The Wealth Advocate Blog - Roy Innella

Friday Folio from Redhawk Wealth Advisors

2012-01-20T08:38:00.000-08:00

Friday Folio

Below is a regular Friday email that we publish for those who are tracking our investment portfolios and want to know the "Signals" that are influencing investment decisions.

Equity Market Outlook from Bob Doll of Blackrock

“Three months ago, stocks were pricing in about a 50% chance of a US recession and it looked increasingly likely that the European debt crisis would escalate into an Armageddon scenario. Today, while we would hardly say that the United States is poised to enter boom conditions or that the eurozone crisis has been solved, these risks have clearly receded, which has helped stocks to regain some footing. Our base case outlook is that these improving trends will continue along an uneven path, suggesting that stocks are poised for additional outperformance in the months ahead.

As was the case for the latter half of 2011, the key wildcard for global stocks remains the extent to which progress can be made in terms of resolving the European debt crisis. Over the closing months of last year, there did appear to be a change in tone among Europe's policymakers and elected officials as they moved from a sort of complacency into taking more forceful action. The difficult decisions that need to be made combined with a contentious political backdrop in Europe do mean that progress will be slow and uneven, but we do expect it will continue.

Over the near term, we expect volatility levels will remain high given that we will likely see a "two steps forward, one step back" theme in both the eurozone debt crisis and in US economic growth. Nevertheless, we also expect that conditions should improve enough that investors will be willing to move back into risk assets. That trend, combined with attractive valuations and still-decent earnings growth, should set the stage for equity market outperformance.

Equity Views

Our main investing theme as we enter 2012 is a focus on free cash flow generation, particularly those companies that have the cash flow needed to increase their dividends. These types of companies can be found across capitalizations, styles and sectors.

From a geographic perspective, we continue to believe that the United States is better positioned than other developed markets. Regarding emerging markets, we may see a turnaround at some point in 2012, but we believe it is too early to make that call.”

For a personal evaluation of your porfolio visit my investment website:

You can plug in you own parameters for investing and get daily updates.

Surging Ahead in 2012

2012-01-02T11:38:00.000-08:00

What's New for 2012

As the last quarter of 2011 approached I tried to think of how I could do what I like, as well as serve others going forward in my financial practice. I did some research looking for services that could reinforce the trusted advisor relationship that I worked so hard to relate to my clients and build with new ones. With the help of some peer group advisors with whom I am associated, we came up with a three legged approach for 2012. Below are summaries of the three additional services I am working on going forward in my financial practice.

First I would like to announce the official launch of "American ID Theft Protection LLC." In researching the most needed protection for people in the information era we are living is Identity Theft. It was even higher than illegal drug crimes! This especially applies to companies and their employees. Last year their were over 12 million victims of identity theft.

Business owners have no idea of their exposure and liability when it comes to identity theft of their businesses and that of their clients and their employees. It takes the average victim of ID theft over 5000 hours to correct a problem like this. A group of fellow financial advisors in other areas of the country and myself have put together a plan to be used by businesses and individuals in order to protect themselves with confidence that their identity will not be compromised. This process is being used by another advisor in the Chicago area with 100% success in protecting his clients assets and personal records.

I will soon be launching a separate website for American ID Theft Protection LLC at americanidtheftprotection.com. There will be a wealth of information about why you should protect yourself in a preventative mode as opposed to trying to fix things after you have been compromised. Our new phone number is 610-743-8308 and email address is roy@AmericanIDTheft.com.

Secondly, if you have a business with employees and you occasionally need some cash infusion into your business without the headache of going to your bank, I can help your company. We did a small poll of businesses around the country and found that most of them were using their own valuable resources to fund human resource processes and payroll. Now you may say; "Why shouldn't a company fund their own payroll"? Well if you don't have to why should you if you could use those funds to get discounts from suppliers or use the cash for things to improve your company cash flow. I am just beginning this venture and have gotten a great response from business owners to whom I have spoken. There are a basket of invaluable HR services that come along with this as well. If you would like to know more on how the venture can help your company give me a call at 610-695-8748.

As a third leg to my new services stool, I am servicing federal employees with their benefits and working with them to plan their retirement strategy. I have been federally trained and certified by The Talons Group an endorsed provider of federal retirement benefit planning by many of the federal agency organizations. I have been working with postmasters especially since there have been much consternation in that organization. These benefit scenarios can be quite confusing for the faint of heart so if you are a federal employee or know someone who is, you can pass my name along to them and I will be happy to help them. I have more on my website at talonscoach.com.

I am sure that these additional services to my financial practice will be of great benefit to people who want to protect their identity, or fund their business with some fresh cash or to the federal employees who need guidance from the confusion of the federal maze of benefits. I know that 2012 will be a great year for all of us as long as we keep a positive approach to the year ahead.

If you have any questions about Identity Theft and how to preventively help yourself to be protected or any of the topics mentioned above don't hesitate to call me or send me an email.

