Frequently Asked Questions
Q: Why should I hire a professional money manager?
A: A full-time money manager should be able to reduce your investment risk while improving performance, net after costs. Full-time professionals generally do better than part-time amateurs in tennis, medicine, golf, law and other specialized fields.
Q: What exactly does a money manager do?
A: A money manager is a professional Investment Advisor who administers and directs your portfolio in the same manner that you would if you had the time, information and experience to do it yourself.
Q: How does IMA know what is right for me?
A: At IMA, we guide you in the development of suitable investment objectives which are compatible with your risk comfort level, then structure an investment portfolio designed to meet those objectives.
Q: When is a good time to start an Asset Allocation Program?
A: There is never a wrong time to start or add new money with a time-tested investment strategy.
Q: Does IMA receive a commission on any of my investments or trading activity?
A: No. IMA is compensated only by our clients and receives no commissions, or any other compensation than our stated management fee. This allows us to act entirely on your behalf without bias. For further information follow this link to "12 Differences Between Stockbrokers and Independent Investment Managers."
Q: Is an Asset Allocation Program appropriate for retirement, pension, profit sharing or other tax exempt plans?
A: Yes. IMA's risk management investment method is consistent with ERISA's mandate that fiduciaries should take steps to reduce the risk of loss from investment.
Q: I have recently changed jobs. Can I roll my 401(k) money from my old company's plan into an account with IMA?
A: Yes. Through a rollover IRA account, IMA can manage your retirement funds.
Q: Do I still receive my statements and confirmations?
A: Yes. You receive all statements and confirmations of trades from the custodian firm where your assets are held. You will also receive Form 1099 tax information from the custodian. In addition, IMA may provide you with quarterly statements including year-end statements which contain investment performance and relevant benchmarks. For samples of IMA statements please follow this link to the Sample Reports Page.
Q: Are my investments held at IMA?
A: No. For your safety and peace of mind, all assets are held in your name at a large third-party institutional custodian, such as Charles Schwab & Company or TD Ameritrade. Any transfer of assets, deposits or withdrawals are handled directly between the custodian and you--we never physically take custody of your assets.
Q: Can I withdraw money from my account at any time?
A: Yes. All funds are held in your name. You can withdraw and make deposits at any time.
Q: Can IMA manage the assets of an existing trust?
A: Yes, absolutely.
Q: Can IMA help me establish a Trust Account for my family?
A: If suitable, we can demonstrate the overall investment and estate planning benefits of various trusts, but since we do not hold ourselves out as attorneys, we cannot draft the trust documents. We could, however, work with your personal attorney to see that it is structured to meet your needs.
Q: How will the billing be handled by IMA?
A: Management fees are based on a current valuation of assets and billed in advance on a quarterly basis. IMA's management fees are deducted directly from your account quarterly and invoiced to you. You dont have to worry about writing checks or other paperwork and you always know what your fee is.
Q: Do I have to fill out a lot of paperwork to transfer my assets?
A: No. If any transfers are required, or requested on your part, we will assist in preparing a simple transfer form. You only need to attach a recent copy of your current account.
Q: How do I open an account?
A: The documentation is surprisingly simple. We both sign an Investment Advisory Agreement and you complete and sign an account application for the custodian. IMA will begin working for you immediately. These items can be obtained by contacting IMA. Please follow this link to the IMA Contact Page.