Goal Based Investing: Planning for Key Life Events (Series: Personal Finance & Investing Fundamentals 1.0)

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Practical and entertaining education for
attorneys, accountants, business owners
and executives, and investors.
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DISCLAIMER
The material in this webinar is for informational purposes only. It
should not be considered legal, financial or other professional advice.
You should consult with an attorney or other appropriate professional
to determine what may be best for your individual needs. While
Financial Poise™ takes reasonable steps to ensure the information it
publishes is accurate, Financial Poise™ makes no guaranty in this
regard.
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MEET THE FACULTY
Moderator:
Arthur Doglione – Alpha Fiduciary
Panelists:
James Jones – IraeXchange.net
Jonathan Friedland – Sugar Felsenthal Grais & Helsinger
Ron Diamond – Diamond Wealth Strategies
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ABOUT THIS WEBINAR:
Goal Based Investing – Planning for Key
Life Events
There is a redundancy in the title for this episode, for one should invest only with one
or more goals in mind. This goes along with being the ally of the future version of you –
someone you like and hope to admire. This webinar identifies key events and discusses
approaches to husbanding our investment dollars.
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ABOUT THIS SERIES:
Personal Finance & Investing Fundamentals 1.0
This webinar series is intended for the investor who wants to reduce “unknown unknowns” of
investing.
First, a refresher on asset allocation and portfolio theory, i.e., how to array your investments to
produce reliable returns over time and temper potential losses. Then two episodes on the “why?” of
investing – the goals one pursues, such as financing family events, retirement, and the fate of your
assets when you meet your Maker or Makers or fade to black or whatever. Tax and legal and
investment professionals have their uses, but you get more from them when you know what
questions to ask and what information to insist on receiving. The final two episodes turn topical,
taking up special topics, including options and private securities (as well as public securities).
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EPISODES IN THIS SERIES
1/24/19 Episode #1:
Basic Investment Principles 101 - From Asset Allocations to Zero
Coupon Bonds
2/21/19 Episode #2:
Goal Based Investing- Planning for Key Life Events
3/21/19 Episode #3:
The Legal & Tax Aspect of Investing: Asset Protection; Estate
Planning, and Tax Efficiency
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Dates shown are premiere dates.
All webinars will be available
On Demand approximately 4 weeks
after they premiere.

EPISODE #2:
GOAL BASED INVESTING –
PLANNING FOR KEY LIFE EVENTS
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THE RISE OF AUTOMATIC ENROLLMENT
Plan Sponsor Counsel of America annual survey, posted in Ben Steveran,
“Thank Richard Thaler for Your Retirement Savings,” Bloomberg.com (visited July 9, 2018)

SAVE MORE TOMORROW
2017 analysis of plan data by David Blanchett, of Morningstar Investment Management, posted in Ben Steveran, “Thank Richard Thaler for
Your Reirement Savings,” Bloomberg.com (visited July 9, 2018)

INVESTING VS. GOALS-BASED INVESTING
⚫ Is money a tool to improve life?
⚫ Or is life a tool to make money?

INVESTING VS. GOALS-BASED INVESTING (cont'd)
Those questions are important because:
⚫ There is a balance to be struck somewhere between work and life;
⚫ As wealth grows, the marginal utility of additional wealth tends to fall for most
of us;
⚫ Future market returns are not knowable and not within your control;
⚫ Higher returns typically come at greater risk

ORDINARY INVESTOR QUESTIONS
⚫ How can I maximize returns?
⚫ How did this portfolio perform last quarter/year/decade?

GOAL-BASED INVESTOR QUESTIONS
⚫ What’s important to me?
⚫ What will it cost and when?
⚫ How do I maximize the likelihood that I’ll have the money I need
for the things I care about?