Have a great and prosperous and healthy new year!

Roy Innella

Am I beyond an investment plan?

2011-11-14T11:18:00.001-08:00

Many clients ask me if they are too old or too broke to make a prudent investment plan. Since I coach my clients to do what is best by using a holistic approach my answer is that it is never too late to create a retirement strategy. Advisors have a tendency to over complicate what needs to be done and how it works in order to impress their clients, making them think that the advisor is really smart. I believe the client should understand what they are investing in and believe it will work to fit their needs.

No one can plan a better retirement than the client themselves with the help of a properly trained and properly positioned coach. The definition of coach itself is helping an individual by guiding them through a process. The process of learning how to make your money work for you can make the experience much more rewarding and less stressful. In the world of financial coaches I believe that should go one step further and they should also be an advocate for their clients wealth. The definition of advocate is some one who acts or intercedes on behalf of another. Someone giving support.

In the spirit of giving support my firm practices as an Investment Advisor Representative; someone who has a fiduciary responsibility for the client, putting the client first in all matters. For a short video on this topic you can visit my website to help clarify the difference between what I do and a broker who sells stocks, bonds and mutual funds.

For those who want a different approach to their investing options I use a co-advisor. They have much more knowledge on investing and have been doing it a lot longer than me. For a quick explanation on how they differ from your ordinary third party money manager you can go to my personalized website by clicking here.

Communication is also a key to great coaching and I communicate with all clients on a daily basis. The investor needs support especially when we are going through the ups and downs of the market we've experienced recently.

Are you Correlated?

2011-10-04T10:27:00.000-07:00

What is correlation when it comes to investing?

Different asset classes in the market sometimes move in opposite directions called negative correlation. This can protect investors. Well diversified portfolios are allocated so that their asset classes move in a NEGATIVE correlation. Because of the negative correlation portfolios that are properly allocated are not as volatile and will capture gains when markets recover. The reason is that markets that are down are being hedged by markets that are up. Volatility is not good for a portfolio because it is possible that you could lose ground and not recover from those losses. The strategy is to soften the fluctuations to the overall portfolio by negatively correlating.

It sure isn't comfortable while the markets are fluctuating but historically they will consistently move in a positive direction over a 20 year time period.

Is your portfolio negatively correlated?

There are basic asset classes that all balanced portfolios must have in order to reduce this volatility. Most of my clients are coached to know how this works so that they understand how their portfolios are performing.

If you would like to know how your portfolio is diversified and correlated we have some sophisticated software that we can plug your portfolio list into that will give us a report on your investments. Give me a call if you are interested in evaluating yours, a second opinion never hurts. My office number is 610-695-8748 or email me at roy@yourwealthadvocate.com.

How do we plan or live through our retirement when the market goes volatile?

2011-09-13T06:55:00.000-07:00

Creating Sanity from Chaos

Taking a holistic view from 25000 feet up on our lives is the mantra to follow if you want to remain in a sane state throughout your retirement and pre-retirement years. We mustn't worry about outside influences that don't affect our reality in these matters. Like watching CNBC everyday and seeing all of the buzz in the markets, whether up or down in the long haul it probably won't affect us.

One way to protect our nest egg from direct market exposure would be to use methods of investment that pay us no matter what the market does, even if it is a lower return it can be better in the long run. We often forget that not losing money when the markets drop can be a considerable help when we are in the mode of drawing down on the portfolio. I often show clients the math of average returns that will prove that just because an investment boasts a 25% average return the net result could be zero gain. It is often an eye opening experience for the client.

A vehicle that is regaining popularity is permanent life insurance. It provides consistent positive returns into your account while protecting your family from unforeseen circumstances. You can borrow from yourself instead of from the bank and add to your own wealth. This concept has been around for many years and used by the wealthy to provide a guarantee in order to transfer wealth to future generations while being able to access the money for lifetime use. Because of the gained popularity insurance providers have introduced new products which enhance the returns by taking advantage of a limited upside of the market while still protecting them from the downside.

In our office we use these vehicles on a regular basis with clients who aren't interested in market exposure yet need inflation protection and the ability to borrow from their own nest egg. If you want to learn more contact me at 610-695-8748 or email me at roy@yourwealthadvocate.com.

Alternative Market Options

Some of my clients who wish to utilize the market but want some downside protection have asked me to research the market for a money manager who has this philosophy. Well I am proud to say that I have found exactly such a manager. This company researches the market globally 24 hours a day 7 days a week and from this research receives a signal for each of the asset types and sectors and will either invest or go to cash in each segment. This process is quite complex for them however the client can rest assured that they are out of the market during downward trends and back in when the markets are rising. It is not a perfect process however it has a higher success rate that the "buy and hold" strategy that is often used by money managers.

If you are interested in protecting your portfolio we can develop a special customized process for you. Please call me or email me if you want more information or schedule a meeting.

