basic finance issues – saving, emergency reserve funds, debt management
  • Insurance – homeowners, automobile, personal umbrella liability, disability, medical, health, long-term care, life insurance
  • Education funding
  • Retirement planning
  • Estate planning
  • Investing
 
Retirement Planning:
This workshop is designed for those individuals who desire to plan for retirement.  The workshop addresses the client’s need to accumulate funds for retirement, the tax laws associated with saving for retirement, how much they need, the potential sources of retirement income, the expenses they will incur, the taxation of retirement benefits when they are distributed from retirement plans, pre-59½ and post-70½ distribution penalty taxes and how to avoid them.  Additionally, the workshop covers the need for insurance, such as long-term care and Medicare supplement policies during retirement.  Finally, the workshop addresses investing issues during retirement.
 
Retirement Plan Investment Education:
This workshop is designed to educate and help people understand how to maximize their 401(k) and other financial investments.  Our goal is to provide the knowledge and tools needed to make informed financial decisions.  Because FPC is an independent provider of 401(k) advice and has no obligation to mutual fund companies, insurance companies or banks, we are a great source of objective information.  This comprehensive workshop is suitable for all Retirement Plan participants.  It details the components of their 401(k) plan - the investment options, contribution limits and loan features.  Then it addresses diversification and proper asset allocation.  This workshop also may address Traditional and Roth IRA issues.
 
Retirement Plan Distribution Planning:
This workshop is designed for individuals who are retired or are within ten years of retirement.  It discusses the rules for distributions from IRAs, Roth IRAs and other retirement plans.  The workshop reviews income taxation, penalties, and how to avoid them.  A comprehensive discussion of IRA rollovers, IRA transfers, Roth IRA conversions, in-service distributions, and plan borrowing laws will also be presented.  The workshop will cover beneficiary issues as how to mitigate income taxation to heirs and how to set up heirs for their own retirements.
 
 
 
 
SEMINARS & SPEAKING ENGAGEMENTS
 
Custom Corporate/HR Services:
Today, many employees do not fully understand their retirement plan and other benefits offered by their employers. While employers are spending a lot of money on administrative expenses, contributions, etc., they are not receiving the full benefit in terms of employee loyalty that they should.
 
Moreover, in today's litigious society, by educating your employees about their retirement and other benefits you can minimize your fiduciary liability by complying with ERISA rule 404 (c).
 
We can work with you to help meet the ERISA requirements for reducing fiduciary liability by assisting with the development and updating of investment policy statements, reviewing investment managers and investment choices and assisting in retirement plan design and implementation. All programs and services are customized to your specific needs.
 
We can work with all types and sizes of organizations ranging from just a few employees locally to thousands of employees worldwide. Our presentations will open your employees' eyes to important issues in the workplace and at home, and will motivate and challenge employees to reach goals they've never achieved before and help them feel good about themselves and their company.
 
Financial Planning Consultants, Inc. can design a program for your employees to review your current 401(k) plan and other benefits offered by your company either as a single presentation or as part of an ongoing educational program. We can also work with pre-retirees to discuss their retirement options and help them with their retirement planning.
 
This can be arranged on a group basis, or on a one-on-one consultative basis. We are not selling any products or services, but merely educating your employees about the plan you have in place and what their options are. Individualized retirement savings needs and retirement cash-flow analysis can also be provided.
 
Corporate education programs can be customized to meet your specific goals and budget. In addition, this will allow your human resources people to concentrate on their day-to-day activities doing what they do best. If you do not have a dedicated human resources department, we can serve in that capacity for you.
 
 
Services that we have provided include, but are not limited to:
 
Seminars and Work Shops:
  • What benefits is your company providing and what do they do for you (one-time seminar)
  • Understanding your 401(k) plan and the investments offered (given both on a one-time basis and on an ongoing basis)
  • Seminar on understanding retirement savings needs plus individual consultations and written retirement savings needs analysis for all participants
  • What are your rollover options and how much will you need to live in retirement - a review of pension, 401(k) and social security
  • Pre-age 59 1/2 IRA distributions
  • Health and disability insurance - what is the company doing for you
  • Deferred compensation and split dollar arrangements for key executives
 
Services:
  • Design and write investment policy statements
  • Provide individualized retirement plan consulting with current employees and executives including retirement cash-flow, savings needs and asset protection analysis
  • Annual review of existing retirement plan and investment performance
  • Selection and monitoring of investment plan managers
  • Retirement plan design and implementation
  • Assist in establishing 401(k), SIMPLEs, SEPs, Profit Sharing and other qualified plans
  • Design and implementation of non-qualified plans and deferred compensation
  • Review of buy-sell agreement funding and insurance (disability & life)
  • Design group life, health, long-term care and disability programs
 
There is no cost or obligation to meet and discuss what your needs are and how we may be able to help you and your company.
 
