What Is Wealth Apex®?
We’re an investment and retirement advisory firm that uses insurance products and other alternative asset strategies to create highly leveraged, yet secured returns. Our plans have historically outperformed the S&P 500 with minimal volatility and no losing years, and are backed by insurance firms with top credit ratings from Moody’s. We service middle-class and high-net worth investors who seek wealth accumulation, with the least possible risk.
There are countless investment services in America, but most of them can be boiled down to the following categories:
- Private Family Offices Serving Ultra-High Networth Clients
- Financial Planning Advisories
- Insurance Agencies
Wealth Apex® shares elements in common with all three categories, but does not fit into any one in particular. Below, we will compare and contrast Wealth Apex® with each category of service in turn.
Private Family Offices Serving Ultra High Networth Clients
Family offices typically serve clients with $20,000,000 or more in net liquid assets. They provide boutique services that go beyond the bounds of ordinary financial planning help.
This may include creating tax shelters, investing in alternative assets, and a much more intense degree of client service. For families with $100,000,000 or more in assets, family offices typically accept highly discounted fees.
Wealth Apex® shares several qualities with private family offices:
- The sophistication of knowledge, resources, models, and techniques needed to serve ultra-high net worth clients
- A level of service that is higher than what is commonly found elsewhere in the industry
- The use of low-risk capital positions and tax shelters to minimize risk to the client, while using leverage to maximize profit potential
- The ability to incorporate alternative assets effectively into an overall investment plan
On the other hand, Wealth Apex® differs significantly from family offices in several important respects:
- No minimum investment, allowing you to test the waters with our service and see results before making a full commitment.
- Our clients enjoy drastically discounted fees, no matter how much they invest
- Admittedly, because we serve many clients, we cannot match the level of service that a family office gives to the 1-5 client families they serve
Financial Planning Advisories
Financial planners vary widely in terms of the strategies and products they use, but most can be characterized as investing their clients in mutual funds, ETF’s, bonds, and annuities. Their fees typically range from 1-1.5%, but the products they use frequently incur additional fees. This can bring the fee load to 2% or 3%.
While there are good financial planners in the marketplace, one can argue that most financial planners are not serving their client’s best interests. The following criticism is not directed towards any one financial planner in particular.
Financial planners often carry the CFP(R) designation. Oftentimes, they train in the sales branch of large financial institutions, study for their credentials, and then start offering their services to the public. What this means is many financial planners are products of the broken institutional investment system that has kept millions of Americans behind.
In 2014, Forbes reported: According to the latest 2014 release of Dalbar’s Quantitative Analysis of Investor Behavior (QAIB), the average investor in a blend of equities and fixed-income mutual funds has garnered only a 2.6% net annualized rate of return for the 10-year time period ending Dec. 31, 2013. The same average investor hasn’t fared any better over longer time frames. The 20-year annualized return comes in at 2.5%, while the 30-year annualized rate is just 1.9%. Wow!
The average investor exclusively investing in just fixed-income funds has had an even worse experience. The annualized return is 0.6% over 10 years, 0.7% over 20 years, and 0.7% over 30 years.
Just who is the “average investor?” The QAIB states the average investor refers to “the universe of all mutual fund investors whose actions and financial results are restated to represent a single investor.” This universe would include small and large investors as well as professionally advised and self-advised investors.
Several points from the article stand out: Even “professionally advised” investors are included in the study. That typically means investors who employ financial planners like CFP(R)’s. Over 20-years, the average investor lost to inflation. This means that financial planners failed to even preserve client capital, let alone grow it.
Wall Street trains financial planners to sell their products: stocks and bonds, but this approach has failed millions of Americans.
Wealth Apex® shares two qualities in common with financial planning advisories:
- A focus on retirement planning for middle-class clients
- A breadth of investing experience spanning multiple asset classes
However, Wealth Apex® differs from financial planning advisories in several key ways:
- We never expose our clients to losses caused by stock market downturns
- We shield stock market returns from the capital gains tax
- We charge much lower fees
- Nobody on staff was indoctrinated by the Wall Street institutions that have been ripping off Main Street Americans for the last five decades
- Many of our strategies are backed by insurance providers with an Aa3 or higher ratings from Moody’s
Insurance agents are licensed in their state to write insurance contracts, and they are sometimes linked to one particular insurer. Insurance agents will use annuities, whole life insurance, and universal life insurance policies to provide for retirement income.
There are several important points we share in common with insurance agencies:
- We are licensed to write insurance policies
- We use insurance products for retirement and capital growth
However, Wealth Apex® differs from classic insurance agencies in several key ways:
- We first think like strategic investors and only then decide whether or not to recommend an insurance product to our clients
- If insurance is not right for a client, we’ll recommend other options
- Our experience is significantly broader in scope than that of the average insurance agent
- We maximize client flexibility, so clients are never stuck in a contract
- We scrutinize every detail of an insurance product before recommending it
- We provide continued client support for the life of the contract
- We use our expertise to service high-net-worth clients who seek to use the tax benefits of insurance to help accumulate further wealth.
- We are independent; we can choose whichever insurance provider is best for our clients