Title: Comprehensive Financial Planning Retirement Plan Services Stan Johnson Registered Investment Advisor
1Comprehensive Financial Planning Retirement Plan
Services Stan Johnson Registered
Investment Advisor
2Why Set up a Retirement Plan?
- Attract and retain employees
- Reduce taxes
- Contributions by employer are deductible when
made - Employer and employee contributions are not taxed
until distributed - Up to 500 tax credit for small employers
- Save for retirement
3Your fiduciary responsibilities as plan sponsor
- Act solely in the interest of plan participants
- Carry out your duties prudently
- Follow the plan documents
- Diversify the plan investments
- Pay only reasonable plan expenses
- www.dol.gov/dol/topic/retirement/fiduciaryresp.htm
4Steps required to install plan
- Determine which type of plan is best for you and
your employees - Obtain information from several service providers
and evaluate their services, fees and investment
choices - Hire service providers-bundled or unbundled
- Third-party administrator (TPA)
- Investment advisor
- Investment broker and custodian
5Why choose Comprehensive Financial Planning?
- Independent, fee-only Registered Financial
Advisor able to act as co-fiduciary for your plan - No hidden commissions or other compensation from
others that create a conflict of interest - Personalized advice for you and your employees
- Mutual funds get in the plan by their superior
performance, not by any compensation paid to us - Can assist in every step in the process from plan
design, installation and serving as plan advisor
6Benefits for your plan
- Superior investment choices
- Competitive, transparent fees
- Independent, unbiased advise
- Many choices of plans including 401(k), Simple,
SEP, 403(b), 457 and defined benefit
7Plan Organization
8Comprehensive Financial PlanningResponsibilities
- Primary contact with plan sponsors and
participants - Plan set-up, enrollments and communications
- Plan investment advisor/co-fiduciary
- Fund strategist selection and monitoring
- Annual formal report
- Develop Investment Policy Statement
- Assist participants in portfolio selection
- Provide general education
9Fund Strategist Selected Litman/Gregory
- Based in Larkspur and Orinda, California
- Manages nearly 4 billion in assets for
high-net-worth clients and intermediaries. - Model portfolios have been tracked since 1989 and
have been recognized by Hulbert Financial Digest
for five consecutive years for risk-adjusted
performance in up and down markets.
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11Return Comparison-annual 5 yearas of 12/31/2005
12Litman GregoryInvestment Approach
- Strategic Allocation Determine appropriate
neutral asset allocations for different
portfolio risk/return objectives. - Tactical Allocation Do intensive asset class
research and selectively overweight asset classes
on a tactical basis when we are highly confident
we will be rewarded for doing so. - Scenario Risk Analysis Test portfolio risk based
on scenario analysis and adjust allocations if
necessary. - Manager Due Diligence Undertake rigorous due
diligence and analysis to identify exceptionally
skilled fund managers to implement our asset
allocation. If we dont find manager(s) in which
we have high conviction, we will use an index
fund.
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14FTJ FundChoice Broker/recordkeeper
- Location Cincinnati, OH
- 1,338 retirement plans under management
- Over 649 million in assets under management
- Affiliate of Forrest T. Jones Company
- In existence for over 50 years
- 400 million in assets and 45 million in capital
and surplus (Fidelity Security Life Insurance
Company)
15FTJ FundChoice, (continued)
- Mutual Fund Investment Platform utilizing Omnibus
Trading Accounts No load and load waived mutual
fund portfolios - Benefit to Investor
- No minimums
- No Transaction Cost
- Access to Institutional Class Funds
- Portfolios are modified per strategist changes
and rebalanced quarterly to maintain asset
allocations
16(As of March 31, 2004)
17Third Party Administrator (TPA)
- Selected based on your company requirements
- Plan design, consultation, installation
- Contribution calculations
- IRS/DOL reporting and compliance
- Can implement new or takeover existing plan
18Fees Vary with plan type and size(Contact us to
receive proposal)