Issue58 Mag

Issue 58
Dec / Jan 2014
exclusive interview with
DANIEL SUAREZ
GAME OF DRONES
Fiscal Game Changer
Brokers & Advisors face new rules
Higher 401K Contributions What is the TPP all About?

Why the Secrecy?
Is there a savings shortage in America
Baby Boomers Lagging on Savings

Half a million dollars short on retirement
Built for the road ahead.

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publishers note
ISSUE 58 | DEC / JAN 2014
Publisher Erwin E. Kantor Managing Editor Michael Gordon Editor in Chief Helen Moss Editorial Robert Jordan Lisa Walker Sean Goldstein Staff Writers L. A. Rivera Monica Link Wendy Connick David Gordon Diane Alter A. Marie Velthuizen Judy Magness Maria Esposito Rich Monetti Edwin Camacho Peter Hocstein John Travis Taylor Amy Armstrong Rachel Velazquez Asst. Art Director Marienne Hilahan Illustrators Shafali R. Anand Mike Moss Marketing / Advertising Monica Link Sean Rome
For subscription details, contact: info@thesuitonline.org For advertising inquiries, contact: advertising@thesuitmagazine.com
A Drone Economy In America

he drone revolution has finally entered the American psyche. In fact, in late-December, the Federal Aviation Administration revealed that they have chosen several sites in a number of states to test unmanned drones in order to integrate them into our national airspace. The climate has certainly changed and unmanned aerial vehicles, or drones - will be written by professional journalists, who offer a fresh perspective and an objective eye that will give you a well-rounded look at big topics. Our reporters L.A. Rivera, Amy Armstrong and Monica Link have chronicled a story dubbed, Year Of The Drones, which looks into the future of drones in America. Diane Alter covers Baby Boomers and how theyre behind on Savings for retirement. Apparently, it looks like the golden years will have to wait for scores of Americans. According to a recent survey by TD Ameritrade, the average baby boomer is roughly a half million dollars short on retirement savings. An estimated 74% of the survey participants said theyd be heavily dependent on Social Security. As a result, the IRS announced high contributions to 401-k Plans. She also reports on a Uniform Fiduciary Standard, eventually imposing tighter restrictions to broker-dealers
and investment advisors, due to the 2008 financial meltdown. Travis Taylor reports on the Trans-Pacific Partnership (TPP). The 12 Trans-Pacific countries the United States, Canada, Mexico, Peru, Chile, Japan, Vietnam, Malaysia, Singapore, Brunei, Australia and New Zealand together account for about 40 percent of the global economy. The TPP expansion sought to increase trade and reduce tariffs in the Asia-Pacific region. But with each round of negotiations between a growing list of countries, concerns about the true nature of this agreement continue to grow. In the mean time, 2014 will be an exciting year for The Suit Magazine. We celebrate eight years and we have a full slate of stories for our readers and special features for our clients. It feels good to give back to the community that has given so much to us. The coming year will bring exciting times. I wish all our readers a Happy New Year as we roll into 2014 with a fresh economic prospective.
Erwin Kantor
Erwin Kantor, Publisher
Best,
CONTENTS
DEC / JAN 2014
Issue 58
Dec / Jan 2014
16
exclusive interview with
DANIEL SUAREZ
GAME OF DRONES
The Age of Cyber-Warfare

Cyber Security Summit
A Womens Journey
Unjust Dishonorable Discharge
Stress In The Workplace

Dont Sweat the Small Stuff
Arctic Seed Vault
Preserving Agricultural Supply
Indeed, according to a recent survey by TD Ameritrade, Boomers and Retirement, the average baby boomer is roughly a half million dollars short on retirement savings.
Baby Boomers Behind on Savings
BUSINESS / FINANCE FEATURES
20 Monetta Financial Services, Inc.

Housing Solutions 22 Breaking Ground in the Affordable Housing Dilemma
From Investment Club to Lipper Fund Award
To be sure, there is a savings shortage in America, despite a bevy of programs aimed at encouraging stashing money away for retirement.
Higher 401k Contributions
30 24 25
Abacus Planning Group 23 Simplicity Matters

Consumers Drive Credit Card Needs
Ignite payments and First Data
Fiduciary Standards
A great debate over fiduciary standards (the legal duty to act solely in another partys best interest) and their impact on consumers, broker-dealers and investment advisers
Guiding investors to financial security Divorce does not have to mean Financial Disaster An Anti-Wall Street Approach to Investing
Customizing a Plan
10
Divorce Resource Center of Colorado
What is the TPP all About?
13 14
With sacrifices seemingly outweighing gains, is the TPP worth the trouble? And why the secrecy?
26 Integrated Financial Group

keeping it all in The Family
With Your Goals in Mind
28 de Visscher and Company, LLC 30 Adams Hall Wealth Advisors

A Conservative Approach to Asset Management
Lawyers Finding Happiness
Active presence online pays off, thanks to YouTube, Facebook, Twitter and LinkedIn.
31 Hawkes Wealth Management
Over the last several years, the inevitability of unmanned drones soaring overhead in the U.S. skies has been a controversial subject for countless military / Gov. experts
2015 year of the Drones
32 Balaced Asset Strategies, Ltd. 33 Business Nerds

Analytical nerdiness gets the job done
Lending an Ear to Investors establishing a good relations
THE SUIT MAGAZINE - DEC / JAN 2014
34 Group 50
Why companies need a strategic consultant
55 Freshman & McGlynn
36 Vion Receivable Investments 38 Metroway Properties 38 Maxele Advisors

Renting Your Way to Home Ownership
Collaborative Divorce: Leaving Families in Control
A Receivables Expert Interested in Consumer Protection
56 Provenance Wealth Advisors

Conscious of Risk Open to Opportunity
Helping People Successfully Plan for the Future
57 Partners in Financial Planning 58 Financial Recovery Technologies 61 Intrepid Capital Funds

Emphasis on Emerging Markets Investing for Those Under 50
39 Capitol Risk Solutions

Valuing Professional Advice
Maxele advisors promise undivided loyalty to their clients
Cybercriminals Shake Up Insurance Industry
60 Clarendon Capital Management LLC 62 Cabot Money Management, Inc.

Keeping Clients From Unnecessary Risk
Capturing Past Security Losses with Attention to Detail
40 Life Certain Wealth Strategies

Helping the Underdog Overachieve
A Lone Wolf Among Sheepish Money Managers
42 Axiom Capital Group 43 Synthesis Advisors
Friendship for Successful Investment Advice Looking out for the green industry
64 Compass Capital Management, LLC 65 Tech Advocate Group 66 NEM Technology 67 Whitham Group
LAW TECHNOLOGY & INNOVATION
43 Oak Creek Insurance Industry 44 Fieldstone Financial Management 46 Newamerican Funding

No Loose Standards Keeps Lending Tidy
Offering Financial Advice Not Products Real Financial
Personalized Software Solutions Allowing for Small Companies to Compete With the Big Wigs Effective Training Delivery/Cloud Computing IT Business Renewable Energy, Sustainable Executives
dsf Group 47 Experience Pulls Ahead of Competition
48 Cowan Financial Group, Inc.

Invest Only After a Thorough Examination
49 SS&G Wealth Management

Financial planning with honesty
68 Collaborative Practice and Mediation Sevc.

Walking Couples Through Divorce-o-nomics
50
Tax Savings Realized, Capturing Benefits of Detailed Engineering Analysis
Benford Cost Segregation
69 Grossman & Grossman P.A. 70 Kaman & Cusimano, LLC 72 Hall Law Group, PC
Putting the Children First A More Therapeutic Alternative Communicate, Dont Litigate Representing Comm. Ass.
52 ShorePoint Capital Partners 54 Engineered Risk Advisory
Singles and Doubles for Rounding the Financial Diamond Attorney, Advocate and Bit of a Rebel When You Think Youve Thought of Everything
71 Walter Weiss, A Law Corporation
55 Fitzgerald Financial Partners
Without a Financial Plan its Just Luck Its Not What You Make; Its What You Keep
73 Emery Law & Mediation, P.A.

Real Estate, Practiced with Conscience
THE SUIT MAGAZINE p.5
by diane e. alter
BABY BOOMERS
BEHIND ON SAVINGS
It looks like the golden years will have to wait for scores of Americans
ndeed, according to a recent survey by TD Ameritrade, Boomers and Retirement, the average baby boomer is roughly a half million dollars short on retirement savings. Moreover, 74% of survey participants say they need to rely heavily on Social Security in their retirement years. Thats a sobering thought, especially with talks of Social Security soon becoming insolvent. And, the average Social Security check is $1,230 a month leaving little, if anything, for emergency expenses. Because they need more money, more and more people are delaying retirement, continuing to work past 65. Data from the 2010 Census showed the share of workers 65 and older in the labor force rose to 16%, up from 12% two decades earlier. The National Foundation for Credit Counseling (NFCC), which assists people who are having trouble paying their bills, reports one-third of its 3 million clients nationwide in 2012 were 55 or older, a 7% increase over two years. Plus, nearly 15% of those were over 65. An equally dismal picture comes from American Consumer Credit Counseling, which reports 25% of its clients are 55 and older. Unquestionably, a growing number of seniors are headed into retirement saddled with debt, running the gamut from mortgages to credit card debt to student loan obligations. Just to make ends meet, they have raided retirement accounts and exhausted savings. Blame the dot.com boom and bust, the real estate bubble and the extended and elevated unemployment level for these troubling findings: A survey by the Employee Benefit Research Institute found that most workers polled said they have no savings or investments 37% of those polled in the 2012 Retirement Confidence Survey said they believe they will have to wait until after age 65 to retire According to an AARP survey, 34% of older Americans use credit cards to pay for basic living expenses. Their average credit card debt is $8,248, and about half have been called by debt collectors. Economists have many explanations for what determines savings behavior and what has caused the U.S. savings rate to decline beginning in the 1980s, but none of these explanations receives good support from the actual numbers, Steven Pressman, Professor of Economics at Monmouth University in Long Branch, NJ, told The Suit. As for the (money) problems faced by seniors, there are many explanations here too, Pressman continued. But the explanations here do considerably
better. In short, pensions have changed. They are now defined contributions rather than defined benefit plans. The economy has changed. The largest fraction of middle-class savings in the U.S. has been in the form of home equity, and home prices have declined significantly since 2007. And, Social Security has changed in two important ways. First, the age to collect full Social Security benefits was gradually increased from 65, resulting in lower benefits for those who retire and begin to collect benefits at age 65. Second, people can now collect Social Security benefits at age 62, although they get a lower amount if they collect earlier. Many have
elected to do this. In sum, Pressman added, The three pillars supporting people in old age are shaky and less reliable today than they were several decades ago. There is no easy fix. Some seniors will take on part-time job, some will alter retirement goals, and many will do without. Without question, there is going to be an increased need for more financial planners and consumer organizations. The big question facing most baby boomers today isnt at what age they will retire, but at what income.
I Higher Contributions R S To 401(k) Plans