S.M.A.R.T. GOALS
⚫ Specific
⚫ Measurable
⚫ Attainable
⚫ Realistic
⚫ Timed

MEETING LIFE GOALS – NOT RETURN NUMBERS
Higher “potential” or “expected” returns are great, but:
⚫ “Expected” returns are not the returns you will “probably” get
⚫ They are merely the median point in a random distribution of
possible return scenarios
⚫ Actual returns could be much better or much worse

THE IMPORTANCE OF RISK
⚫ Future returns are highly uncertain in investing
⚫ Keeping the capital you start with is uncertain when investing
⚫ Higher “expected” returns tend to require taking more risk
⚫ The cost of higher “expected” returns often exceeds the risk of not
meeting goals at all
⚫ “Goals-Based” investing elevates certainty in meeting goals over
higher returns

HOW DOES IT WORK?
First and foremost, think carefully in
identifying goals.

PERSONAL GOALS: FOR THE INVESTOR
⚫ Retirement income (How much? When?)
⚫ Buying a home/paying off a mortgage
⚫ Debt freedom
⚫ Vacation home

GOALS: FOR CHILDREN
⚫ Summer camp
⚫ Education (High School? College? Where? [better also ask
“why?”])
⚫ Permanent care for special needs children
⚫ Weddings/confirmations/Bar Mitzvahs/special events
⚫ Bequests

GOALS: OTHER LIFE EVENTS
Other life events commonly seen as financial goals include:
⚫ New cars (again, better ask “why?” especially if it is a Maserati)
⚫ Upgrades/remodels to home
⚫ Special trips

WHAT RESOURCES?
⚫ Current savings and investments
⚫ Over what number of years? A time to sow, a time to reap.
⚫ Cash flow/ability to save
⚫ What insurance is in place?
⚫ Debt: A problem? How to address it?

ON INSURANCE
⚫ What is in place?
⚫ Life
⚫ Disability
⚫ Long Term Care
⚫ Property and Casualty
⚫ How long? How much? Terms?

ON INVESTMENTS
⚫ Target portfolio allocation
⚫ Test portfolio allocations with savings plan
⚫ Monte Carlo Simulations/Capital Market
Assumptions/Volatility Assumptions
⚫ Consider costs
⚫ Focus on likelihood of goal attainment

IMPLEMENTATION (THERE IS NO “TRY”)
⚫ Apply for insurance
⚫ Open accounts
⚫ Allocate investments
⚫ Implement automatic savings plan
⚫ Review and rebalance periodically

MONITORING AND ADJUSTMENT
⚫ Periodically review performance
⚫ Re-evaluate goals. Have they changed?
⚫ Re-consider cash flow? Can you do more?
⚫ Re-run plan
⚫ Make adjustments
⚫ Savings rate
⚫ Anticipated timeframe
⚫ Portfolio allocation

