Fee-Only firm
We take pride in the fact that we are fee-only firm. As a fee-only firm, our interests are directly aligned with our clients’ best interests- and it is important that our clients and prospective clients understand what this means. As a fee-only firm, we are paid only for the advice we give. We are compensated exclusively by the transparent fee paid to us by you, our client. There is NO sales pitch, NO commissions, NO products sold, and NO receipt of third party payments.
Fiduciary
We are legally bound to put your best interest first, and we take this commitment very seriously.
Independent
Our firm is founded on the principle of independence – independently owned, independent research and most importantly, independent recommendations that are custom tailored to each client.
Completely transparent fees
Many other firms have “soft dollar” arrangements with brokers. This means that they benefit from a portion of your brokerage commissions, and this may create an incentive for them to make more frequent trades in your account. Another common practice among advisors is to collect payments from fund companies as compensation for selling particular funds to clients. These fees are known as “12b-1” or “distribution fees” and are completely invisible to you, the
client. Santa Monica Wealth Management believes opaque payments like this are fundamentally unfair to clients and, as a result, has no such arrangements.
Fees are billed in arrears
Most other advisors bill their clients a quarter in advance. In contrast, we bill clients after we have provided the service.
Objective
Another benefit of using a fee-only firm is we will generally be able to offer you, an objective second opinion of your financial situation and goals.
You Only Pay Management Fee If You’re Account Is Up
If you signed up for our comprehensive wealth management services, we waive our advisory fee anytime your account value falls below the previous month end amount. That makes a big difference in your account’s performance especially in a bear market. On average, bear markets occur once every 3 years for an average of 365 days (one year long).
Tax-sensitive planning
Tax-sensitive planning considers the tax implications of individual, investment, or business decisions, usually with the goal of minimizing tax liability. While decisions are rarely made solely on the basis of tax impact, it’s important to have a working knowledge of the income tax and/or estate tax issues and costs involved. Santa Monica Wealth Management recognizes that taxes matter, and that your true investment return is what you keep after taxes, so we structure and manage your portfolio with an eye toward minimizing taxes. We accomplish this via careful asset allocation, asset location and security selection. In addition, we avoid market timing and excessive trading – practices that both can contribute to higher taxes (as well as errors in forecasting, higher fees and higher commissions).
No Account Minimums
We have a strong belief in the value of financial life planning for everyone, regardless of their age, their level of income, or the value of the assets they have. This may be more true, in fact, for people with fewer assets than for people with a lot of money. That’s why we don’t believe in only accepting clients who have met some minimum account value as many other financial planners do.
Simplicity
We eliminate unnecessary complications and simplify the financial jargon so that you always understand your plan.
Efficient
We use world-class technology to streamline our process – giving you time back to focus on the things that matter most in your life.
Transparent
We believe you should understand how much you are paying and what you are paying for. You’ll never have to wonder how we get paid or what our motivations may be. We take pride in being fully transparent about our business. We don’t sell products and have no hidden agendas.
Value
We are committed to your success as an investor by offering the resources and knowledge of a large firm, coupled with the personalized attention of a small company.
Comprehensive advice We work with you on all aspects of your financial well-being, including: asset management; retirement planning; taxes; estate planning; college education funding; risk management; social security benefits; and planning for special situations.
Investment Strategy
The investment strategy we create for you is rooted in research. Our asset allocation strategy is designed to capture the market’s historically reliable movement. Our approach creates a portfolio intended to maximize growth and stability and minimize risk and emotion for our clients.
Goal-Based Planning
Your financial plan should help you meet your objectives. We build strategies custom-tailored to your goals and needs not selling financial products that generates the most commission.
Custody
TD Ameritrade Institutional is the custodian for Santa Monica Wealth Management. We act as the investment advisor in managing the assets in your account which are held (in custody) by TD Ameritrade Institutional on your behalf. The custodian’s role is to support the relationship between you and Santa Monica by providing research, trading functions, technology, and various other investment operations.
Virtual
Santa Monica Wealth Management is virtual in nature which allows us to work with clients throughout the country. We find that our clients love being able to attend a consult with us in the comfort of their home or office (no commute necessary!). We respect your time and have invested in technologies that allow us to work virtually and collaboratively with you, regardless of location.