o be sure, there is a savings shortage in America, despite a bevy of programs aimed at encouraging stashing money away for retirement. On Oct. 31, 2103, the Internal Revenue Service announced cost-of-living adjustments affecting dollar limit contributions for pension plans and other retirement-related savings vehicles for tax year 2014. Participants 401(k) contribution limit remains at $17,500, and the catch-up contribution stays at $5,500, but the annual defined contribution limit from all sources rises to $52,000 from $51,000. Also increasing is the amount of employee compensation that can be considered in calculating contributions to defined contribution plans. The new amount rises to $260,000 from $255,000. These increases give participants the potential for getting a little more a bang out of the plan at least if their employers want to give them more money, retirement planning firm Van Iwaarden Associates noted in an online commentary. The primary benefit of the recent changes is that individuals who have very large DB benefits (shareholders in a professional firms cash balance plan) could see a deduction increase if their benefits were previously constrained by the [Internal Revenue Service Code Section 415] dollar limit, Van Iwaarden wrote. Also left unchanged is the limit on annual contributions to an individual retirement account (IRA), which remains at $5,500. The additional catch-up contribution for those over 50 stays at $1,000. For a Roth IRA, the adjusted gross income (AGI) phase-out range for taxpayers making contributions rises to $181,000-$191,000 for married couples filing jointly. Thats up from $178,000-$188,000 in 2013. For singles and heads of household, the income phase-out range jumps to $114,000-$129,000, up from $112,000-$127,000. Contributing enough to a retirement plan is perhaps the best way to take control of a financial future. Undeniably, the more money that is put in a retirement account, the more there is to help investments grow. For employees of organizations that match retirement plan contributions, not contributing enough to get the full match is akin to refusing extra money for the future. One of the greatest advantages of increasing contributions is that its one of the few elements an individual can control when it comes to retirement planning. There are a number of retirement tax breaks, including contributing to retirement plans. The IRS wants taxpayers to take advantage of them, yet many fail to do so. One solution, according to John Friedman, an assistant professor of public policy at Harvards John F. Kennedy School of Government, is to implement an automatic retirement contribution policy or default plan. Friedman believes it would be an effective way to get people to save more. And, the monetary impact of such a policy on the government would be less than it currently spends on a wide variety of tax incentives.
Uniform Fiduciary Standards Moving Forward
great debate over fiduciary standards (the legal duty to act solely in another partys best interest) and their impact on consumers, broker-dealers and investment advisers has been raging ever since the confidence-shattering 2008 financial meltdown. In the summer of 2013, the Securities and Exchange Commission fielded suggestions and comments from industry professionals regarding the possibility of initiating a uniform fiduciary standard. Wall Streets regulatory board was prompted by numerous studies revealing the fact that a great many retail investors are confused by the different roles played by investment advisers and brokers. Additionally, calls from myriad consumer groups for this type of uniform standard continue to rise. Both the SEC and the Financial Markets Association, the main lobbying group for Wall Street firms, oppose such a recommendation, citing legal headwinds. Such a move aims to apply to brokers laws written for investment advisers. The organizations endorsement is for brokers who give customers recommendations to buy, sell or hold a security but dont provide advice not to be held to a fiduciary duty. Brokers would only have to comply with the less stringent standard of investment suitability. Meanwhile, those who hold themselves out as investment advisers, based either on the titles they use or the manner in which they market their services should have a fiduciary duty.
The big push for a uniform standard is mainly coming from investment advisers, who pride themselves on acting out of duty and loyalty. They claim that, during the process of executing orders for customers, brokers can actually wind up providing advice, and thus should be held to the same strict standards that they themselves follow. Independent advisers have long worried that their so-called fiduciary standards could be diminished or diluted by the actions of brokers. Brokers fear they wont be able to sell mutual funds without falling under tougher standards, even when dealing with customers who merely want to execute an investment transaction and are not looking for investment advice. The primary goal, regardless of the outcome, is to prevent abusive sales practices. Just before Thanksgiving, the Investment Advisory Committee, which is advising the SEC on the regulation of securities products, unanimously voted to recommend that the SEC set a uniform fiduciary standard for most brokers and registered investment advisers for acting in the best interest of their clients whenever they give financial advice. While the vote doesnt mean that the SEC will adopt the IACs recommendation, it is a big step in that direction. With Wall Streets reputation sorely sullied from the financial crisis, the Bernie Madoff Ponzi scheme and the Allen Stanford scandal, a uniform fiduciary standard would definitely add some sorely needed improvement to the industrys image.
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by travis taylor
A summit with leaders of the member states of the Trans-Pacific Strategic Economic Partnership Agreement (TPP). Pictured, from left, are Naoto Kan (Japan), Nguyn Minh Trit (Vietnam), Julia Gillard (Australia), Sebastin Piera (Chile), Lee Hsien Loong (Singapore), Barack Obama (United States), John Key (New Zealand), Hassanal Bolkiah (Brunei), Alan Garca (Peru), and Muhyiddin Yassin (Malaysia). Six of these leaders represent countries that are currently negotiating to join the group.
What is the Trans-Pacific Partnership All About?
With sacrifices seemingly outweighing gains, is the TPP worth the trouble? And why the secrecy?
n 2010, the Trans-Pacific Partnership (TPP) began to take shape. An expansion of the 2005 Trans-Pacific Strategic Economic Partnership Agreement, or TPSEP, the TPP expansion sought to increase trade and reduce tariffs in the Asia-Pacific region. But with each round of negotiations between a growing list of countries, concerns about the true nature of this agreement continue to grow. TPSEP was initially a trade agreement between Brunei, Chile, New Zealand and Singapore. It sought to expand the goals first set forth by APEC, the Asia-Pacific Economic Cooperation, which were further economic growth through trade and investment. For the TPSEP agreement, the founding countries were looking to strengthen friendships between the countries, create and secure markets for all of their goods and promote common frameworks within Asia.In 2008, the United States expressed an interest in joining the negotiations. By 2010, TPSEP had expanded into the TPP, today encompassing more than a dozen countries, including the U.S., Mexico, Canada, Japan and Vietnam. Those countries make up 40 percent of the worlds economy with a total GDP of $27.5 trillion.Once the basic idea of the TPP changed, so did its alleged list of goals alleged because all of the negotiations between the participating countries are held in secret. The Australian government recently refused to give their Senate access to the text of the deal. The official response from the Australian government was that the document would only be made public after it was signed. In the U.S., President Obama wants to push the completed deal through Congress with only an up or down vote. An up or down vote forces a bill past committees who would review it, through potential legislation designed to delay or stop it and onto a floor vote. Members of Congress 130 of them asked the White House for more transparency on TPP but their request was denied. The intention of the TPP was to settle agreements on trade in competition policies, intellectual property, and goods and services. So far, special interest groups, such as those who pushed for the Stop Online Piracy Act (SOPA) and the Protect Internet Protocol Act (PIPA), have been allowed access. Both SOPA and PIPA sought to give the federal government the ability to stop websites with copyright infringement issues. SOPA was for both foreign and domestic sites, while PIPA was just foreign sites. If a site was found to be in violation, a court could order that
it be taken down. The controversy lay in fact that the court could rule without hearing from the site or its owner, giving them no chance to defend themselves. From leaked TPP documents, it appears that the agreement somewhat curtails sovereign independence to institute more standardized global rules. To put it in perspective, there is the possibility that these global rules could violate parts of the U.S. Constitution and the U.S. would have no choice but to follow suit. Also, leaked sections of the IP chapter of the agreement appear to severely limit freedom of speech online. Several copies of leaked drafts of these secret negotiations show that two of the biggest focal points of the meeting have been about IP and the environment. Even the World Wildlife Fund has taken steps to influence the TPP negotiations. The group held an event in Washington, D.C. with other environmental groups.
The goal was to showcase their support of the U.S. in achieving new measures for environmental protection. From the website of the Office of the United States Trade Representative, Ambassador Michael Froman said, Over the past decades, the United States has been a pioneer in leveraging comprehensive trade agreements to promote and enhance environmental protection on the ground in our partner countries. The United States views the TPP as an opportunity to build on our existing relationships by targeting some of most pressing regional environmental challenges, such as conserving wildlife and forests, and protecting our oceans and marine resources. The overall secrecy of the TPP along with the potential agreements from leaked documents has led to myriad outcries. One of the loudest has come from Dean Baker, co-director of the Center for Economic and Policy Research. On a recent appearance on Bill Moyers TV program, Moyers & Company, Baker said, This really is a deal thats being negotiated by corporations for corporations, and any benefit it provides to the bulk of the population of this country will be purely incidental. According to Baker, concerning different parts of the treaty be it Internet, drugs or the environment the industries themselves are invited to the negotiations. Instead of environmental groups, oil and gas companies have added their thoughts as to what these
new regulations should be. Of the documents leaked, merely five of the 29 chapters of the agreement actually address trade issues. What has been leaked includes allowing drug companies to raise the prices of drugs while at the same time lengthening the life of patents. By lengthening patents, the time frame is lengthened before any type of generic drug can appear on the market a direct hit on consumers' pocketbooks. If this were really about trade, wed be going, How can we bring [drug] prices down? Baker said on Moyers & Company. But instead, you have the drug companies there and theyre not talking about bringing them down. Theyre talking about how to bring them up. With all of this bad news leaking out, is there anything good about the TPP? The Asian Developmental Bank has estimated that a majority of the participating countries will see an economic gain. According to the Office of the United States Trade Representative, the U.S. is looking to gain $77 billion per year in generated income. By 2025, U.S. exports are expected to reach $123.5 billion. Globally, world exports are predicted to generate $305 billion per year by 2025, as well as $223 billion in what has been called income benefits. As with any agreement, there is always a certain amount of give and take. But the big question is, does the TPP take away too much?
Currently in negotiations Announced interest in joining Potential future members
by judy magness
Yes, Virginia, even Lawyers can Find Happiness Online.

