“Give me six hours to chop down a tree and I’ll spend the first four sharpening the axe.”
– Abraham Lincoln
Our purpose at FourThought Private Wealth is to help affluent individuals, families and business owners aim high and eliminate the stress that can come with life’s uncertainties. We start by addressing two critical questions:
“Am I going to be okay?” and, “Do I have any blind spots?”
Everyone has a different definition of what it means to be okay, but we all share the same concern. While you can’t predict what life will bring, you can be prepared. Our role is to help you prepare by building a customized financial plan that works for the rest of your life and allows you to know —not wonder— whether you are going to be okay.
The process and principles we use to create your plan is what makes us different.
FourThought is not simply an investment advisor; we are a holistic planning firm. We dig deep to understand your fears and aspirations so your plan is driven by the way in which you want to live, not by markets or forces beyond anyone’s control. Our planning process includes four distinct phases.
Establish Your Goals
Your personal definition of okay is the basis for establishing specific and measurable goals. We start by discussing your big picture.
What kind of lifestyle do you want? Do you want to work, retire, travel, volunteer, help family members? We will help you think it through and determine what you will need—and when you will need it—to enjoy financial freedom and pursue your purpose.
Dig for truth and facts
Our planners perform a comprehensive analysis of your finances and develop a snapshot of where you are now.
They not only examine assets and balance sheets, but also the perceptions, biases and habits that shape you. For instance, how do you save money? Do you watch your investments daily? How does that make you feel? Understanding what makes you YOU helps us construct guardrails that support good decisions.
Test for Success
Using your goals, preferences and assets as the building blocks, we create a conceptual plan to see if your goals are attainable.
We don’t make assumptions; we put the plan through a gauntlet of stress tests using advanced software and algorithms. We have more discussions with you and make adjustments until you—and we—are comfortable with the likelihood of success.
Activate, Manage and Measure
With agreed goals and parameters in place, we fine tune the strategies for each of your goals and construct a portfolio of individual securities to meet your income requirements.
We actively manage it because there are times when it is prudent to increase or decrease risk to preserve your assets and cash flow. Your financial plan is fully activated and becomes your roadmap through the ups and downs of financial markets and your own life.
FourThought’s Customized Investing Principles
We never try to predict what will happen. Instead, we practice “Fourcasting,” guided by our four key principles of customized investing.
Watch indicators but never guess what markets will do.
We are not gods and thus we can’t predict the future. However, we can create balanced portfolios, pay attention to important indicators and adjust risk levels proactively.
Preserve principal and diversify assets.
Don’t eat the goose that lays the golden eggs or put them all in one basket. You should never be forced to sell in a down market.
Invest in value and growth will follow.
Be the tortoise, not the hare. Invest for the long-term and don’t be lured by volatile securities or high-risk, high-reward opportunities.
There will be rare and consequential events
A flood will come. Like Noah, however, it is vital to have a plan and be prepared so you can weather the storm.