Personal Cash Flow Maximizer

2011-08-02T11:50:00.000-07:00

It is possible to grow wealthy during bad economic times, when you follow a blueprint.

Have you ever felt frustrated seeing your money disappear in the market?

Are you concerned that you don't know where to put your money to keep it safe?

Are you worried about making ends meet with the high cost of living; kids' homes, credit cards and taxes.

I am giving away 25 copies of a book that will change the way you think about the items mentioned above. The book is entitled "Save Money Millionaire". However the book itself can never give you a personalized plan to help you achieve your goals.

For that it takes a more personal approach. That's why I've been trained as a Safe Money Millionaire Advisor to create a unique BLUEPRINT_.. just for you so you can get on the path to becoming a Safe Money Millionaire.

In this no obligation blueprint I could help you discover;

How to find - on average $312.00 per month you are currently wasting( It's like giving yourself a $3744 per year raise without working any extra hours.)

A proven blueprint to show you how to create an income you can not live. ( Imagine knowing you have an income for the rest of your life!)

3 ways to protect yourself from the ravages of tax increases! (This powerful strategy is the difference between growing YOUR wealth...or funding Uncle Sam's spending spree)

"The Power Down Plan": How to payoff all our debt in 9 years or less. ( Imagine that wonderful day when you own everything free and clear..-including your mortgage)

The 117 year old 'secret' life insurance and safe money financial tools that allow you to keep your money safely and out of the market...while growing EVERY YEAR guaranteed.

WARNING: What you are going to discover is NOT what Wall Street and traditional guru's preach...so be ready for a totally different approach!

If you're fed up with the roller coaster and want a safe way to grow your wealth... this may be a good option for you. (It's not for everyone. If it's not for you, I'll won't waste your time or mine, I'll just let you know and we'll part friends.)

Remember, there's no obligation. I'll be happy to answer your questions and give you a blueprint that could help you solve the biggest concerns and issues in your life today. I think you'll find it extremely exciting and liberating to see there is some light at the end of the financial tunnel!

Please give me a call at 610-695-8748 and we can create a Personalized Blueprint just for you and your family.

Does Your Company Sponsor your 401K

2011-07-19T11:41:00.000-07:00

New Compliance Standards on the Horizon for 401K sponsors.

When I talk to 401K sponsors (employers) the questions below are questions I ask them.

What are your top 3 ideal outcomes for this plan? What?s the Plan supposed to DO?

What do you like/dislike/would you change about your current plan? What kind of complaints do you get from
participants?

Who are all the decision makers on the plan?

How much personal liability would you like to delegate for the following plan components?

Investment selection
Investment Policy Statement Development & Compliance
Investment Monitoring, Trading Discretion, Reporting
Participant Education: Ongoing material in compliance with 404(c)
Record Keeping: Daily Valuation, Web Access, Payroll Integration
Administration, Compliance Testing, Form Preparation

Who is the designated (3)(38) Investment Fiduciary (in writing) on your plan? If ?none?, was that decision reached: by design or default?

What are the total fees [explicit and implicit] for the primary components of your plan?

Investments
Advice
RK
Admin
Trust
Custody

How important is it to have your fee percentages reducing as plan assets increase?

If you find any of these questions making you uncomfortable as a plan sponsor, they should. If you want to find out more on how to make your plan compliant and reducing your liability give me a call at 610-695-8748. We can discuss how to make your plan and your conscience more safe.

Save Money and Use it to buy "things" at the same time.

2011-06-24T07:34:00.000-07:00

Save for Retirement and have fun at the same time!

Have you ever been concerned about saving money after you just made a big purchase? Often people worry about things like this. It is a form of what is called buyers remorse. Well the wealthy have figured a way out of this phenomenon and they have been using it to finance their way to further wealth for centuries.

There is a technique that I often coach my clients through I call "spending your way to wealth" this method actually allows the participant to buy things and save money at the same time while utilizing one of the principles of prosperity that is using one dollar for multiple purposes. You could use the same money to finance a new or used car, downpayment for a home, or anything you could imagine.

I have posted a video on the website http://royinnella.com which explains how it works. Do yourself a favor and look at it and then call me to discuss how it may help you fund things like paying back home equity loans, buy a new car, finance a child's education r anything you can imagine while at the same time building wealth and protecting your family from financial disaster.

Getting Protection While Building Wealth

2011-05-06T17:46:00.000-07:00

Do you know anyone that enjoys risk taking? Of course you do.

This is what they like: The excitement of the win and the tension of not knowing where your next profit making opportunity will come. The thrill of exorbitant returns. And of course telling all of their friends how well they did on the investment. And how many of those folks do you know that are really killing it and making solid profitable returns in their investment plays?