Kevin OKeefe is CEO and publisher of LexBlog, Inc. He and LoTempio agree about the power of traditional word-of-mouth marketing as a valuable networking tool within the legal profession. As social media emerged, however, both saw the potential to reach people in a way they never could before. Lawyers have always gotten their best work by virtue of relationships and their word-of-mouth reputations. The Internet hasnt change that, it has accelerated it! exclaimed OKeefe. Those lawyers who are wise enough to look at the computer on their desk and realize that it is a way to network with everybody else who has a computer on their desks or in their pockets, are going to nurture and build new relationships and grow their reputations and grow their businesses. He points to Peter Mahler, a partner with the law firm of Farrell Fritz who has cultivated a significant number of new relationships, and ultimately new clients, through his blog, New York Business Divorce focusing on business dissolutions in New York state. And then there is Staci Riordan, a partner at Fox Rothschild LLP, who built a national, if not international, reputation as a fashion law expert through her popular Fashion Law Blog in conjunction with a Twitter and Facebook presence. OKeefes marketing premise is simple. He says that you have to go where the people are and tell them something useful. Having influence is invaluable as a lawyer. If youre not positioning yourself as an expert through blogging, or if youre not using Twitter or Facebook how do you remain relevant when youre not going to where the people are? If youre not relevant, how do you build relationships? How do you get work? he poses. Larry Bodine, editor-in-chief of Lawyers.com, a leading consumer-focused legal website, reports that law firms and attorneys are warming up to social media. In a recent post on his LawMarketing Blog he shared some statistics from the American Bar Associations 2013 Technology Survey Report. There has been a slow but steady rise in law firms maintaining a social media presence, from 17% in 2010 to 59% in 2013 and law firms with blogs rose from 14% to 27%, respectively. LinkedIn is the clear winner with 98% of individual attorneys reporting that they use this professional social media networking tool. And while celebrities may use Twitter to post their latest selfie (a photograph one takes of oneself), 19% of the survey respondents said that their firms use this dynamic platform, a 6% jump from last year. On Twitter, OKeefe positions himself as an intelligence agent for news in specific areas, and suggests that lawyers do the same by sharing relevant information that people find interesting enough to want to share with other people. If you are a trusted source of news and information on a niche that relates to what you practice in law, you are only one inch away from being hired or at least one inch from getting a phone call. So with Twitter, think about the power of that. OKeefe, whose firm offers turnkey online marketing services in addition to providing a blogging platform, predicts a shift in the mindset of the larger firms to move towards empowering and educating partners to build a social media platform. Those firms are going to shine and be the firms that flourish. Theyll be the firms where people want to work. Theyll get the lateral hires and attract young people because they are empowering the individual. LoTempio concluded, Lawyers are inherently conservative and loath to try anything new. But its hard to ignore what everyone else is doing on the Internet and its not surprising that law firms want a piece of the social media pie. www.klosslaw.com
incent LoTempio, a patent attorney with the law firm of Kloss, Stenger and LoTempio based near Buffalo, New York, received a call from a gentleman in Alaska interested in obtaining a patent. LoTempio asked the caller, How did you find me? The caller laughed and said, Well, I found your blog first, then I watched a few of your videos and a few other things I liked you and decided to call. How did the phone conversation end? LoTempio wrote a patent application for his new client. Just that one application paid for a years worth of blogging, said LoTempio who, in addition to writing the LoTempio Law Blog, also has a YouTube channel, a Facebook page and an active presence on Twitter and LinkedIn. Since LoTempio is a federally registered patent attorney, he can work with clients from anywhere in the U.S., which is the reason he includes a tollfree telephone number on his blog. It pays off he receives inquiries from all over the country. Without social media, how would I get calls from almost every state? My phone isnt ringing off the wall, but people are finding me, said LoTempio, whose blog is published by LexBlog, Inc., the premier blogging network dedicated to the legal profession. It boasts over 8,000 lawyers from around the world, including lawyers from almost half of the 200 largest law firms in the U.S.
2015:
O
ver the last several years, the inevitability of unmanned drones soaring overhead in the U.S. skies has been a controversial subject for countless military and governmental experts, as well as many technology and policy analysts in this country. In fact, last February Congress ordered the Federal Aviation Administration to open up the skies to drones by September 2015. But imagine a cluster of metallic birds hovering everywhere in the U.S. skies, whizzing across urban cities and rural areas alike, causing chaos and alarming the masses. Techno-thriller writer Daniel Suarez, in his novel Kill Decision, tells the story of a group of rebels who produce robotic drones that can recognize enemies and make the premeditated decision to kill them without human intervention. For over two decades, the former IT consultant said that he designed logistics systems for major corporations and the military in the Silicon Valley and throughout the U.S. Today, SuTHE SUIT MAGAZINE - DEC / JAN 2014
Year of the Drones
U.S. Technology Flourishes despite Fears

