Discovery ▿ Plan ▾ Implement
5 Key Tenants
We follow fundamental investment strategies built on five key tenets, these help us to maintain an effecient and measurable method for success.
With regular reviews of the investment process we can ensure that clients are working towards their goals and make adjustmenst as needed based on up to date market information.
Fee Only Investing for the Long Term
Joule Financial prides itself on a return to a classical model whereby revenue is derived from a fixed fee for management of money and on occasion, from our comprehensive planning process. We are not fee-based, claiming to provide fee services supplemented by commissionable products but rather fee-only where our interests align with those of our clients and possess zero conflict. Joule financial acts as a fiduciary and has for over 20 years.
Should the prospective client wish to engage Joule Financial in a continued business relationship, it is at this time we will discuss and evaluate the transition of investment accounts within the Joule Financial advisory platform, held with one of our trusted custodial partners. It is at this time that we will begin moving forward with our pre-determined allocation and investment strategies in order to provide the highest probability of meeting a client’s financial goals.
5 Key Tenants
Over the years, investment themes have come and gone while five basic tenets have remained consistent. At Joule Financial, we take these tenets very seriously as they provide the foundation upon which we build and mange our client’s financial assets. We realize that without all five investment variables in place, an individual runs the risk of significantly altering their financial future and missing the goal set forth from the beginning.
Everyone’s risk tolerance is different, and that tolerance dictates the course of their investment strategy. The markets work in cycles, punctuated by significant and unexpected corrections. How much your portfolio participates in those cycles depends in large part on your risk tolerance. At Joule Financial, we strive to assist you in achieving your financial goals by looking to align your allocation with both your needs and your temperament.
One of the most basic, yet ignored, principals of successful investing is properly allocating investments among different asset classes. Asset allocation is commonly mistaken with diversification – but the two are quite different.
Asset allocation is the blend between fixed asset classes (e.g. bonds) and variable asset classes (e.g. stocks and real estate).
The categories of asset allocations are as follows:
Aggressive > Moderately > Balanced > Moderately Conservative > Conservative
With proper diversification or exposure to multiple asset classes, individuals can not only potentially improve results, but they may also reduce portfolio volatility.
At Joule Financial, we implement a rigorous process in selecting variable asset classes and determining what we believe is a prudent exposure to each. This allocation is diversified among variable asset classes like large and small capitalized domestic companies, international and emerging markets, as well as potential exposure to specific areas like gold.
Once the proper diversification is determined, it’s implemented in direct correlation to your agreed asset allocation level, informed by your risk tolerance.
Over time, the asset allocation and diversification of the portfolio will change. At different times, different asset classes will outperform others, so we believe it is important for a portfolio to be rebalanced in order to achieve the desired allocation.
Typically, on an annual basis, or more frequently if needed, Joule Financial rebalances each portfolio by calculating the current allocation and adjusting the exposure accordingly.
Entering into a relationship with an investment advisor should not be taken lightly, and the success of an investment strategy can only be determined after navigating a series of financial market cycles. Immediate success is not always the case. Prudent and disciplined investors can, however, significantly improve results if they remain patient and diligent.
Unfortunately, most advisors don’t have a proper plan in place. While the development of such a plan is crucial, allowing adequate time for this plan to work is also important.
Ready to schedule a meeting?
Meetings are informal and confidential. We are looking for clients who will be partners – building a relationship based on mutual respect. We would like to get to know you just as much as you would like to learn more about us.