Sanitas Wealth Management provides Financial Planning and Investment Management services on a Fee-Only basis. A financial plan is important to capture your progress towards your financial goals today and to establish a strategy to meet your future goals. However, financial planning should not be a one-time “set it and forget it” exercise. Instead, it should be a perpetually evolving and dynamic process. A point-in-time plan assumes everything stays the same and the future will be exactly as you envision it today. Of course, we know there will be changes due to life events such as marriage, the birth of a child, divorce, voluntary and involuntary career changes, unplanned health changes, caring for parents, government imposed tax and other regulatory changes, financial market ups and downs, and many more.
Investing a portion of your savings to pursue your financial goals likely will be one of the strategy elements of your financial plan. And just as your financial plan should be dynamic to respond to life changes and contingencies, your investment plan will change over time as you move from saving and building your nest egg through your income earning years to living off your portfolio through your retirement years.
Sanitas Wealth Management is ready to help you plan for and invest to pursue your financial goals.
The implementation of your financial plan likely will involve investing some portion of your savings to pursue your defined goals. Your investment portfolio will consider the time horizon of your goals, your ability and willingness to withstand the ups and downs of markets, income needs and tax sensitivity.
In combination with your needs, the investment portfolios recommended by Sanitas Wealth Management are guided by certain investment principles which we believe are critical to long term outcomes:
Markets Are Efficient
When the stock market was in its infancy, information took time to spread and to be incorporated into analyses. It was possible to gain an advantage through research which identified facts that had not yet become widely known. Today that is not the case. Computers parse earnings, press reports, economic data and news and trade on that information immediately. As a result of this information efficiency, it has become difficult to gain a research advantage.
Anything that reduces returns today will have a more significant compounded effect on long-term outcomes. Therefore we believe expense ratios, transaction expenses, and taxes must be minimized where possible. Higher expense ratio products have a significant burden of proof to demonstrate value added management.
Market history is littered with investors who lost all by concentrating wealth in a single stock (see Enron) or sector (most “.coms” in the late 90s). While diversification does not guarantee against investment losses, historically a balanced portfolio of stocks and bonds have mitigated losses through downturns.* The idea of improving investment outcomes through diversification was established in a Nobel prize winning theory called Modern Portfolio Theory and continues to guide portfolio construction today.
Sanitas Wealth Management will work with you to design a portfolio invested with your financial goals in mind, and which will be guided by our investment principles. As life events and your personal circumstances change, your financial plan and your investment strategy will be re-evaluated and will evolve to remain consistent with your needs.
*Asset allocation and diversification do not guarantee against investment losses. Bonds may underperform in a rising rate environment.
In its simplest terms, financial planning is designed to balance income and expenses over your lifetime, plan for the unexpected, while also planning for the disposition of anything left over at the end. Of course our lives are rarely simple, and the financial planning process is designed to fill in and advise on the details in the following areas:
- Cash Flow and Debt Management
- Risk Management
- Tax Planning
- Retirement Planning
- Education Planning
- Estate and Legacy Planning
- Special Needs and Other Goals
- Investment Planning
In our initial meeting, we will establish the scope of our engagement by identifying your areas of concern. Our engagement may be limited to just a few of the areas highlighted above, or it could be to develop a comprehensive plan which prioritizes and systematically addresses all applicable planning concerns.
Content Copyright 2017 by Sanitas Wealth Management, LLC. All Rights Reserved. Sanitas Wealth Management is an Investment Adviser in Colorado.