Reported by L.A. Rivera, Amy Armstrong and Monica Link
arez is close to being a drone expert. Drone technology is a technology whose time has come, says the former the tech-head, from his home in California. Like most new technologies, we have to figure out how to incorporate it into our society without radically altering society. We have done that with many things: cell phones, radios, the Internet and email, and we grappled with these things. Suarez continues, Its always complex, but we still need to adopt these (new) things. I think corporate systems will be used, and I think many companies that will have the most success and receive the least public resistance will use it internally. One industry is precision agriculture, where they will be helping to maintain crops in very rural places. He added, Where there aren't many people who will be disturbed by their presence. However, Suarez said that corporate America has already embraced the new technology. I think it will be used in logistics by many corporations. But I
think internally it will be used in automated warehouses. Amazon proposed using drones to deliver packages. he explains. I dont see that as a realistic (goal), because I see tremendous complications. There are liability issues. For example, a 55-pound drone could fall on somebodys head, he pauses. But they will use them in the warehouse (distribution centers). According to Suarez, one problematic issue surrounding the use of drones is that the impetus for automated warfare seems inevitable. There are a number of people within the Defense Department who have a problem with it, he added. Back in November of last year, the Pentagon said that human beings must be in the loop when a lethal decision has to be made with a drone or with automatic sniper stations. Thats why I wrote Kill Decision, he remarked. On the international front, however, the Middle East continues to be a sorely troubled spot. In Pakistan, for example, U.S. assassination drone strikes
persist to violate international Pakistani rule, according to Prime Minister Nawaz Sharif. Pakistan is expected to present the issue to the United Nation as a case of violation of sovereignty. Launching a bloodless war by sending out missions using drones could inevitably be detrimental to the U.S, even in the near future, Suarez noted. Right now the U.S. has the most advanced drones, he said. But 70 other nations are developing drones which can (escalate) cyber-espionage. Thats because technology has a tendency of spreading out throughout modern societies that are data-driven. Individuals with substantial data trails can move through society, using cell phones, telephone records and email. And its these trails that killer drones would be able to filter, particularly in autocratic societies. For example, in dictatorships, they can use these machines and set them loose (into a society), he added. Suarez said he supports the Campaign to Stop Killer Robots sponsored
by Human Rights Watch. The organization calls for a preemptive prohibition on fully autonomous robotic weapons. I think we have to act ahead of time before these robots are released, he said. Some experts predict that these autonomous weapons could be fully operational in 20 or 30 years. Meanwhile, Suarez believes that the drone revolution is alive and well and functioning largely for the good of mankind. For example, a heavy drone-zone is flourishing in Alaska. Not only are they up on the technology, but the drones have plenty of terrain to roam. And theyre finding their way into many aspects of life in Alaska, on whats known as The Last Frontier. From mapping shorelines near oil field exploration to monitoring the health of sea lion rookeries located on isolated Aleutian Islands rocks in the Gulf of Alaska cropping out of some of the stormiest water on the planet drones play a role in making what is a big, big place seem just a little bit more
manageable. Alaska comprises 586,000 square miles, dwarfing Texas, the nations second largest state but the most massive one within the contiguous states. Its often joked, in Alaska, that if Alaska could be cut in half, Texas would then become the third largest state and by a fairly significant margin at that. Because of its size, rough terrain, extreme weather conditions and rural nature, Alaska has always been an aviation-centric state. A lot of good pilots notwithstanding, theres plenty of territory to cover in Alaska and drones are taking their place in making things happen. At the Geophysical Institute located at the University of Alaska Fairbanks, Greg Walker heads up the team comprising the Alaska Center for Unmanned Aircraft Systems Integration, a federal program. Its name has been associated with mapping glaciers in Chile, locating ancient burial sites in Iceland and tracking poachers in South Africa, by piloting the centers various diversified airplanes as Walker
likes to call them. Within the United States, those airplanes have helped track wildfire patterns, searched for missing hikers, identified the size of the salmon population on Idahos dam-laden Snake River, monitored dome activity in what is left of the Mount St. Helens volcano in southern Washington and demonstrated search and rescue mapping capabilities in interior Alaska at temperatures ranging from lows of minus 20 to minus 30 degrees Fahrenheit. His team has nine different platforms the more technical term for unmanned aircraft of various types and sizes. Walker's smallest, weighing in at 3 to 5 pounds, is capable of carrying a highly-sensitive camera into some tight spots. One of the most important of these is the North Slope oil field operations, where thousands of miles of intricate pipes contains oil before being piped more than 800 miles across the states wilderness to the port of Valdez, where it is shipped to lower 48 refineries. Even the smallest of leaks is costly,
as British Petroleum painfully learned in March 2006, when a dime-sized hole leaking for five days spilled 212,252 gallons of crude oil on 1.9 acres. This cost BP $66 million between the $20 million fine under the U.S. Clean Water Act, a $25 million civil penalty to the state of Alaska and reimbursements to other oil producers for the time period the pipeline was shut down. A little leak and it was a little leak in terms of the size of the hole can cause a lot of environmental damage, Walker said. In 2006, humans on the ground checked pipeline integrity. Today, drones are being tested and demonstrated for the task. Other applications include flying drones at ten feet above sea ice far closer than even the most sophisticated traditional airplane can safely manage to track how much solar radiation the ice is absorbing, as well as measuring the depth of ice. That second parameter has major financial implications for transportation as increases in cross-polar shipping traveling via the Arctic Ocean between Asian and European
ports includes icebreakers shepherding large cargo ships through treacherous conditions. If drones can prove successful in measuring sea ice depth ahead of the ice breakers, capable of directing them to areas with thinner ice, the savings in the cost of fuel alone will make this northern shipping lane even more viable and its reach global. Using drones could also save human lives. Three Canadian Coast Guardsmen died in Sept. 2013 from exposure after their helicopter crashed in McClure Strait in the Canadian Arctic Ocean while monitoring ice depth for a Canadian icebreaker. For now, Walkers program is focused on developing unmanned aircraft that can perform civilian or commercial-oriented tasks. Its challenging, as each type of terrain; each weather condition has its own specifications. Initially, these aircraft were built for military surveillance in the desert in the Middle East, Walker said. Something that was designed to basically be a glider in the desert isnt going to work in other environments such as we have here in Alaska and other parts of the world. So we have to find ways to adapt the technology. In fact, the UAF program was named as one of six national test sites by the Federal Aviation Administration on Dec. 30, 2013 as part of the administrations effort toward its current stated goal of allowing commercial unmanned aircraft in the nations airspace by 2015. Actually, small and large drones have been used for years to aid top-secret military missions, but today small business owners are also finding new ways to use drones small flying remote-controlled objects that are equipped with cameras to shoot aerial photos and videos.
***
n fact, in the city of Detroit an innovative entrepreneur is already making his mark, using his version of drone technology to aid police and fire departments in financially cashstrapped municipalities. Harry Arnold, founder of Detroit Drone, has always loved flying radio-controlled airplanes. As a young boy, it was one
of his favorite hobbies. Detroit Drone allows Arnold to combine his love for flying model airplanes with his love for photography. I've always wanted to get involved with technology that would help get cool camera shots, Arnold said. I like working with drones because the shots are unique. The pictures the drones take are not the same as a traditional camera. They are very different. Arnold is developing a program that would allow first responders to deploy drones to an emergency situation prior to their arrival. Firefighters would be able to see footage and know how
a fire is burning before arriving on the scene, Arnold said. Arnold is a part of a growing trend among small and large business owners using drone technology to take aerial photos from high above building rooftops. Drone flights last between four and five minutes and have the ability to capture high resolution shots to be used for research and development. The technology in small drones has been rapidly growing. Small drones that use GPS technology to find locations are currently being developed. In a recent interview with CBS 60 min-
utes, Jeff Bezos, CEO of Amazon.com, said that the company is researching ways to implement drone technology to fly packages weighing five pounds or less from its fulfillment centers to customer homes. The drones Amazon proposes using would have a flying range of 10 miles or less, requiring permission from the FAA. The U.S. military is also looking at ways to expand its hefty lead in deploying drone technology. Some of the latest developments include electric and fuel powered versions of drones that can be used for defense purposes. While some larger businesses can offer the use of drone technology, small business owners or struggling municipalities can't afford to pay the cost of using it. Harry Arnold is launching a $20,000 crowd funding campaign in 2014 to fund more equipment so he can lease his drones to the city of Detroit and to small businesses, who wish to use drones for other research purposes. Big companies who provide drone service can cost up to $100,000. Arnold said. People should support an independent effort to help first responders. As an independent business I can make drones much more affordable. These drones are something that can help Detroit since they are going through financial problems. As for the future of drone technology, Arnold agrees with Amazon CEO Bezos. In the next five to 10 years, I see the use of drones expanding. Arnold said. I wouldn't be surprised if mail will start being delivered by drones.
able to fly away, he added: Basically, eliminating the evidence. Jay Stanley, a Policy Analyst for the American Civil Liberties Union (ACLU), said that the stirring controversy surrounding drones and the issue of privacy has been hotly debated amongst lawmakers, policy analysts and law enforcement officials. Our biggest concern is that drones potentially might be used in mass surveillance and could track an entire city, Stanley explains. We want to ensure that we adopt privacy regulations, so privacy invasions dont happen. Now the drone revolution has landed squarely in middle America. In a small rural town in Colorados Eastern Plains, Mayor Frank Fields has declared war on drones. The town of Deer Trail plans to pass an ordinance in April 2014 to begin issuing drone-hunting licenses. The ordinance was to prohibit drones in our airspace and in the town limits, Fields said. It was more of a novelty to generate a little money for a community center, he added. People in our town are leery. So it kind of opened up people's eyes to drones. If the mayor of Deer Trail spots a cluster of drones airborne in the sky will he shoot to kill? No, because I havent bought my license yet, he says with sly chuckle.
***
eanwhile, thousands of civilian drones are expected to crowd the U.S. skies within a few years, raising much concern that they can be used for corporate spying. Its not difficult to create essentially a flying hacking platform, Suarez argues. I saw one installed in an old gunnery drone from the 1980s, which was used in the military. They were able to put in a 4-5 pound tracking system and use it to intercept cell phones. And when the drone was done. It was
Excerpt of Influx by Daniel Suarez

Reprinted by arrangement with DUTTON, a member of Penguin Group (USA) LLC, A Penguin Random House Company. Copyright Daniel Suarez, 2014. In addition to his book Kill Decision, about drones, Suarez is also the author of Daemon, Freedom, and the upcoming tale, Influx, which will be released on February 20, 2014. His new opus chronicles particle physicist Jon Grady and his team. Together, they create a device that can reflect gravity. Their research will revolutionize the field of physics the crowning achievement for Grady and his crackerjack team. Now Grady expects widespread acclaim and perhaps even the Nobel Prize. Instead, his lab is locked down by a shadowy organization. Here is a brief excerpt from Influx:
Bureau of what now? The Federal Bureau of Technology Control. Weve been monitoring your work with great interest. Anti-gravity. Now that is a tremendous achievement. One might say a singular achievement. Likely the most important innovation of modern times. You have every reason to be proud. A male voice spoke just to his right, startling him. Your water, Mr. Grady. Grady turned to see a humanoid robot standing next to him a graceful creature with soft, rubber coated fingers whose body was clad in a carapace of white plastic. Its face consisted only of beautiful tourmaline eyes, glowing softly. Looking at him expectantly. Grady glanced down to see a glass of water in its hand. Uh He gingerly accepted the water and held it with increasing numbness. Hedrick watched him closely. You really should sit down, Jon. You dont look well. Grady nodded and moved toward a chair in front of the great desk. What the hell is this place? I told you, Jon. This is the Bureau of Technology Controlthe BTC. Were the federal agency charged with monitoring promising technologies, foreign and domestic; assessing their social, political, environmental, and economic impacts with the goal of preserving social order. Preserving social order. We regulate innovation. Because, in fact, humanity is far more technologically advanced than you know. Its human nature that remains in the Dark Ages. The BTC is a safeguard against humanitys worst impulses. Hedrick continued, Mankind was on the moon in the 1960s, Jon. That was half a century ago. Nuclear power. The transistor. The laser. All existed even back then. Do you really think the pinnacle of innovation since that time is Facebook? In some ways, what the previous generation accomplished is more impressive than what we do now. They designed the Saturn V rocket with slide rules. That they could make it work at all. So many parts. So many points of failure. They were the great ones. Were just standing on their shoulders. Grady turned forward again. What does any of this have to do with me? Why am I here?
The man motioned for his visitor to come forward. Mr. Grady, its good to finally meet you. Ive read so much about your life and work. I feel I know you. Please, sit. Can we get you anything? Jon Grady still stood twenty feet away. Uh. ImIm just trying to understand whats going on. The man nodded. It can be disorienting, I know. Whowho are you again? Why am I here? My name is Graham Hedrick. Im the director of the Federal Bureau of Technology Control. I must congratulate you, Jon may I call you Jon? Grady nodded absently. Sure. I hold it. The Federal
by judy magness
From Investment Club