Many of us know investors who say they are getting 6 or 10% or more on their investments, or think they are with their stock broker. I often ask my prospective clients how much money have you gained from your original investment? Most will say their average return number but they haven't had the real analysis of actual dollars returned for their investment analyzed. That is usually because their broker likes to keep them in the dark about their returns.

What most novice investors don't realize is that even though an average return of 8% may seem like they are doing well with their investment, if their are dips in the returns that fall below 8 % what was the gain that led to the recovery? All of this because the math is not the real number the dollars returned are the real returns.

An Example of a 25% return that is really 0%.

An example of a seemingly 25% average return might really be a 0% return . Say you invest $1000 today and a year from now you have $2000. Well that is a 100% return on your investment. Say that the next year you lose $1000 on that account. That translates to a -50% loss and you end up with $1000 again. Say the next year you get a 100% gain again to $1000 than the next year lose -50%. That is an average of 25% returns however you end up with what you started with. In my book that is a 0% return.

As a financial coach I teach my clients to how to not only get consistent positive returns but at the same time using their money for multiple uses. This is one of the basic rules of macro-economic thinking that most advisors know nothing about.

There are ways to get consistent returns that are safe an guaranteed while getting multiple benefits from those dollars. If you have an interest in learning how you can tap in to this resource please call me at 610-695-8748. Learn more at my website by visiting yourwealthadvocate.com

Retirement: Work longer. Spend more. Save less. Have fun. (Really?) | Partners 4 Prosperity

2011-02-15T06:37:00.000-08:00

Retirement: Work longer. Spend more. Save less. Have fun. (Really?) | Partners 4 Prosperity

The New Reality of Saving for Retirement

Variable Annuities Exposed

2011-02-01T11:48:00.000-08:00

Many people hear the word annuity and are immediately "turned off" and when asked why they usually give a reason like "My brother-in-law has one and doesn't like it" or "My next door neighbor says that they are bad". There are many varied reactions to the term. Now you may be thinking to yourself that I am endorsing annuities while reading this. I believe that all investments have the appropriate use depending on the goals of the investor. All annuities have common traits these are traits like a guarantee of some sort, a death benefit of some sort and a tax deferral. I explain the different types on my website here...

Variable annuities however are really securities in that the principal value can fluctuate based on the market value of the securities inside the separate account of the product. This type of annuity usually has an income feature that attracts most investors however the principle value usually becomes eroded with fees and charges and market volatility. I have seen many clients who come to get my advice after buying one of these investments and sorry because of poor market returns and fees eroding the principal so much that the value is only in its death benefit and income stream.

When mutual funds originally were conceived variable annuities were introduced as a hybrid insurance and investment product. Since then even mutual funds have been exposed as an expensive way to build diversification in a portfolio.

I see no reason to use a variable annuity today especially since there are so many alternatives available to investors with a solid guarantee and a better return.

If you own a variable annuity and want to see if it is worthwhile for you to exchange out of it. You may be able to do an exchange without a tax consequence into something more appropriate for your investing needs. You can use the IRS rule 1035 exchange rule to transfer your funds into another investment or a more appropriate annuity. Many of my clients have bettered their investment position by exchanging out of their variable annuities without any tax consequence. It is a fairly common procedure to move out of these products. If you want to learn more about getting out of your variable annuity you can call my office at 610-695-8748 or send an email to roy@yourwealthadvocate.com. There is more information about this on my website http://www.yourwealthadvocate.com

7 Things You Should Know Before Hiring a Financial Advisor.

2011-01-05T07:50:00.000-08:00

You should feel comfortable with a financial professional before you work with him/her. Make sure to ask the questons below to make sure that you get all of the information you need to make an informed decision.

1. What are your fees

Some advisors are licensed investment advisor representatives and some are stock brokers and some are simply insurance salespeople. Make sure that the individual that you are about to work with has the proper credentials to get what you need.

2. Are you a securities broker or an investment advisor representative or both?

For the reasons mentioned above you should know the individuals motivations before working with that person. Is there a conflict of interest in working with that broker, or does he/she have your best interest at heart.

3. Are your plans composed of commission based securities or are
they based on a percentage of assets that you manage?

The investment advisor representative works for a fee (usually a percentage of assets that they manage for you). The insurance salespeople work on a commission and the stock broker also works on a commission.

4. What are your current licenses?

5. Have you ever been reported to FINRA for a violation?

This is something you can follow up on at finra.org which has all of the information about any licensed advisor.

6. What is your engagement process?

You want to see any documents to be signed and possibly have them reviewed by your attorney.

7. How often do you communicate with your clients?

You should know how often your advisor reviews your portfolio and who is responsible for making any changes. Some advisors have annual reviews some semi-annual and some quarterly.

Feel free to contact me at 610-695-8748 for more information or go to my website at http://www.yourwealthadvocate.com.

