7 Reasons Why Professional Investors Are Coming to Pinnacle

A good 99% of Pinnacle’s assets under management come from our private wealth management business. However, we think this percentage is going to decline over time as a new kind of client is discovering Pinnacle Advisory Group. Institutional investors, including professional financial advisors who want to outsource their money management business, along with platform providers — those companies in the business of providing a variety of money managers to other institutional investors — are beginning to knock on our door. The interesting thing about this dynamic is that firms who are primarily in the business of providing investment services often have large and expensive sales forces whose job is to call on platform providers and “sell” the firm’s investment offerings. The Chief Investment Officers of platform providers spend their time trying to deflect the overwhelming amount of sales calls they get from investment companies. If you are in the business of making money by charging fees on assets under management, one of the best way to do it is to get your investment product offered on a platform where the provider essentially sells your services for you (and who often has a large number of investment advisors looking to them to do the due diligence on the investment managers). It’s a good system. Platform providers offer excellent money management firms to investment advisors and investment companies hire a sales force to get their product distributed on as many platforms as possible.

The Case of the Unwanted Inheritor

Last month a grandson of one of our clients called me with the sad news that his grandfather had passed away. I knew his health had been fading over the past year, so while I was sorry to hear it, I wasn’t entirely surprised. It was a difficult conversation, as those things are, and the only comfort to come out of it was the fact that the elderly man had prepared for this day through proper planning. By keeping all of his documents current and in good order, he was able to ensure that his assets would pass to his loved-ones according to his wishes.

Surviving the Death of Your Spouse: Advice from a Financial Planner

On July 29, 2011, my father died in a single car accident, leaving my 73 year old mother — and his children and grandchildren — behind. While my mother has a great network of friends, this is a time of change and transition for her. She must get used to cooking for one, being alone in the house, and managing what used to be done by two (while my father was not all that helpful, he did do some things). Fortunately for her, she was already handling the household affairs, so she has a good understanding of the domestic finances. Not everyone is so lucky.