to Lipper Fund Award
the award-winning Young Investor Fund, they comprise the Monetta Family of Mutual Funds managed by Monetta Financial Services, Inc. Together, along with the flagship Monetta Fund and the award-winning Young Investor Fund, they comprise the Monetta Family of Mutual Funds managed by Monetta Financial Services, Inc. Monettas equity investment strategy is to identify and invest early on in growth companies, while following changing investor sentiment and market trends. Their fixed-income strategy seeks high current income and preserves capital, primarily through investment quality bonds. The family of funds offer diversified investment opportunities, low minimum investments*, retirement accounts and investing programs for children. We are money managers we are not investment advisors or financial planners, said Bacarella, who was well prepared to lead Monetta Financial Services as the firms chief executive officer. After college, he worked in the treasury department of a Fortune 500 company responsible for investing excess cash, commercial paper and treasuries. As he moved up in rank, he oversaw more than one billion dollars in assets, handled by several pension fund managers within the company. Monettas mission is to assist shareholders in reaching the financial goals they set for themselves and their families. They do this by creating a range of investment products and striving to generate above-average performance results by using an active team-managed investment approach. The Young Investor Fund, which invests approximately 50% of its assets in exchange traded funds (ETFs) and other funds that track the S&P 500 Index, seeks to control risk relative to the market through the Index weightings. In all the different approaches Ive tried throughout my career, I am most comfortable with this. I feel I can control and minimize risk relative to the market with this innovative passive and active approach, Bacarella said. I have my kids, grandkids and other family members in it and Im excited about the funds long-term prospects. And there is good reason to be excited about it. The Young Investor Fund was the recipient of the 2013 Lipper Fund Award for the best Multi-Cap Core Fund based on consistent risk-adjusted performance among 214 funds over a five-year period, ending November 30, 2012. Bacarella not only derives professional satisfaction from being fund manager of the Young Investor Fund, but also personal fulfillment, in fact in 2008 his son Robert J. Bacarella joined the firm. The fund exemplifies his belief in a family approach to investing and in the importance of promoting investment education at a very early age. We have a whole program on financial literacy and education for children to open their minds to the concept of investing, Bacarella said. We know that children are technology savvy, so we connect with them on our website by providing a page that features numerous games and activi-
obert S. Bacarella reminisced about the investment club he started in 1979. We were five guys in a basement and we each put in $250, he said. We named the club Monetta, which is a take-off on the Latin word for money, moneta. The five club members asked friends and relatives to invest, too, and before long there were over 100 people. When you have family money, you have to do well or you know what happens, quipped Bacarella. So the fab five decided to form a limited partnership that was the basis for starting a mutual fund. We started the process in 1984 and by 1986, we launched the Monetta Fund. This eventually led to the establishment of the Young Investor Fund, and one other mutual fund we have today. The other fund that Bacarella references, is the Orion/Monetta Intermediate Bond Fund. Together, along with the flagship Monetta Fund and
ties to educate them about money and investing. They also receive an entertaining quarterly newsletter to fill out. They learn something thats the whole idea. This emphasis on families and kids is important to us, said Bacarella. We reach out to investors and families to help them understand how money should be managed and we help people develop the life skills that they will need to do well over time. Promoting financial literacy is so important to Bacarella and his Illinois-based firm, that he authored a 24-chapter investment workbook that is currently given to Monetta fund investors and their children, and is also being used in some Chicago area high schools to teach students basic investment concepts.
Helping families start early to invest for a childs college education is also a part of the Monetta mission. They created a gift registry for the children of their investors. After parents enroll their children in the registry, then family members can contribute to that account for the childs college education with a debit or credit card.
Monetta Family of Mutual Funds 1776-A S. Naperville Rd., Suite 100 Wheaton, IL 60189 1-800-MONETTA Phone: 630.462.9800 www.monetta.com
Monetta Financial Services, Inc. paid to have this article produced. * An account may be opened with a minimum deposit of $100 and a monthly automatic investment plan deposit of at least $25, or with a $1,000 deposit. An Automatic Investment Plan does not assure, and does not protect against, a loss in declining markets. Such a plan involves continuous investment in securities regardless of fluctuating price levels and investors should consider their financial ability to continue purchases through periods of low price levels.
liquid than investments in U.S. securities and may lose value because of adverse political, social, or economic developments overseas. In addition, foreign investments may be subject to regulatory and accounting standards that differ from those of the U.S. The Funds may make short-term investments, without limitation, for defensive purposes, which investments may provide lower returns than other types of investments. The Monetta Young Investor Fund invests approximately 50% of its assets in exchange traded funds (ETFs) or other funds that track the S&P 500 Index. The cost of investing in the shares of ETFs will generally be lower than investing in other mutual funds that track an index, which will be subject to certain risks which are unique to tracking the Index. However, if the Fund invests in other mutual funds that track an index, your cost of investing will generally be higher. The S&P 500 Index is a broad based unmanaged index of 500 stocks, which is widely recognized as representative of the equity market in general. Since indices are unmanaged, it is not possible to invest in them. A Lipper Fund Award is awarded to one fund in each Lipper classification for achieving the strongest trend of consistent risk-adjusted performance against its classification peers over a three, five or ten-year period. Although Lipper makes reasonable efforts
The funds investment objectives, risks, charges and expenses must be considered carefully before investing. The summary and statutory prospectuses contains this and other important information about the investment company, and may be obtained by calling 1-866-964-4683, or visiting www.younginvestorfund.com. Read it carefully before investing.
All investments, including mutual funds, have risks and principal loss is possible. Mid-sized companies and mid-cap stocks may be more volatile than large-cap stocks. The Funds may invest in foreign securities which tend to be more volatile and less
to ensure the accuracy and reliability of the data contained herein, the accuracy is not guaranteed by Lipper. Users acknowledge that they have not relied upon any warranty, condition, guarantee, or representation made by Lipper. Any use of the data for analyzing, managing, or trading financial instruments is at the user`s own risk. This is not an offer to buy or sell securities. Lipper Analytical Services, Inc. is an independent mutual fund research and rating service. The Lipper Fund Awards are part of the Thomson Reuters Awards for Excellence, a global family of awards that celebrate exceptional performance throughout the professional investment community. The Thomson Reuters Awards for Excellence recognize the worlds top funds, fund management firms, sellside firms, research analysts, and investor relations teams. The Thomson Reuters Awards for Excellence also include the Extel Survey Awards, the StarMine Analyst Awards, and the StarMine Broker Rankings. For more information, please contact markets. awards@thomsonreuters.com or visit excellence. thomsonreuters.com. Opinions expressed are subject to change, are not guaranteed and should not be considered recommendations to buy or sell any security. Past performance is no guarantee of future results. Distributed by Quasar Distributors, LLC.
by diane e. alter
CREATING SUCCESSFUL COMMUNITIES
Breaking Ground in the Affordable Housing Dilemma

ousing costs vary greatly across the United States, but a serious lack of affordable housing affects low-income and low-wage workers in every corner of the country. According to the National Housing Trust Fund, in order to close the gap between the swollen demand for affordable housing and the limited supply, the U.S. would need to add 4.5 million units affordable to extremely low income households. At first blush, that sounds like a daunting task. But, with funding and creativity, anything is possible, Thomas E. Nutt-Powell, owner of Capital Needs Unlimited, told The Suit.
also directed the Manufactured Housing Research Program of the Harvard-MIT Joint Center for Urban Studies. In addition, Nutt-Powell has worked with agencies in some of the countrys most devastated housing markets including Detroit, Las Vegas, Pittsburgh, Atlanta, Chicago, Washington, DC, Boston, Phoenix and East St. Louis. Nutt-Powell explained, I like providing practical and sustainable solutions today for tomorrows pressing housing needs. The key is to get the community to work together to support quality, healthy neighborhoods with a range of housing options so that families of all income levels have an opportunity to thrive. But our job doesnt stop there.
Based in Brookline, MA, Capital Needs Unlimited is a consortium of national planning and development experts dedicated to providing fully-integrated long-term community solutions. Working hand-in-hand with clients, Capital Needs Unlimited assists in the areas of community development, housing and community transformation, leveraged financing, mixed income communities, capital needs assessment and asset management. The highly specialized and acclaimed Nutt-Powell is a nationally renowned planning professional with nearly three decades of experience in the public, assisted and conventional housing markets. Nutt-Powell has served on the faculty of MITs prestigious School of Architecture and Planning, where he headed the Master in City Planning program. He
Also important is to help people transition from renters to home-owners. Many have no idea how to handle things like a dripping faucet or running toilet. With so much left to do and so many ideas still to share, the accomplished Nutt-Powell, says his greatest success is yet to come. We all have to live somewhere. Thanks to Nutt-Powell, scores of people now actually do have somewhere nice to live that they can afford. www.housing-solutions.com
by rachel velazquez
Be not afraid of growing slowly, be afraid only of standing still
- Chinese Proverb
Simplicity Matters
ts easy to hear a smile in the tone of Cheryl R. Hollands voice. In it, you get a sense of the enthusiasm and dedication the dynamic founder of Abacus Planning Group has when it comes to guiding the financial futures of her clients. We dont feel like we have to be a certain way or say a certain thing to be successful. Its all about doing a great job in the simplest and most effective manner, being technically talented but, above all, being a good human being it counts for a lot in this industry, expressed the certified financial planner, who launched her business some fifteen years ago. Headquartered in Columbia, South Carolina, Abacus began with a handful of clients. Early in her career, Holland learned that with financial planning and investment advice, she could create more wealth when you marry the two. Gradually the firm took shape via referrals, her varied volunteer work connections and through her network of CPAs and
lawyers who were so pleased with her work that they became clients as well. While the economic climate appears to be in a slow motion turnaround, Holland believes a healthy dose of skepticism still exists. People want to put together a customized holistic portfolio using as many tools as possible. My job as an adviser is to understand my clients risk tolerance, risk capacity, how much risk can they really afford to take and then mitigate that risk perception, she stated. Today, Holland says that she and her team welcome clients who may have some complexity in their financial situation. Via their expertise, she feels they can add significant value. Listening and guiding arent just two of the category sections on the home page of the company website. These words exemplify the corporate culture by which they choose to define themselves. By helping their clients envision financial planning as a transformational process that can help them live their lives more fully, Holland
and her team enable clients to move forward and become more connected with the world around them. If you are proactive and plan (your financial portfolio) well, then when lifes inevitable roller-coaster comes along, whether they are exogenous or endogenous to your system, you can weather anything. Our job is to be there, be present, be authentic and listen, Holland explained. Being transparent and keeping the lines of communication open among clients and advisers is critical. Holland and her team provide clients with a two-page summary which includes performance metrics, benchmarks and more. Its very visual, very easy to understand and this is one of the ways where I think the simpler you can keep it, the easier it is for people to stay on track. The more you can automate their savings, withdrawals all those things make a difference, because simplicity matters in our business.
2500 Devine Street Columbia, SC 29205-2400 www.abacusplanninggroup.com
Consumers Drive Credit Card Needs

