Investment Management

Balancing the Need for Safety and Performance in Line With Your Personal Objectives and Situation

We believe that an optimal investment strategy is imperative for any financial plan. History has proven that interest-generating investments such as cash and bonds have relative stability of principal. However, they provide little opportunity for real long-term growth due to their susceptibility to interest rates and inflation. On the other hand, equity investments have clearly enjoyed significantly higher expected returns historically, but are vulnerable to more severe volatility risk in the markets.

A Balanced Approach

To balance the need for safety and performance, we use several investment platforms to bridge the gap between traditional and alternative investment strategies. They allow us to identify and design the best investment strategy for your situation, as well as address questions such as:

  • Am I taking too much or too little risk with my investments?
  • Are my assets divided into different buckets to address different goals and different time horizons?
  • Are my investments generating unnecessary taxes?
  • Are my accounts being rebalanced so I stay within my risk parameters?

How your personal portfolio is structured depends on a number of variables that we incorporate into your customized design. These include your current stage in the financial life cycle, risk tolerance and investment time horizons. In this way, we are able to manage your money with an equal emphasis on risk management and investment performance.

Customized Approach to Investment Management

Along with personalized financial advice, Velekei Giles Financial Advisors provides a custom investment allocation approach that is tailored to each of our client’s specific objectives and personal needs. Each custom designed portfolio capitalizes on the collective expertise of selected investment managers who have a proven track record in active investment management.

The criteria we use when selecting an appropriate investment manager includes:

  • Manager experience
  • Total assets managed
  • Industry reputation
  • Concentration of holdings
  • Risk management

  • Expense ratio
  • Relative performance
  • Historical volatility
  • Manager specialty
  • Tax efficiency

We also utilize reputable independent custodians, such as Charles Schwab, to help manage our clients’ investment holdings and provide custom reporting on account performance. In addition, we work with and recommend mutual funds, exchange traded funds, annuities, and private money managers, when appropriate, to accommodate the unique needs of each of our clients.  

Diversification 2.0

When planning for retirement, diversification typically references an investment allocation that incorporates various asset classes. However, a truly diversified investment strategy should go one level deeper, taking into consideration the tax treatment of one’s retirement savings. We call this Diversification 2.0.

Traditionally, individuals accrue the bulk of their retirement savings in tax deferred, employer sponsored vehicles like a 401(k), but this one dimensional savings strategy limits one’s flexibility to mitigate tax liability during retirement. Diversification 2.0 involves accumulating investment savings in tax deferred, tax favored, and taxable accounts during our working years. Implementing a customized Diversification 2.0 strategy gives investors the ability to better control this issue by making intentional withdrawals from various retirement accounts with different tax characteristics.

One benefit of this strategy may include the reduction of necessary gross portfolio withdrawals to meet a specified income objective, preserving the longevity of a retiree’s nest egg.

Tax Registrations

Tax Deferred

Sources in Retirement


Sources in Retirement

Tax Favored

Sources in Retirement