ABOUT THE FACULTY
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ARTHUR DOGLIONE – arthur@alphafiduciary.com
Arthur is an industry veteran with more than 20 years’ experience working with high-net-worth clients. He has an extensive
background in wealth management with particular expertise in portfolio management. Before establishing Alpha Fiduciary,
Art was a Senior Vice President with Merrill Lynch where, prior to leaving in November 2006, had built his practice to be the
largest of Merrill Lynch’s Arizona territory.
Art founded Alpha Fiduciary in 2006, and has completed two acquisitions. The firm currently serves clients across many
states as a fee-only Registered Investment Advisor (RIA).
As president, Art has assembled a team of experienced, credentialed professionals at Alpha Fiduciary to execute on its
mission of helping clients achieve their optimum financial life. The firm’s approach combines prudent financial planning
with an investment style focused primarily on low-cost “passive” investment solutions. The Investment Committee also seeks
to enhance returns or diversification of its passive portfolio by adding a smaller number of carefully selected actively
managed funds. Alpha Fiduciary has a fiduciary responsibility to its clients, and this means you can be sure we only serve one
master: our clients.
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ARTHUR DOGLIONE – arthur@alphafiduciary.com
In addition, Art has taught a six-week wealth management course at UCLA Extension several times. This coursework was
designed to educate investors by providing a framework whereby business principles are applied to the investment process,
which in turn provides a greater understanding of the key areas of risk and performance that can shape investment returns.
This education is founded in Art’s fiduciary focus and desire to improve the quality of the individual investors investment
decisions.
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JAMES JONES – jamesalfredjones@verizon.net
James A. Jones is the CEO and Founder of the Self-Directed IRA Investment Institute and Vice President of Business
Development for Kingdom Trust Co. Invited to the White House Crowd funding Champions of Change, he is a nationally
recognized Self-Directed IRA speaker, author and educator and Certified IRA Services Professional. Mr. Jones is regularly
featured in the Wall Street Journal’s Market Watch, AccreditedInvestorMarkets.com and InvestorBeat.com, as well as a
regular speaker at Crowd funding Industry Association events and NowStreet Wire Crowd funding Event Series presenting to
industry record attending webinars with Morningstar and Key Partners on truly diversifying retirement plans though
alternative assets in IRA’s and Solo 401K’s.
James A. Jones works directly with IRA holders, as well as Crowd funding portals, Broker Dealers, Hedge Fund Managers,
Tax Attorneys, CPA’s, Registered Investment Advisers, Family Offices and Real Estate firms and associations. He is the
industry’s most published author offering the series “Retire Richer” core set with “Self-Directing Your Retirement”, “Self-
Directed IRA Workbook”, the Industry’s first practical step-by-step guide in the process of investing in self-directed IRA’s,
and “Self-Directed IRA – Prohibited Transactions”. Having spent over 20 years in financial services working for firms such
as Merrill Lynch and Wells Fargo, Mr. Jones has Series 65, 7, 63, insurance and mortgage licenses as well as a graduate
degree in Finance from Harvard University.
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JAMES JONES – jamesalfredjones@verizon.net
James serves on the Board of the Crowd funding Intermediary Regulatory Advocates (CFIRA) and is the Co-
Chair of the Investor Committee, is a Founding Member of the Crowd funding Professional Association and the
Crowd funding Association of America.
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JONATHAN FRIEDLAND – jfriedland@financialpoise.com
Jonathan Friedland is a partner with Sugar Felsenthal Grais & Helsinger. Jonathan P. Friedland is well
recognized as a lawyer’s lawyer. Clients turn to Jonathan with their most challenging restructuring and
business matters. In addition to counseling privately owned businesses in their acquisition and divestiture
transactions, Jonathan is highly regarded for serving as outside general counsel to closely-held companies and
their principals. In addition, he frequently serves as co-counsel to other law firms whose clients are facing
financial distress. Jonathan’s practice is national, regional and local in scope. He is licensed to practice law in
Arizona, Illinois, New Jersey and New York.
Jonathan’s practice includes representing private equity funds and other investors in mergers and acquisitions
activities. Additionally he advises clients about fiduciary duties and helps structure relationships between
shareholders, LLC members and joint venturers. He counsels on succession planning, , employee matters and
a host of other corporate matters. During the course of his representation, Jonathan is frequently engaged in
negotiating loans and equipment leases and general contract issues.
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JONATHAN FRIEDLAND – jfriedland@financialpoise.com
In his extensive restructuring and insolvency work, Jonathan as guided scores of companies through challenging financial
situations, including Chapter 11, assignments for the benefit of creditors and out-of-court workouts. For over two decades, he