By The Suit Staff ohn Gagne looks forward to the day when he might find himself walking down the street, weighing his options for that days lunch after having passed by a sandwich shop that he checked out on his mobile phone. Within a minute or so, the sandwich shop texts him an enticing message offering a free smoothie should he opt to retrace his steps and purchase lunch at that establishment. It is software technology that Gagne said is envisioned by First Data and Ignite Payments as part of a continuing move toward more consumer-driven commerce. Facilitated by mobile phones, consumers will have the option of registering their credit card information online and then storing that data in a virtual wallet on their mobile phones so they can spend money without carrying cash or plastic. Consumers want it all, Gagne said of this trend which is quickly gaining its share in the marketplace. It is part of a broader trend bringing fast-paced changes to the credit card processing industry. Gagne has been a significant player in that industry for the past 22 years, operating under the name First Data Independent Sales Atlantic. That name will be switched to Ignite Payments Atlantic in January 2014. Gagne had an unusual start. He owned an exotic pet store but sold it after just a couple of years. In 1985, the man who set up the pet stores credit card processing then offered Gagne a job in that industry. After working with a couple of different companies, in 1992 he connected with Cardser-
vice International, which was purchased by First Data 11 years later. Since then, Gagne has watched the industry change from simply processing a credit card held by the consumer, to the use of digital coupons where the credit card numbers are tied to the online offer, and redemption of the coupon is done at the point of sale. This capability and many like it that help drive and reward customers at the point of sale is facilitated thru a First Data program called Offerwise and is one of many programs Gagnes company offers to merchants to help grow their business. Since the consumer drives the market, the merchant who offers online discounts to bring in new customers and rewards to keep them coming back will accomplish two important goals in running a business; Retention and Growth. Gagne sums it up by stating, Anyone can offer a low rate on a merchant account. If we can help a business increase sales and retention, it will have the same effect on my business.
www.fdisatlantic.com
We view money as a necessary means to an end a way to provide for our life-long needs.
Women view money differently than men
We dont approach investing as a competition. Instead, we recognize its role in helping us reach our long-term goals like caring for our aging parents and improving the lives of those we love. For us, planning our financial future is about feeling stable and secure, today and long into the future.
At Adams Hall Wealth Advisors, we understand. In fact, our depth of experience in the customized management of investment portfolios and attentiveness to our clients individual needs has resulted in a 98% client retention rate. Put simply, our experienced wealth professionals focus on ensuring your financial peace of mind. So you can sleep better at night.
Suzanne Wheeler, CFP, AIF, Senior Vice President, Co-Founder, Specializes in helping women transition to financial independence Jana Shoulders, Co-founder and Chief Executive Officer, Named a 2013 Top 10 Women RIA Owner by WealthManagement.com
4200 E. Skelly Drive, Suite 950, Tulsa, OK 74135 | 918-665-2446
www.adamshall.com
by a. marie velthuizen
DIVORCE DOES NOT HAVE TO MEAN
Financial Disaster
aking financial decisions in the midst of distress is a move that financial advisers tend to discourage. Yet, when the divorce process takes over your life, your days are full of distress even when there are still plenty of financial decisions to be made. The two dont make good bedfellows, yet somehow each has to be satisfied for the divorce process to end. Enter Deb Johnson, a trained mediator and certified divorce financial analyst, who is part of a burgeoning new career field assisting potential divorcees in ways most attorneys cannot. She owns the Divorce Resource Center of Colorado, located in Littleton. At the time of divorce, clients are often filled with fear of the unknown, yet required to make major financial decisions that will impact them and their families for the rest of their lives, Johnson said. She knows this is true from personal experience gained when going through her own divorce. I dont give legal advice; that is for each clients attorney to handle. What I do is analyze their finances to determine what the short and long term financial impacts of various divorce settlement options will be. Instead of the process being an overwhelmingly draining experience, in
Johnsons mind, divorce can include personal empowerment and preparation for what lies beyond that final decree. I offer a process that leads clients through the financial complexities of the divorce step-by-step, so they feel educated, Johnson said. This includes analyzing the marital estate for assets and liabilities, determining the value of any retirement plans, stocks, bonds, pension plans, and stock options. Johnson forecasts the long-term impacts of these decisions to give her clients an estimate of future income in order to set up a spending plan. It includes giving her clients financial recommendations that prove useful for their attorneys in the legal process. She launched the firm in 2008, after 20 years as a wealth adviser. At that time, her clients came divorce settlements in hand asking her to make investments to provide them with a secure financial future. What she found in those settlements, however, was unsettling. In some cases, it was clear they did not understand what they had agreed to. What appeared to be equitable at the time of divorce was in fact not at all equitable as time marched on, Johnson said. It occurred to me that there was such a huge need. Yet, despite the clear need, Johnson struggled in getting those first divorce clients. She tried contacting attorneys offering her financial analysis
services but most considered her a competitor rather than a support. She hit pay dirt by making a presentation at a mental health conference. Last year, she worked on 66 divorces in addition to her other financial planning and wealth management. In 2014, Johnson wants to offer mediation services for family disputes especially in the area of elder care. When it is time to move Mom and Dad to an assisted living facility, this is tough, Johnson said. I would like to help family members communicate in a positive way, where the older people are feeling empowered as well in this decision and not feeling as if it was just made on their behalf. For now, she continues working with those seeking financial assistance during divorce. The clients Johnson can help the most are the ones that come to her before official divorce proceedings have begun. I can spend time educating them on the various ways to get divorced in Colorado and also looking at how this will financially impact them, she said. They are often much better prepared.
www.DRCofColorado.com
by diane e. alter
An Anti-Wall Street Approach to Investing
Unbiased Financial Recommendations and Customized Strategies

s Integrated Financial Group approaches its 10th anniversary, this thriving Atlanta, GA-headquartered firm continues to be passionate about and highly focused on client service. We take our role as trusted advisers very seriously. methodology. It has served us and our vast client base very well. The firm, along with its consortium of over 40 committed independently-owned investment financial firms peppered across seven states, is one of the nations largest independent fiomy. We remain focused on a clients financial vision, not on Wall Streets. We cant predict the future, but we are very adept at planning for it, Patrick shared. To be sure, this is not the time to be passive about investing. The dot.
We understand that performance is the key measure of our success. In that regard, we are highly selective when it comes to our employees. You see, we are trusted leaders for our clients and their hard-earned money, managing director Donald Patrick told The Suit. The aim at Integrated Financial is to take the mystery out of growing and protecting each clients assets. The approach taken is a customized, comprehensive financial plan focused on lifetime goals and visions. Explanations and strategy choices are clear and concise. Guidance is geared around pioneering thinking and tactics. We use an academic approach to investing, Patrick explained. Its a free factor model (a financial model employing multiple factors in its computations) and its kind of an anti-Wall Street
nancial planning groups. Integrated Financial Groups practice is based on the premise that many minds are greater than one. When its in a clients best interest, the firm consults its diverse team of highly experienced professionals within its association for their expertise, perspective and unbiased input. We make objective, conflict free recommendations for products that match a clients unique financial needs. From there we construct a blueprint for a sustainable income for life. A long term vision and plan helps clients overcome day-to-day market gyrations and jitters that plague an uncertain econ-
com boom and bust, the housing bubble and the Great Recession have all taught us to recognize both risks and rewards. In order to achieve the best outcomes and better risk controls, investors must have a financial plan. Studies show the majority of Americans dont have a financial plan, Patrick said. Thats just crazy. You have to have a disciplined and sound plan in place. Working with an experienced financial planner is key. Thats the best professional advice youll ever get. In sum, Patrick borrows a line from the immortal Yogi Berra, If you dont know where youre going, youll end up somewhere else.
www.integrated-financial-group.com
STILL PUZZLED
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Contact Meade Willis today for a free consultation regarding your e-commerce, EDI, supply-chain requirements: (866) 369-1146 | www.meadewillis.com
by amy armstrong
keeping it all in the family

