Investment Advisory Services (includes Our Quarterly Client Newsletter)

 

Download our Brochure (Form ADV Part 2a) Here

 

     We use a variety of tools to construct our client portfolios. We assess the economy from a fundamental perspective and model what is likely to happen based on the current environment. From this information, we are able to select areas of the market that are likely to do well then focus in on particularly companies and funds that are well positioned for success. We believe that as shareholders our clients are entitled to share in the profits of any business operation and as such we emphasize companies, funds, and sectors that pay dividends with a history of increasing those dividends. Depending on the needs of our clients and the economic environment we have the flexibility of reinvesting dividends in other opportunties, using them as income to offset increased living costs, or using them to meet other financial needs.

 

     Our approach to investment and economics is based on the Austrian School of Economics and the Austrian theory of the business cycle. Tenets of the Austrian approach are sound money, genuine capital formation, an understanding of savings and investment through underconsumption, and the protection of wealth. The Austrian approach has correctly identified every major turn in the business cycle over the past half century. Using this approach we are able to understand the challenges our economy faces and position our Client portfolios accordingly.

 

Self-Directed Investors

 

We provide a number of valuable services to self-directed investors who manage their own money, but need specialized assistance. We offer company, sector, and industry analysis, financial and economic modeling/forecasting, portfolio-tracking, option/hedging strategy analysis, and risk management.

 

The models and metrics we have used to perform the above analyses include, but are not limited to: CAPM, Two Period Life Cycle Model, Leontief's Input/Output Model, Black-Scholes, Bjerksund-Stensland, CRS Binominal Tree, Cobb-Douglas, DCF, NPV, IRR, Partial Equilibrium Analysis, Black-Litterman Model, Var/CVar analysis, and our proprietary consumer price index methodology.

 

Our self-directed clients also receive the firm's quarterly newsletter.

 

Retirement Planning

     As many clients of traditional broker/dealers are now realizing, a hands-off approach to investing while never appropriate, is even less so now. One of the most popular traditional approaches to managing retirement funds involves holding stocks up until the point of retirement, then selling the stocks in favor of bonds for retirement income. Anyone looking to retire over the past few months has learned first hand the folly of this strategy as they are now faced with potentially selling investments that are down 20% or more so they can begin to get some retirement income. Sutton & Associates does not consider this approach to be valid. For individuals that are closing in on retirement, we use the approach of finding investments that produce a high level of income through dividends then reinvesting those dividends up until the point of retirement when the client will begin to take the dividends in cash for retirement income. Using this approach our clients are not forced to sell during periods of unfavorable market conditions. They merely change what they do with their dividend income. Using this strategy, clients can sell securities on their terms rather than the market's.

 

We are proud to offer our clients the use of Economic Security Planner Software , a premier financial planning package desgned by Boston University Economics Professor Laurence J. Kotlikoff. This is fantastic software that allows you to 'stress test' your financial situation by changing variable such as taxes, inflation, life expectancy, and many others to answer the all-important question: "Do I have enough money to retire and maintain my living standard?"

 

 

Comprehensive Financial Planning Services

     We also provide comprehensive financial services from college savings, rent vs. buy analysis for home purchases, mortgage planning, taxation issues, and estate considerations. We strive to be a partner in your financial success. For those situations that require specialized services such as those offered by Attorneys, Certified Public Accountants, or Insurance professionals, we have developed trusted working relationships with local professionals who are always happy to work with us towards the common goal of securing our clients' future.

 

Unparalleled Client Education

     One of our core beliefs is that education breeds proactivity. We provide educational resources for our Clients and the general public, most of which are completely free of charge. These include the 'My Two Cents' commentaries, a blog, our weekly Internet radio show 'Beat the Street', and other valuable resources. Our commentaries and radio show allow us to put our core beliefs with regard to investing, finance, and the economy on display. These resources are a great way for prospective clients to become familiar with our positions and views and they also serve to help our existing clients stay up to speed on developments as they occur. We encourage our clients to ask questions, seek answers, and become an informed and proactive participant in their own financial future.

 

     Please contact us for a no obligation consultation. We would be happy to speak with you and determine together if our services and philosophy match your financial needs.