New Tax Law Passes

2010-12-27T11:59:00.000-08:00

2011 Tax Summary

The House and Senate have voted, and President Obama has signed the new Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010 (Tax Relief Act of 2010). The new law includes a number of tax breaks for many taxpayers. Here are some highlights that a client may wish to discuss with their tax professional or attorney:

Current tax rates and certain tax breaks extended for two years

The Tax Relief Act extends the tax rates of 10%, 15%, 25%, 28%, 33%, and 35% for another two years.
The new law extends for two years the repeal of the phaseout of personal exemption for certain high-income taxpayers.
The new law also extends for two years the repeal of the limitation on itemized deductions for certain high-income taxpayers.

Capital gains and dividends

The Tax Relief Act sets capital gains and qualified dividends tax rates at 0% and 15% for another two years.

AMT patch

The new law increases the AMT exemption amounts for two years.

Estate tax

The Tax Relief Act sets the estate tax exemption at $5 million per person and $10 million per couple for estates of decedents dying in 2011 and 2012.
The new law reunifies gift and estate taxes. The gift tax exemption increases to $5 million per person for gifts made in 2011 and 2012.
The new law also caps the tax rate at 35% for estates, gifts, and generation-skipping transfers.
The new law provides a choice for estates of decedents who died in 2010 to use the new estate tax exemptions/rates with a stepped-up basis rule, OR to use the existing 2010 law with no federal estate tax but a limit in the amount of basis step-up that is allowed.
The new law allows for "portability" of the estate tax exemption, meaning that any unused estate tax exemption of a deceased spouse can be carried over and utilized by the other spouse who dies second.

Other points of interest:

The employee withholding portion of the Social Security payroll tax will be reduced by 2.0% for 2011 (e.g., 6.2% withholding is reduced to 4.2%).
Extends for 2010 and 2011 the ability of taxpayers age 70½ or older to exclude from gross income up to $100,000 of qualified charitable distributions.
Extension of unemployment insurance benefits for 13 months.

The points outlined here are just highlights of the new laws if you would like to learn more detail please consult with your tax advisor. If you are in search of a trustworthy and effective tax advisor please call me at 610-695-8748 or email me at roy@yourwealthadvocate.com

If you have other questions about retirement planning or personal investment coaching you can get more information at yourwealthadvocate.com.

End of Year Financial Checklist

2010-12-21T14:44:00.000-08:00

With 2011 right around the corner now is a great time to get your finances in order.

There is still time to save some money this year and get yourself into good habits for next year and beyond. All of the items mentioned below can be daunting however a good financial advisor can help you with most of them. If you have annual reviews some of these should have already come up and dealt with.

Looking back at your finances in the past year help you see where you need to make necessary improvements to your financial future. You should access your debts as well as your investments and your life, health and homeowners insurance policies.

Insurance Policies

Take a look at your insurance policies and make sure your beneficiaries are correct and decide whether you have enough coverage for the current debt and life circumstance you are experiencing. For example; did you add new children or dependents that you need or account for in your estate planning or in the event of a tragic event.

With health insurance take a look at your deductibles if you have one maybe you can schedule that physical or get those new glasses before the end of the year to bring you over the top. This also is a reason to check on your flexible spending accounts.

Retirement Accounts

Have you reached your limit for contributions for your IRA and or 401K/403B plans? Investigate whether or not you should make those contributions and maximize them. If you inherited an IRA make sure that you have taken your minimum distribution for the year. If you miss this one you get dinged by uncle same 50 percent of the distribution amount.

Investments

This has been a pretty good year for most of us but maybe you should look over your investments for losses you may be able to harvest for tax loss. Also make sure that your investments are suitable for you based on your time horizon and risk tolerance.

Charitable Contributions

See how much you have donated to your favorite tax deductible charity and make those contributions before the end of the year.

Debt

List all of your outstanding debt obligations and decide how much of that you want to pay off in the coming year. You may want to consolidate your credit card debt to lower interest rates or maybe pay off some smaller high interest balances.

I hope the list above will inspire many of you to take some action in improving your financial life. If you need help with a strategy or changes in any of the above I am glad to help. You may be able to find more helpful information at my website, http://www.yourwealthadvocate.com

Can Using An Advisor Really Improve the Bottom Line? - Financial Planning

2010-12-13T19:06:00.000-08:00

Can Using An Advisor Really Improve the Bottom Line? - Financial Planning

Five ways new estate tax deal affects you Robert Powell's Your Portfolio - MarketWatch

2010-12-09T08:40:00.000-08:00

Five ways new estate tax deal affects you Robert Powell's Your Portfolio - MarketWatch

Do we assume too much risk?

2010-12-06T06:51:00.000-08:00

Assume or Transfer

The media and the financial industry have indoctrinated us to assume the amount of risk that we should take in order to achieve an expected return. Most brokers will ask you your risk tolerance and then devise a plan with products that make you assume the risk that you can stand and hope for an expected return.