H
es well aware that only ten percent of all family-owned businesses survive through to the third generation. Changing that trend upping that statistic is a big part of what motivates Francois de Visscher in his work as the president of de Visscher and Company, LLC, a financial consulting and advisory firm specializing in the needs of family-owned businesses. Although de Visschers firm is based in Greenwich, Connecticut, its services reach not only across the continental United States, but also around the world. He has advised members of more than 300 different family-owned businesses in Europe, Asia, the Middle East, Latin America and just recently, Australia. A man on a mission, de Visschers work assists the owners of family businesses in doing what is often rather challenging keeping the bottom line profitable while honoring the familys unique dynamics and holding the inevitable conflicts arising from such close-knit business relationships to a minimum. That takes funding sources and training, and de Visscher is the man who can provide it. The core of our activities is being able to bring them the right sources of capital to help them do whatever they want to do with their business, de Visscher said. His next order of business most certainly runs a very close second to the first. He knows that family-owned businesses are ripe ground for those familial conflicts that can destroy a business and its credibility as well as profitability. And de Visscher knows exactly what he is talking about. More importantly, he has learned how to avoid many of these pitfalls, especially as a director and shareholder of the fourth generation of his familys business, based in Belgium. In 1880, his great-grandfather established N.V. Bekaert S.A. a firm today that has annual sales totaling more than $6 billion and has a presence in more than 100 countries through its manufacturing of steel
We understand the many challenges facing family companies and their owners because we deal with those issues everyday as advisors and as owners.
- Franois de Visscher
wire and related products. His passion for the family-owned business grew during his tenure as an investment banker working for Smith Barney in the mid-1980s. Working with household names such as Smuckers and Marriott both family-owned businesses de Visscher gleaned significant knowledge from monitoring and guiding their success. After four years, he wanted to get out of Wall Street, where the pressurized sale of products dominated the advising of any business, let alone family-run businesses and de Visscher hung out his own family business shingle. He wanted to be independent and wanted the financial advice he gave to families to be provided on a totally unbiased basis as to its outcome. Since then, de Visscher has watched family-owned businesses grow through fostering an increased professionalism via a variety of training institutes, including the Business Growth Alliance and the Family Business Network. Positive changes he has seen include a trend toward an earlier identification of the heir apparent or successor to the top leadership within the family business structure. Everybody knows there will be a successor, he notes. Identifying that individual earlier on creates more stability for the family business. Now that people are living longer, de Visscher noted that its not uncommon to have three or four generations directly involved in the running of a family business at the same time. The older generations tend to be more protective of assets and want to shelter wealth, while the younger generations tend to be more aggressive and willing to take risks. It can create conflict, de Visscher said. That is where an adviser such as himself comes into play. He works with all of the family members, educating them on how their decisions can have long-term effects on the continued sustainability of the company. Sometimes that means advising younger family members to ease up and sometimes that means suggesting older members evaluate exactly how much risk is tolerable for maintaining their retirement needs while
making ample provision for the company to grow. He asks all parties involved to take an honest look at what the goals of any family business should be, asking them the hard questions about their business, such as: how to grow the business; how to make a return to shareholders; and how to do both of these while developing the professionalism of the family within the business and enhancing the familys cohesion as a social structure. Yet even de Visscher believes that his advice alone wont always solve everything. Thats why in 2012 he created a program in which family-owned businesses seeking investment opportunities can invest directly in other family-owned businesses. His program not only provides needed infusions of cash but also know-how and advice that can pass between the two entities. It really is a partnership between two families, aimed at supporting each other for the long haul, he said. This concern fits right into de Visschers business plan: helping as many family businesses as he can pass operations on to the third, fourth and dare he dream on to the fifth and sixth generations. I think my greatest success has been to help so many family businesses to survive and then thrive to be successful, de Visscher said retrospectively. It is gratifying to look at the history of a family business that we have helped over the years and its generations and to see it succeed.
Two Greenwich Office Park (For GPS directions: 51 Weaver Street) Greenwich, CT 06831 www.devisscher.com
With Your Goals in Mind
By Rich Monetti
around them. We think everyone should be held to the same fiduciary standard that we currently use, Wheeler emphasized. Employing a high standard leaves AHWA in a position to act more independently. This allows us to access unlimited solutions without compromising our allegiance to you. The firm ties all of the advice it gives together, creating a financial synergy unique to each client. Whether retirement planning, investments, managing the family business, paying for college or estate planning, the nitty gritty of portfolio management serves as background to whats initiated at the outset. Finely attuned to achieving the goals of clients, Wheeler said, We need to demonstrate that we are adding value and that the client sees that value.
he Bernie Madoff scandal might not have been so devastating had there been fiduciary laws in place calling for third party custodians to act as verification. So says Suzanne Wheeler, co-founder of Adams Hall Wealth Advisors (AHWA), based in Tulsa, Oklahoma. But while future legislation of this nature might leave many firms scrambling, AHWA would seamlessly welcome this kind of shift watching the playing field level
This means maintaining consistent communication with clients especially if results go awry. Regarding getting spending in line, modifying goals or upping the risk tolerance of conservative investors, Wheeler notes, We hit that situation head on. Of course, all the talk in the world cant keep changing tax laws from throwing a monkey wrench into those results. As the Baby Boomers hit retirement, AHWA understands that dividend investments cant be discounted even if Congress continually erodes the returns. I think we have to be more strategic, because people are still going to have to live off these, says Wheeler. The same flexibility applies to staying abreast of new or alternative approaches and that matters beyond the success of their client base. Always room for improvement, she believes the industry must continually provide better offerings for investors or America will fall back. Wheeler obviously welcomes this challenge.
www.adamshall.com
HUNGER WATCHES REALITY SHOWS, TOO.

1 IN 6 AMERICANS NOW STRUGGLES WITH HUNGER.
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by diane e. alter
A Hawks Eye on Investment Strategies and Retirement Solutions

A Conservative Approach to Asset Management and Long-Term Planning
Wealth Management
www.assetsgrow.com
he wealth management industry in the United States is in the midst of a number of dramatic changes resulting from the 2008 financial calamity, as well as from a number of long-term trends in the industry. Full-service firms have been steadily losing advisers and assets as they move toward more independent and self-directed channels. This shift followed the Great Recession of 2008 and has picked up steam as big brokerage firms under constant scrutiny for a number of misdeeds lose their clout, along with investors confidence. Todays financial world is experiencing a state of revolution, Peyton R. Hawkes, president of Hawkes Wealth Management, told The Suit. We have perhaps never seen the tenets of economic policy more precariously poised for change. In fact, we are watching credit, once the primary tool for growth, being tossed away. The financial crisis bought numerous challenges. Client satisfaction sits at historic lows and there is a greater emphasis on transparency. Boasting more than three decades of financial experience, Hawkes Wealth Management has been serving the Binghamton, NY area since 1981. The firms approach is one of transparent and conservative asset management, with a focus on long-term planning. We use strategic diversification, spread among appropriate asset classes, Peyton explained. This lessens the kind of extreme volatility that has scared scores of investors from the market. We dont chase hot stocks or Alpha (a term used for investors aiming to outperform a benchmark such as the Dow or the S&P 500 Index). We employ a risk-targeted method of investing which we carefully monitor and tweak as economic conditions or a clients lifestyle warrants. Clients run the gamut from those in need of a detailed and sustainable retirement plan, to those who want the firm to have full management of their assets, to individuals who prefer the self-directed approach and favor a cursory plan. Our ideal client shares our investment philosophy, is realistic, doesnt expect miracles and is open to change as needed, Hawkes detailed. Change is good but plenty of todays investors are opposed to any adjustments. Still fixated on the dot.com boom and bust, painful financial meltdown and flood of scandals that blemished Wall Street, investor preferences are now switching direction toward simpler, less risky and easily understandable products. There is a heightened sensitivity to price swings and an increased appetite for yield amid five-plus years of a near-zero interest rate environment. These are not obstacles for Hawkes they are opportunities. That mindset is what he uses to approach what he considers to be the fatalistic investing approach of todays youth. They live for today and arent focused on their future. What Id like to see is for young people to develop a savings habit. Saving even a little bit now can reap big rewards later.
by travis taylor
Lending an Ear to Investors

