A Word From Bob, First Quarter 2016 Newsletter :: Wamhoff Financial & Accounting

A Word From Bob, First Quarter 2016 Newsletter

Hopefully everyone remembered someone special to them on Valentine’s Day, otherwise you likely found yourself in a bit of trouble! I hope all of you were able to cherish the day with someone very dear to you. Life can be hectic at times, and it is important to take a step back and reflect on our most important personal relationships.

At Wamhoff Financial Planning & Accounting, we continuously strive to build and maintain our vital relationships with our clients. We try our very best to treat our clients like they are part of our family. We describe our process as the “Wamhoff Way”, which is a driving force behind everything that we do.

Each financial plan that we produce begins with 1diversification, which is important toward our aim of reducing unnecessary risk for our clients. We want to have assets in our clients’ portfolios that are uncorrelated to traditional stock and bond market indices. Most of our clients have heard the analogy, “don’t put all of your eggs in one basket”, our strategy focuses on 1diversification.

Our firm implements a 1diversification strategy by utilizing different asset classes and investment allocations. Spreading financial resources amongst multiple mutual funds with various investment holdings helps our clients invest in an assortment of asset classes within their overall portfolio. The mutual funds and asset managers that we utilize also have differing investment management strategies, such as active or passive portfolio benchmarking procedures.

Alternative investments are strong tools that enhance the 1diversification of our clients’ portfolios. In certain cases, alternative investments have been shown to improve overall portfolio performance because they are hard assets and are not directly impacted by capital markets.

Annuities may be helpful in the financial planning process, but are not suitable for all clients’ personal situations. Some of the benefits that annuities provide are tax deferral and future distributions. The growth in the contract is tax-deferred, which means there are no taxes until distributions are made. Annuities can also be useful in providing clients with a death benefit, which can be beneficial to our clients’ estate planning needs.

Ultimately, we pride ourselves on the fact that our firm has an internal accounting practice, with very talented tax professionals. We differentiate our firm’s capabilities from other financial planning companies by providing tax-related advice seamlessly throughout the financial planning process.

Our office, along with many of our clients and business partners, have been generous by supporting our special cause in Honduras. We continue to see the children progress in their educational acumen, and we are rewarded with their warm smiles. The 3rd annual Honduran Street Party Run will be held on Saturday, March 26th, at the Streets of St. Charles, right by our office. We hope to see you there and appreciate your continued support. Watch for a special email blast on how you can support Bob on his 5K run at this year’s Street Party Run. For more information please contact our office. As always, I would remind you to stay healthy, wealthy, and wise, and certainly . . . stay tuned.


1 Diversification (Asset Allocation) does not guarantee a profit or protect against loss.