The principles of prosperity says the opposite. In order to be prosperous think risk transfer not risk assumption. You say how do I do that? For many a simple whole life insurance policy is moving the risk to the insurance company. The insurance company guarantees the cash value of the policy and while we are contributing our premiums to it the company is usually paying on average a 5 to 7 percent return.

Where, in todays market can you get a consistent, guaranteed return of 5 to 7 percent? I will take those odds all day long, especially after seeing what the market has done in the last 10 years.

If you want to find out more about how to transfer your risks and create a life of prosperity instead of living a life of scarcity give me a call at 610-695-8748 to discuss the possibilities. You can also visit my website at to get more details.

Build Your Crash Proof Nest Egg

2010-12-03T12:47:00.000-08:00

It is a fact that today unfortunately less than 25% of companies large and small offer defined benefit plans for their employees as a regular benefit. For those unfamiliar with the term defined benefit you can boil that down to a pension plan. So how do you plan your retirement when you have to rely on your own resources to provide for your non-working years.

The first step in the development of a non-destructible retirement plan is to have some funds with which to work. Primarily these funds come from savings and investments that hopefully you have acquired over your working years. The second step is to develop a relationship with trusted advisor who can coach you through the process of a plan for prosperity for the rest of your life.

Once you have all of the above factors in place you can develop an investment philosophy with your coach. An investment philosophy is based on your beliefs about the market, your risk tolerance and your time horizon. Your investment philosophy is the basis for the mindset you have in the decision making when you chose your investments. Some questions you might ask yourself when pondering an investment philosophy are what is your true purpose for money and how will you use it to fulfill your life dreams. Do you need to provide for loved ones or are they OK? Are there additional resources that will come in once you are gone for your spouse and your heirs? You definitely have to do some soul searching, but a good investor coach will help you with that.

The next item on the agenda should be how you are going to implement this plan. Will it be from your current investments or do they need to be changed? Your coach will help you with these decisions as well, he/she should ask the right questions so that with his/her knowledge suggest the correct plan of action to use.

Once your plan for prosperity is in place you should be able to relax and not worry about market conditions or fluctuation. A properly put together plan should transfer risk for a solid return not assume risk for a potentially better return. Do't be fooled by advisors who try to "sell" you products that he/she thinks are best for you, it has to feel right in order for it to work for you.

If you have any questions or want to investigate your Investment Philosophy you can visit my website at yourwealthadvocate.com or call me to set up an interview at 610-695-8748

Roy Innella Investor Coach

IRA Rollovers � Rollover Your 401K, 403B or 457 Plan � Grow Your Retirement Savings

2010-11-17T13:26:00.000-08:00

IRA Rollovers � Rollover Your 401K, 403B or 457 Plan � Grow Your Retirement Savings

Why rollover your 401K to your own IRA account? This article explains why to do it.

Video - Quantitative Easing Explained - National Right Side Politics | Examiner.com

2010-11-17T08:55:00.000-08:00

Video - Quantitative Easing Explained - National Right Side Politics | Examiner.com

Nicely done video on Quantitative Easing.

Lump Sum or Pension Payout

2010-11-09T08:59:00.000-08:00

You have worked a great job for many years, and built up a nice pension payout, but you have the choice of taking the payout or taking a lump sum. How do you know which is best for you? How do you handle that large sum of money? What am I giving up by taking the payout and not the lump sum.

The questions above are common of clients who come in to see me. Most have been referred by someone I already am serving and have found a solution through using my services. The choice you make is very important and will impact the rest of your life so you really need to do some soul searching before you come to an answer.

I like to apply the Principles of Prosperity before helping folks make a decision like this. After taking them down that path they are more confident in their decision because they are comfortable with the risk decisions they made. Questions that need to be asked are what is your current financial need, and what do you think your needs will be in the future? Also can I get something in the commercial market that will pay me better than the payout option.

My job as a financial coach is to research all of the options available and " test" their viability with my client. Usually the client is comfortable with their decisions after we have done a thorough review using this process.

If you are faced with this problem and need help with the decision making process I can coach you through it so you are more confident and can explore all of your options. If you need help with it you can call my office at 610-695-8748 or email me at roy@yourwealthadvocate.com.

The Intelligent Investor: Why Your Adviser Is Scared to Set You Straight - WSJ.com

2010-11-04T09:15:00.000-07:00

The Intelligent Investor: Why Your Adviser Is Scared to Set You Straight - WSJ.com

Here is where an investor coach is different from a financial advisor. A financial coach works with clients to enhance and grow their cash flow along with asset growth. Investor education is the best way to help investors prudently work with investment products and strategies and retain peace of mind.

Broker vs. Investment Advisor

2010-11-02T07:48:00.001-07:00

Broker vs. Investment Advisor

Efficient Advisors | Efficiency is Everything.

2010-11-02T07:48:00.000-07:00

Efficient Advisors | Efficiency is Everything.

The Whole Truth about Getting a Mortgage.