Private Seminars - Speakers Bureau:
Mark Dahlenburg, Registered Principal, is personally available to speak on many of today's economic, financial and savings topics.  We also have access to some of the most innovative, engaging and recognized speakers in order to provide the perfect speaker for your group, club or function with a presentation customized for your needs.
 
Our speakers will entertain, educate, and relate to your group. There is no cost or obligation to contact Mark Dahlenburg for more information on how we can help provide a speaker and to discuss what your group's specific interests and goals are. We commit our professional service and support to producing more inspiring, educational and entertaining events - with less time and effort for you.
 
We can also arrange accredited continuing education seminars for many groups and organizations including - Insurance CE credit, CFP® credit, CLE credits and CPE credit for CPA®'s with advance notice.
 
 
Some examples of topics we have presented include, but are not limited to:

    Estate Planning

  • Basics of Estate Planning
  • Estate Planning - Wills, Trusts, and Probate - What Does It All Mean
  • The 10 Most Common Estate Planning Pitfalls 
  • Creating A Best of Class Estate Plan and The 5 Reasons Why Most Existing Plans Do Not Work
  • Saving for Your College Education - Section 529 Plans and Beyond
  • Review of Important Business and Estate Planning Concepts

    Personal Investing

  • Women and Investing
  • Stock Market Update
  • Investment Policy: Considerations in Setting Objectives to Risk Controls
  • Evaluating Retirement Accumulation Needs 
  • Saving for Your College Education - Section 529 Plans and Beyond
  • How To Design Investment Policy Statements (IPS)
  • Asset Allocation Strategies for the Long Haul 
  • How to Make Your Retirement Income Last as Long as You Do 
  • Points to Keep in Mind when Selecting Your Asset Allocation Strategy 
  • What Issues to Consider When Deciding How to Invest Your Money
  • Successful Long-Term Investment Strategies
  • What Does It Take to Succeed in the Financial Markets
  • Preparing to Invest Wisely

    Wealth Management

  • Wealth Transfers and Asset Protection Strategies
  • Protecting Assets From Long Term Care Costs
  • Creative Wealth Strategies - Doing Well While Doing Good
  • Charitable Trusts and Charitable Giving  
  • Saving for Your College Education - Section 529 Plans and Beyond
  • Review of Important Business and Estate Planning Concepts
  • Wealth Building through Investment & Tax Planning Strategies
  • Six Critical Steps to Managing Wealth

    Retirement Planning

  • Retirement Planning 101
  • Retirement Plans for Small Businesses 
  • Developing An All Weather Portfolio for Your Retirement Funds
  • Evaluating Retirement Accumulation Needs
  • Building A Foundation for A Successful Retirement
  • Retirement Income: Perception vs. Reality
  • How to Make Your Retirement Income Last as Long as You Do
  • Calculating the Cost of Retirement and Estimating Your Retirement Income Need
  • What to Do if You Retire Early
  • Which Retirement Plan Distribution Method will Best Match Your Retirement Income Needs 
  • Who Should Be the Beneficiary of Your Retirement and IRA Plans - Understanding the Required Minimum Distribution Rules

    Small Business Owner

  • Business Continuation Planning: The Buy/Sell Agreement
  • Choosing a Business Entity
  • Retirement Plans for Small Businesses
  • Review of Important Business and Estate Planning Concepts 
  • Why is a Business Valuation Important

    Financial Planning Topics

  • Developing An All Weather Portfolio for Your Retirement Funds
  • Saving for Your College Education - Section 529 Plans and Beyond
  • It's Now Time To Think About Income Tax Savings Strategies - 10 Strategies to Reduce Income Taxes
  • Your Unbiased Guide to Life Insurance
  • The Seven Circles of Financial Planning 
  • The Impact Inflation has on Your Income
  • IRAs/Roth IRAs/IRA-Rollover Accounts
  • How To Pick A Financial Advisor
 
We match the needs of your program with the special capabilities of our professional speakers by searching through our networks, locally, nationally and worldwide.
 
 
 

 

 
Please review any offering materials or the prospectus carefully, and consult with your tax advisor or accountant prior to investing.  Alternative investments involve specific risks that may be greater than those associate with traditional investments and may be offered only to clients who meet specific suitability requirements, including minimum net worth thests.  You should consider the special risks with alternative investments including limited liquidity, tax considerations, incentive fee structures, potentially speculative investment strategie, and different regulatory and reporting requirements.  You should only invest in hedge funds, manged futures or other similar strategies if you do not require a liquid investment and can bear the risk of substantial losses.  There can be no assurance that any investment will meet its perforance objectives or that substantial losses will be avoided.