has also represented buyers of distressed assets and creditors and creditor committees against distressed business.
Jonathan is a highly regarded author, editor and speaker. He has authored more than 100 published articles in professional
journals. He also has been profiled, interviewed and/or quoted in such publications as Buyouts Magazine, The M&A Journal,
Inside Counsel, LAW360,Business Week.com, The Bankruptcy Strategist, Dow Jones Daily Bankruptcy Review; Dow Jones
LBO Wire, and The Daily Deal.
Jonathan is lead author of Strategic Alternatives for Distressed Businesses, and Commercial Bankruptcy Litigation treatises,
published by West, and the general editor of A Comparison Shopping Guide for 363 Sales, published by the American
Bankruptcy Institute.
Jonathan is also the founder and chairman of DailyDAC, LLC, d/b/a Financial Poise™, an on-line provider of continuing
education, information, and business intelligence for business owners, investors, and their trusted advisors. He is also on
the editorial board of “The Corporate Counselor.”
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RON DIAMOND – ron@diamondwealthstrategies.com
Diamond Wealth Strategies is the most comprehensive, holistic full service boutique advisory firmcatering exclusively to
the many unique needs of 100 Single Family Offices ranging in size from $250 million to $20 billion.
Diamond has a direct investment division that serves as an outsourced alternative assets platform (private equity, venture
capital, real estate) for Family Offices that do not have a dedicated alternative assets team. This enables Family Offices to
make direct investments in alternative assets without the high cost and inflexibility of traditional fund investing. Diamond
has a Wealth Transfer division which reviews estate and gift tax planning objectives in consideration of the Family’s goals
and objectives. In doing so, Diamond identifies strategies that may minimize transfer taxes such as gift, estate, and
generation skipping taxes while meeting the Family’s planning objectives. The planning is typically in response to specific
planning needs which may include transactional planning and structuring, sophisticated inter-generational wealth transfer
considerations, wealth preservation, asset protection and distribution strategies and family gifting strategies.
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Diamond has an investment banking division which provides financial advisory services to middle market companies
throughout the world, including institutional private placements of debt and equity, merger and acquisitions advisory,
financial restructuring & corporate turnarounds, valuations and strategic consulting services all geared around the
unique goals and objectives of Family Offices. Lastly, Diamond has a Philanthropy division The philanthropy division
focuses on governance design that reflect founder and family intent, methods for identifying and engaging trustees,
coaching and leadership training, next gen training and connection to family values, tools and learning agendas for
strategic giving, legacy, capital, and global giving, giving during times of natural disasters and active conflict, and
portfolio evaluation and results driven learning and planning.
Mr. Diamond graduated Magna Cum Laude from Northwestern University with a degree in Economics.Following
graduation, Mr. Diamond worked at Drexel Burnham Lambert working in high yield, investment banking, and money
management. Following Drexel Burnham, Diamond became a Managing Director at Bear Stearns managing over $ 1
billion for high net worth individuals.
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After Bear Stearns, Diamond launched a $250 million hedge fund utilizing his proprietary trading strategy. He
successfully ran the hedge fund for 10 years, beating the S & P index each year, and ultimately sold it to an institutional
investment firm.
Mr. Diamond is a frequent speaker at Family Office/ alternative investment conferences, has published numerous
articles about various aspects of Family Offices and alternative investments, and is in the process of completing a book on
Family Offices.
He also sits on several Boards in both the private sector as well as the not for profit sector.
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QUESTIONS OR COMMENTS?
If you have any questions about this webinar that you did not get to ask during
the live premiere, or if you are watching this webinar On Demand, please do
not hesitate to email us at info@financialpoise.com with any questions or
comments you may have. Please include the name of the webinar in your email
and we will do our best to provide a timely response.
IMPORTANT NOTE: The material in this presentation is for general educational purposes only. It has been prepared primarily
for attorneys and accountants for use in the pursuit of their continuing legal education and continuing professional education.
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ABOUT FINANCIAL POISE
DailyDAC LLC, d/b/a Financial Poise™ provides
continuing education to attorneys, accountants,
business owners and executives, and investors. Its
websites, webinars, and books provide Plain
English, entertaining, explanations about legal,
financial, and other subjects of interest to these
audiences.
Visit us at www.financialpoise.com.
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Goal Based Investing: Planning for Key Life Events (Series: Personal Finance & Investing Fundamentals 1.0)

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