OUR FIRM and SERVICES 

a.k.a. How can we help?

Chestnut Investment Advisory is an independent registered investment advisory founded in 1986. It's primary objectives are to provide professional investment management, and personalized service, to individuals and businesses.

Short term needs and long term goals. They are both important. Meeting them is the service our team has provided for almost 30 years, as we conduct transactions on behalf of our clients and offer investment advice to them. 

We are qualified to provide investment advice and devise strategies to facilitate goal fulfillment. Our clients develop a custom program, using tried and true processes, with our guidance. Execution of the plan can then be accomplished via very specific instructions and orders provided by our account holders, or with a discretionary account. The latter is one which we treat as our own, and in accordance with each individual client's goals and preferences, through research and appropriate action. You can then implement a comprehensive plan which includes:

  • Tax management
  • Investment management
  • Retirement strategies
  • Estate conservation
  • Insurance and annuity products

 

We are different! We provide the menu selections (see Client / Compensation Types below) then serve up YOUR  choices . . .

In a recent conversation with long-time clients, it came to light that they did not understand a few things about how we conduct our practice. This surprised us, because we think we are quite transparent and strive to always be a quick phone call away. That has prompted us to offer this information by way of clarification to anyone who may need it, or is interested in what we do behind the scenes. In addition to defining your Client Type, and how we are compensated for our services, it provides a partial list of the benefits for each category.

More important to you than the above information are the fundamental issues upon which our relationship is based. They should be your overriding concern as far as any financial advisor is concerned. They are:

1. Background:  George Toth has been in this business for 30 years, and intends to stay in it for the long haul (at least 15 more years.) Aggregate industry experience among our team is over 70 years. We are registered, certified, and required to do continuing education and periodic testing. We work and train harder so you can be sure we're doing everything possible to provide top-notch service, as well wisdom.

2. Approach: Our process is specifically crafted to allow us to provide consistent monitoring, make adjustments and recommendations, and "follow" you like few others do. Key to this is that we are alert. We do not make pie-in-the-sky promises about results. We are driven by your goals and provide appropriate advice to address those within your  STATED RISK TOLERANCE dependent upon market conditions. This is based solely on our understanding of them. If they change - you must tell us!

3. Implementation: We walk the walk, and this is the hardest part of the investment process. Our methodical and reliable procedures and internal measures ensure that we can answer any question about your finances at virtually a moment's notice. (Think this is just lip service? We have many client recommendations, and are happy to share them!) Most important to this is to "know thyself" -- are you comfortable delegating investment responsibility and financial planning, or do you just think you are?

4. Results: You will be better off as a result of working with us, as compared to doing it yourself or using another advisor because we strictly follow the Certified Financial Planner Board of Standards, Inc. Code of Ethics and Professional Responsibility. This is 30 pages of principles and rules which requires us to use confidentiality, due diligence, objectivity, independence from influence, integrity and  competence among other things to protect our clients in every way possible.  Out of over 300,000 financial advisors in the U.S., less than half of those are CFPs![1]

While it would be nice for you to like us, we don't need to be your friends. We may not always agree on how to accomplish a goal or task, and that's OK. What matters is that we are paying attention and having the conversation with you. We cannot guarantee results and, ultimately you decide what's right for you, but we're with you every step of the way.

 

[1] Several studies point to this conclusion. See example: Keller, Kevin R., Financial Advisor Magazine, "Restoring Trust In The CFP Mark" Web. April 8, 2009.

 

Client / Compensation Types:

FINRA (Financial Industry Regulation Authority)  According to FINRA, a client includes a person (who is not a broker or dealer) who opens a brokerage account at a broker-dealer, or purchases a security for which the broker-dealer receives or will receive, directly or indirectly, compensation even though the security is held at an issuer, the issuer's affiliate or a custodial agent, and is dictated by such issuer or custodian. We want to meet with you at least annually to update any personal information that may have changed, and review your evolving personal situation.

Assets Under Management   The assets that the investment company manages on behalf of the client, and for which it receives compensation as a percentage of assets. We want to meet with you at least quarterly, or more frequently as your portfolio requires, to discuss the characteristics of the account.

Fixed Fee  The client is paying a fixed annual advisory fee, or hourly fee, for all work performed. This client is typically very well versed about investing and risk management and uses us as a sounding board, checking market conditions, etc. All implementation is handled by the client, and funds are under their (or their custodian's) complete control. Most meet with us monthly, although we only require it semiannually.

 

What does our company do for our clients?

All Clients

  • Cares more about you and your money than anyone who doesn't share your last name
  • Studies possible alternatives that could help you meet your objectives
  • Stays up-to-date on changes in the investment world, plus meets annual continuing education goals
  • Guides you through difficult periods in the stock market by sharing historical perspective

FINRA Clients (Governed by the Financial Industry Regulation Authority)

  • Helps you to formulate a plan, then proactively keeps in touch
  • Converts your investments to lifetime income*
  • Assists you in determining your Required Minimum Distribution
  • Facilitates an understanding of how your investments impact your taxes
  • Prepares an asset allocation so you can achieve the best rate of return for a given level of risk tolerance
  • Performs due diligence on money and mutual fund managers in order to make appropriate recommendations
  • Periodically reviews your portfolio and makes appropriate proposals

AUM Clients (Assets Under Management)

  • Formalize your goals and puts them into writing for you
  • Sets up an investment plan for you
  • Prepares an investment policy statement
  • Assists in preparing your estate plan
  • Converts your investments to lifetime income*
  • Assists you in determining your Required Minimum Distribution
  • Prepares an in-depth risk analysis for you. This is ongoing.
  • Prepares an in-depth asset allocation so you can achieve the best rate of return for your resultant level of risk tolerance, as dictated by the analysis
  • Performs due diligence on money and mutual fund managers in order to make appropriate recommendations
  • Reviews and revises your portfolio as conditions change
  • Looks inside your mutual funds to compare how many of their holdings duplicate each other
  • Provides a comprehensive understanding of how taxes and investments interact
  • Evaluates the differences in risk levels among fixed-income investments like government and corporate bonds, and equities
  • Provides unbiased research, and a personal stock analysis with a sector-based evaluation of your portfolio

FF Clients (Fixed Fee)

Choose from among any of the services we offer (see above AUM.) You select the areas with which you want help then hire us on an hourly basis.

*Financial forecasts, rates of return, risk, inflation, and other assumptions may be used as the basis for illustrations. They should not be   considered a guarantee of future performance or a guarantee of achieving overall financial objectives. The return and principal value of the investments will fluctuate so that, when redeemed, they may be worth more or less than their original cost.