2010-10-29T11:32:00.000-07:00

The level of misinformation out there concerning mortgages can be disconcerting. Do you put down more or less? Do you pay it off now or later? Is a 15 year term better than a 3o year term?

Many Americans make inefficient use of their money because of the lack of complete information coming from mortgage companies, banks, media, CPA’s, and friends and family who they believe know more than they (or you) do.

There are many factors to deciding which way you should go with your mortgage, not the least of which is whether the peace of mind you might get is worth tying up your nest egg into the house.

As a financial coach using the Principles of Prosperity I feel a responsibility to my clients to become involved with this decision making if necessary.

A friend of mine Kim Butler has written a great book called "The Whole Truth about Your Mortgage" In her book she covers the complete analysis of determining what is best for you.

If you would like a copy of the book give me a call at 610-695-8748 and I will see that you get it for you or whoever in your circle of influence could use it. You can also email me at roy@yourwealthadvocate.com and let me know it you are interested in getting it.

What is the best investment?

2010-10-28T11:41:00.001-07:00

People often ask me "what is the best thing I can invest in right now"? My response is usually returned with a question. That question is "what do you think you should be investing in right now"? Sometimes I get a perplexed look like "Why are you asking me when you should be the all knowing about investments"?

When you go to the doctor and ask him "What's wrong with me"? Doesn't he ask you a lot of questions before he makes a judgement as to what your ailment might be? The secret to finding the right investment is asking the right questions and finding the right answers to those questions as they pertain to you and only you. A good financial coach won't suggest solutions without ample time and due diligence.

Warren Buffet has said: " There is no such thing as a bad or good investment " What did he mean by that? It is up to the investor to decide what investment is best for her/him. Because no one can be all knowing and figuring that out without some great financial coaching is difficult at best.

There are many factors that change to determine whether an investment is good or bad. There should be many questions asked, and some give and take about what is needed by the investor before a prudent financial decision can be made. I ask financial wisdom questions before beginning an engagement with my clients these questions can be found by clicking here.

If you are unhappy with the solutions your advisor has given you and want a second opinion to see what other alternatives are out there you might want to give my office a call at 610-695-8748 or email me at roy@yourwealthadvocate.com

Who do you go to for financial advice?

2010-10-26T11:51:00.000-07:00

For most people this is a hodge podge of answers. Depending on your personality type you may seek the counsel of a trusted friend whom you know is successful, or a relative like a parent or a rich uncle. Before you get that advice are you asking yourself how qualified is this individual to give this advice?

Some people who have come in to see me have gotten advice after I have raised issues for them that they hadn't thought of. Some of them come back to me and become clients and others don't and will follow the advice of some unqualified individual like their next door neighbor or maybe a golfing buddy or that parent or rich uncle.

If you are using a stock broker for financial direction you may be in good hands, however they are not trained to be a fiduciary. A fiduciary is someone who will only suggest what is in the best interest of the client. They are not trained to be an advocate. Even though the new laws and financial regulations are changing they haven't gone into effect yet. As of today a broker only is required to suggest what is suitable for their clients. There is a big disparity between what is suitable versus what is best for a particular client. The advisor must ask many personal questions regarding the situation before suggesting a solution.

If you want to know if what you have invested is prudent for your situation or just suitable give me a call at 610-695-8748 or email me at roy@yourwealthadvocate.com and I will be happy to set up a complimentary consultation. After all what have you got to lose?

Consternation about Investing?

2010-10-25T08:07:00.000-07:00

Whether the market is going up down or sideways there is always some concern about the market and how that relates to or is influenced by the economy. It is a proven fact that long term investing combined with proper diversification is the first principle of successful investing. Harry Markowitz proved that in 1952 when he developed Modern Portfolio Theory and computers verified it in the early nineties and he even won a Nobel prize for it.

So how do you know how to properly diversify? There are certain asset categories that fulfill the proper methods of diversification. It is up to your advisor to know what these asset categories are and how they apply to your portfolio. I apply these methods of investing to certain clients depending on their age and risk tolerance and apply my fiduciary responsibility to my decision making as well. Just having a lot of "stuff" is not diversification, you must have the right stuff and the right amount of it. If you want to learn more about how this can apply to you visit my website or call me at 610-695-8748.

Enhancing the Flow of Money

2010-10-19T07:30:00.000-07:00

Did you know that your life insurance cash value can do 7 jobs at once? The fact that it does so many jobs makes it a valuable asset in creating your own path to prosperity. If you want to learn more let me know and I will send you a white paper on it.

Whenever making a financial decision you should evaluate how it affects the 7 principles of prosperity and adjust your decision accordingly. I have a simple test that I can send you for doing this.

If you want information on either of the subjects above do not hesitate to call me or email me. Of course there is more information on my website: http://www.yourwealthadvocate.com

Please comment below to help spread the good word.

