Please call us at 248-731-7729 if you cannot find an answer to your question.
Yes. We have a legal, fiduciary duty to put your interests ahead of our own. Without the financial incentive to generate more trades or sell higher margin products or the limitations of only having the firm's approved investment offerings. In addition, Daniel Shub holds Accredited Investment Fiduciary® Designation.
As an independent advisor, we use a third-party custodian (Schwab) to serve as the safe keeper of your investments. Schwab is responsible for ensuring that your money is in a separate account under your name, with us only having limited authority to manage the account on your behalf. You have full access via website and phone and receive correspondence about your account directly from your custodian.
Charles Schwab & Co, Inc. has more than 30 years of experience serving independent advisors. Schwab was a pioneer in the business of exclusively serving independent, fee-only investment advisors and their clients.
As of October 31, 2022 Schwab has $7.00T total client assets. Total client assets and brokerage accounts based on combined data for Schwab and TD Ameritrade as of October 31, 2022, using company reports.
We work virtually and in person. You can expect a response to your inquiries from Daniel Shub personally on the same day or, on rare occasions, the next day at the latest. We will meet regularly to revisit your financial plan and make adjustments as needed, considering changes in your circumstances, tax rules, regulations, and other factors that may affect your long-term plan.
Most advisors aren't willing or able to provide tax planning. We offer annual tax planning as part of our comprehensive financial planning service. While often overlooked, robust tax planning is one of the most valuable pieces of a complete financial plan.
In addition to having access to your accounts at Schwab via the website and an 800 number, we will give you access to a Financial Planning Portal where you can monitor the progress toward achieving your goals and a Client Portal to view the performance of your accounts.
We align your portfolio with your goals and risk profile, incorporating advanced tax management techniques. Our investment approach is grounded in Nobel Prize-winning academic research. We work closely with Dimensional Fund Advisors (DFA). DFA was founded in 1981, manages $634 Billion as of June 30, 2023, and has 1,600+ employees in 14 global offices.
The investments used in the portfolios are low-cost institutional mutual funds and ETFs from DFA (some of which are not available to retail investors). Dimensional is a pioneer in applying academic research to factor-based investing. The investment portfolios embody four decades of expertise in applying the great ideas in finance to portfolio construction, which is based on basic principles of asset allocation theory and seeks to add value through efficient implementation that combines the benefits of indexing (broad diversification and low cost) with those of systematic active investing (pursuit of higher expected returns, robust portfolio management, and flexible trading).
"Pursuing a better investment experience: Dimensional Investing is about providing a successful investment experience. That means more than just returns. It means offering peace of mind because investors know that a transparent process backed by decades of research is powering every decision. For over 40 years, we've seen the difference our approach has made in people's lives. Our goal is to help people live better—not just years from now, but today".
Octo Capital does not hold your accounts or investments. All accounts are held at Schwab. You can reach out to Schwab directly via phone, email, or website. Schwab has thousands of employees and a client service department ready to assist you. If Octo Capital or Daniel Shub is not available for any reason, Schwab will continue holding your accounts. At that point, you can find another advisor, manage accounts on your own, or transfer accounts to another institution.
Our flat fee is simple and transparent. The amount generally ranges between $4,000 and $10,000 annually and is based on the complexity of your financial situation and the services we provide, not on your assets. Our advisory fee is deducted quarterly from the accounts we manage on your behalf.
We know from experience that it does not cost a firm more to manage a portfolio of $4,000,000 than a portfolio of $2,000,000. Why, then, should clients pay more to receive the same services?
The difference between a typical 0.96%* investment advisory fee and a flat annual retainer fee over a long period can be overwhelming. Suppose we assume a 7% return on a portfolio**. In that case, a 0.96% advisory fee can cost an investor with a $2,000,000 portfolio over $1,000,000 in lost returns over twenty years compared to a flat annual retainer fee of $8,000.
*2019 RIA Industry Study: Average Investment Advisory Fee is 0.96%. www riainabox com resources/2019-ria-industry-study-average-investment-advisory-fee-is-96-percent
** This is a hypothetical example. Actual results will vary.