The Flow of money

2010-10-18T07:35:00.000-07:00

One of the Principles of Prosperity is to focus on cash flow as well as net worth when building your life plan for wealth. As we build wealth in our life this becomes more and more apparent. The velocity of money in your life and how it flows though an asset is more important than the flow of money to an asset. If you money gets stuck in an asset then it becomes unavailable to use in other areas of your life. The biggest example for most people is the amount of money that is tied up in your home. Here is an asset that adds to your net worth yet your flow of dollars is stuck in the asset and not flowing through it.

When building assets be sure to take a look at the implications of where the dollars will go and be sure to take a look at the opportunity costs that you are giving up when you tie the money up.

For more information on this topic visit my website by clicking here

PROSPERITY PRINCIPLES

2010-10-14T14:27:00.000-07:00

It’s easy to get sidetracked and to fall back into the same traditional, outdated, and ineffective perspectives. Here’s a helpful reminder to ensure you keep Prosperity Economics at the center of your attention.

Think – Owning a prosperity mind-set eliminates poverty; scarcity thinking keeps you stuck!

Ask yourself: Do I wonder, “Oh my gosh, what’s going to happen?” Wouldn’t it be more productive to say, “Oh my gosh, what can happen?”

· When you think from prosperity as opposed to thinking from poverty, when you think from abundance as opposed to thinking from scarcity, you make different decisions. So, in each case it’s important that you think from a prosperous mindset.

· Now, the alternative of this obviously is to think from scarcity, and when you do, it keeps you stuck. It eliminates your confidence; it disables your ability to move forward. Scarcity thinking or poverty thinking is what holds people back. It’s what holds your money back; it’s what holds your capability back.

· We want to help you in every endeavor to think from a prosperity point of view and own that prosperity point of view. No matter what is going on in your life, you can own, act, and think outward from prosperity.

These principles can be employed on your own, but are best used when in concert with the Prosperity Economics strategies with your advisor.

Scarcity or Abundance Which do you prefer?

2010-10-14T10:18:00.000-07:00

Are you in a scarcity mindset?

When helping my clients I prefer to coach them as opposed to "selling" a product from the financial industry. Of course there are always exceptions to this rule, but for the most part a "fee only" structure works best with most people.

My mission is to help my clients create more wealth than they can spend in a lifetime. We do this by co-creating plans that help them make powerful decisions. Decisions that maximize the amount of money coming in and minimize the amount of money going out. Below is a video where I explain how I work.

My Vision:

Our mainstream society today does not provide formal or adequate financial education to prepare for your financial future. Instead you are bombarded with offers to get rich quick and do it yourself strategies. The indoctrination of micro-economic thinking gets most investors bogged down with things like average returns, short term objectives and other minutia which is a micro economic focus.

My goals include educating and coaching you to “catch up” on what you may have missed in learning proper prosperity principles. For most people that means coaching to achieve peace of mind, by using a macro - economic or holistic view of thinking with more certainty of cash flow.

For more information go to my website:

The Wealth Advocate Blog - Roy Innella

Friday Folio from Redhawk Wealth Advisors

Surging Ahead in 2012

Am I beyond an investment plan?

Are you Correlated?

How do we plan or live through our retirement when the market goes volatile?

Personal Cash Flow Maximizer

Does Your Company Sponsor your 401K

Save Money and Use it to buy "things" at the same time.

Getting Protection While Building Wealth

Retirement: Work longer. Spend more. Save less. Have fun. (Really?) | Partners 4 Prosperity

Variable Annuities Exposed

7 Things You Should Know Before Hiring a Financial Advisor.

1. What are your fees

2. Are you a securities broker or an investment advisor representative or both?

3. Are your plans composed of commission based securities or are they based on a percentage of assets that you manage?

4. What are your current licenses?

5. Have you ever been reported to FINRA for a violation?

6. What is your engagement process?

7. How often do you communicate with your clients?

New Tax Law Passes

End of Year Financial Checklist

Can Using An Advisor Really Improve the Bottom Line? - Financial Planning

Five ways new estate tax deal affects you Robert Powell's Your Portfolio - MarketWatch

Do we assume too much risk?

Build Your Crash Proof Nest Egg

IRA Rollovers � Rollover Your 401K, 403B or 457 Plan � Grow Your Retirement Savings

Video - Quantitative Easing Explained - National Right Side Politics | Examiner.com

Lump Sum or Pension Payout

The Intelligent Investor: Why Your Adviser Is Scared to Set You Straight - WSJ.com

Broker vs. Investment Advisor

Efficient Advisors | Efficiency is Everything.

The Whole Truth about Getting a Mortgage.

What is the best investment?

Who do you go to for financial advice?

Consternation about Investing?

Enhancing the Flow of Money

The Flow of money

PROSPERITY PRINCIPLES

Scarcity or Abundance Which do you prefer?

3. Are your plans composed of commission based securities or are
they based on a percentage of assets that you manage?