ESTABLISHING A GOOD RELATIONSHIP IS KEY
Chicago-based James Gazis and investment advisers Balanced Asset Strategies, Ltd., believe in putting the interests of small business clients first. With this in mind, great care is taken with investments and the role of fiduciary is welcomed with open arms. Before starting the company, president and CEO Gazis managed institutional accounts for a proprietary trading firm, eventually moving up to vice president of derivative markets at Citigroup, a position he held until 2006. Shortly thereafter, Gazis began working with individuals and small businesses, and his successes in that field led to the founding of Balanced Asset Strategies, Ltd. in 2008.Specializing in small businesses, typically ones with fewer than 20 employees, Gazis focuses on transition planning, insurance, buying and selling strategies and planning. Clients tend to be middle level employees, executives and retirees, almost evenly split at one third each. While open to considering all potential clients, not everyone is a fit nor is the company the right fit for every client. Communication is definitely the key, said Gazis. Every client requires something a little bit different. Gazis focuses on establishing trust and confidence when working with clients. He realizes that personal aspects play a part in any client decisions and having a solid relationship with that client is the key to success. Once a client is brought on board, that client can choose from among the wide array of services offered by Gazis and Balanced Asset, including investment and retirement planning, 401ks, income tax planning, estate planning and divorce mediation. Additionally, education planning and protection for large stock investments are offered. This range of choice gives clients the means to set up goals, deciding what resources are needed and fully developing financial strategies for achieving those goals. Regarding the current economy, Gazis says, [The] low interest rate environment has hurt both the saver and the retiree. Clients need to save more and spend less and his company recognizes this. Low interest rates help people who are borrowing money for home or auto loans but for those saving money, such a low interest rate reduces the amount of return put into savings. According to the Employee Benefit Research Institute, 44 percent of retirees will run out of money for basic needs. With the Federal Reserve looking to keep rates low until 2014, this number could rise. One of the most difficult things for clients to do is to get a good rate of return without taking big risks. Gazis and Balanced Asset helps them navigate this challenge and survive whatever financial twists life might throw their way.
James Gazis, CEO Balanced Asset Strategies, Ltd.
120 S. LaSalle Street Suite 1940 Chicago , IL 60603 www.balancedassetstrategies.com
by amy m. armstrong
ANALYTICAL NERDINESS
GETS THE JOB DONE
just delve into my clients businesses, develop value and help them become better business owners. He is confident that the business owners he works with already know their trades. He also knows how they, being entrepreneurs, are risk-takers who can at times become overwhelmed by all the nuances of running a business. What we bring is the focus, insight and processes to help entrepreneurs succeed, Hupp said. We give them a plan. It is easy to get off course if you dont have specific plans. That is what we do. We give them peace of mind and the specifics of a road map that shows the how, why, what and when regarding the things a business owner needs to do. Hupp remarked that market analysis is his favorite part of the job. Economics is about human action, he said. If we know of a product that solves a problem for a particular segment of the population with certain behaviors, then what we need to know is what solutions are already in place that our new solution will replace to see who the competitors are. It is a rigorous process, but the best model begins with the consumer on the micro level and then builds the model up from there. Hupp has done a bit of his own analysis to see what his customers want. They like to see him as the geek who can take care of all the
avin Hupp is capitalizing on a trend that sees business owners relying heavily on outside help to analyze their financials, give them the market outlook and run day-to-day operations. Hupp is the owner of Business Nerds, based in Phoenix, Arizona, which was officially established in June 2013. Unofficially, hes been conducting business under that identity since August 2010, as a full service business consultant specializing in the analysis of accounting, logistics, marketing and product feasibility. He calls it his passion and that passion is reflected in his title of Chief Business Nerd. I became obsessed, he said, in reference to helping family and friends with business analysis while completing his college education. I became obsessed with making their side businesses extraordinary deliverers of value to the marketplace. I had already developed the reputation of being a business nerd because that is all I really want to do and all I really ever wanted to talk about. That is where my passions are. Hupp earned his MBA in both finance and project management from Western International University. Along the way, he gained plenty of hands-on experience managing retail stores, conducting audit sales and field marketing, along with helping friends and family members start their own side businesses. He had one goal in mind and that was adding value to the marketplace. After a short stint as a management analyst for a business development firm, Hupp decided to pursue his true calling. I realized that what I really wanted to do was to
nerdy aspects of their business so they can get down to doing what they do best. It isnt necessarily an official company uniform, but Hupp does sport a bow tie on a regular basis. Even his LinkedIn profile features a photo of him wearing a brightly-colored bow tie, effectively presenting a geeky image. That might just be the point. Everything is done with intention, Hupp stated, chuckling knowingly after being asked if the bow tie is an intentional way of cultivating that image. He jokes: It takes confidence, individualism and even technical skill just to apply the thing.
by diane e. alter
Why Companies Need a Strategic Consultant
a road map to success
In order for a business to thrive, there needs to be a road map to success a strategic plan helping to provide direction and focus for a company and its employees. Such a plan points to specific results that aim to be achieved, establishes a course of action for achieving them and helps various units within an organization work together to support common goals.
ut a strategic plan without successful execution is meaningless. Guiding myriad companies from manufacturing to aerospace to software in the development and fulfillment of carefully curated plans is the Upland, CA-based consultancy known as Group 50. We work with companies who are making major strategic changes and help them align their organization with those changes, integrate them throughout the company and optimize the end result, CEO James Gitney told The Suit. After working for some three decades at a number of Fortune 500 companies such as General Electric, Black & Decker and Sunbeam, Gitney launched Group 50 in 2003. Behind the firms success are Gitneys strengths, such as working with global boards, business owners and executives to develop effective business plans and then implementing strategies resulting in cost reductions, improved productivity and ultimately growth. We are comprised of a highly qualified group of individuals who have spent numerous years working in corporate America. Yet all can also successfully work as consultants, Gitney explained. Thats sets us apart from other consultancy firms. Group 50s focus is on successful execution involving a
companys entire crew. CEOs dont make a company successful. Its the team working under the CEO thats responsible for most successes, Gitney shared. Our approach is to help them move away from what feels comfortable and to rely on objectives as a basis for deciding subsequent and future moves. As we work on projects, we insist on engagement and continuous feedback from clients. To be sure, one leading cause of business failure is not having a well-implemented strategic plan in place. With little idea of where its headed, a business will flounder, priorities can wander and employees may become confused about the purpose of their jobs. And the real key is seeing strategic plans through. If you dont know for a fact that you are maximizing the potential of your business, that you are getting the most value out of your employees and that you are staying one step ahead of the competition, then you need Group 50. Group50 Consulting 2576 Euclid Crescent East Upland, CA 91784 www.group50.com
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A Receivables Expert Interested

Affordable Care Act, better known as Obamacare, hospitals and other medical facilities are required to qualify patients for medical assistance plans. If the patient qualifies but still has an outstanding balance he or she is unable to pay, the hospital cannot turn that amount over for collection. This potential inability represents a significant change in standard collection procedures. This may also be the catalyst for other relatively natural reactions to changes brought on by Obamacare the development of new career fields. Even though many hospitals and other medical care facilities already have social workers to guide patients through the financial maze associated with health care, the implementation of additional Obamacare requirements is likely to bring on increased specialization for professionals currently in the field. This, along with potentially larger workloads equals the need for more personnel. Schacter also sees Obamacare as being the spark for a massive upswing in medical coding jobs, as different and more specific coding requirements become standard operating procedure. The federal law still struggling toward implementation marches forward with new coding requirements, by 2015 adding to that the establishment and maintenance of mandatory electronic medical records. I certainly am no expert on Obamacare, but the requirement of electronic records, plus the fact it is also requiring new coding procedures means that a lot of medical facilities and hospitals potentially have a major problem on their hands, Schacter explained. Even before Obamacare, Schacter said that medical coding was a challenge. Medical professionals already were not very good with the old system, he said. It is going to take a lot more organization by medical professionals in order to get their reimbursements. Schacter also anticipates that consumers medical patients will experience inaccurate billing due to Obamacare mix-ups. Although he recognizes that his industry may not be perceived as consumer friendly by the general public, he begs to differ on that aspect. Schacter is very active in consumer protection efforts and has taken proactive steps, including offering a sizable library of information aimed at consumer financial education including several do-it-yourself calculators on his firms website. We view ourselves as a consumer-friendly firm, Schacter said, noting that hes adding even more consumer-oriented information, such as links to consumer protection agencies. He is also keeping a watchful eye on the activities of the Federal Consumer Financial Protection Bureau created in 2010 by the Dodd-Frank Wall Street Reform and Consumer Protection Act. The agency, which had its first director in 2012, is still ramping up its involve-
n Obamacare requirement prohibiting hospitals from engaging in extraordinary collection practices may end up being a hard pill for professionals in the medical receivables industry to swallow. So asserts Stacey Schacter, chief executive officer of Vion Receivables Investments, headquartered in Atlanta, GA. Medical receivables are one of his firms current specialties. Vion purchases all types of assets and debts good, bad, performing or non-performing for either collection or reinvestment. It is a defined term. What that means is hospitals can no longer report certain medical debt to credit bureaus, Schacter explained. This leaves a fairly effective tool sitting unused in the bottom drawer of the collection industry tool box. Under the Patient Protection and
in Consumer Protection
ment at the intersection of the financial industry and the protection of consumer rights. According to Schacter, so, far the agencys message has not been cohesive. The CFPB requires financial institutions to be transparent but the CFPB itself is not transparent, he said. We are really looking for it to be our partner and help us understand what they are looking for when they come for an examination and what they expect from a compliance perspective, but the guidance they have given to date is vague and relatively opaque. What is clear for Schacter is that he found himself in the right spot at what turned out to be the right time for him, even though it was a relatively bad time for most other financial specialists. In 1999, one of his large clients made him an offer Schacter couldnt refuse: to become General Counsel for the company. He jokes that he went over to the dark side after being promoted again, this time from the lead attorney position to CEO. Eight years later, the big crash in 2007 happened and it prepared him for what he does now in ways he never expected. After the Wall Street crash, Schacter said that he was fortunate to hook up immediately with a private equity group and begin doing something he always dreamed about: to design and build a company the way he wanted to do it. I used what I had learned as an attorney and as an executive to build something unique and beneficial at a particularly opportune time for that sector of the market, Schacter explained. And that was the start of Vion. Despite the market collapse, the timing couldnt have been better. We had capital while everybody else was sitting on the sidelines, he said. That really allowed us to jumpstart the business at a time when liquidity was desperately needed. Today Schacter works with businesses to free up capital that could be put to a better use if it were not tied up. They dont necessarily have to be distressed although many are. Often, it isnt the business itself that is challenged, but the type of receivables. The business itself may simply be ill-equipped to handle those accounts. Our business is one of acquisition of financial assets, Schacter explained. We are looking for clients for whom we can provide a higher and better use of their capital, he said. Many times, assets or liabilities are no longer a strategic fit for a business. We can help.
400 Interstate North Parkway Suite 800 Atlanta, GA 30339 877.845.5242 www.vioninv.com
For more information regarding Vion, visit: www.vioninv.com For information regarding the CFPB, visit: www.consumerfinance.gov
Renting Your Way to Home Ownership

n the wake of the recession and mortgage foreclosure crisis, those with a credit score in the 600s have found it difficult to get a home loan. As credit scores drop, so do the chances of getting financial help. With the US average credit rating at 687 and many states scoring lower the American dream of owning a home has become unattainable for many. Jaspreet Singh, principal owner and founder of Michigan-based MetroWay Properties LLC, recognized that this dream was being lost and took action. At the time, he was investing in distressed properties, and realized that he did enjoy his work as well. Singh started MetroWay Properties, in the process discovering an entirely different way to help people get into homes. This popular program he calls Rent-to-Own and it benefits both the buyer and seller. The buyer is offered a locked price, with a term up to 24 months. The traditional security deposit instead becomes a down payment on the property, set at 3-7 percent of the full purchase price. This payment ensures that the renter will be the only potential buyer of the property. We also work with credit repair companies to insure purchasers get the right
BY TRAVIS TAYLOR
loans, Singh explained. But even with the Rent-to-Own program, Singh noted that potential clients must still be able to qualify for a loan. What that means is each of our clients needs to have a good job, Singh said. They need to have stable jobs, making enough income to support a mortgage for purchasing the home. They need to have good backgrounds. Singh also uses his experience with distressed properties to make acquisitions that he can match up with his clients. Being able to find distressed properties at the right time [has been our greatest success], said Singh and this strategy has worked well for him. Singh said he has been lucky enough to find great deals, getting to them before real estate investors. With eyes facing forward, Singh plans to take on a larger role in redeveloping Detroit to help make the city great once again.
MAXELE ADVISORS PROMISE UNDIVIDED LOYALTY TO THEIR CLIENTS BY RICH MONETTI

n the wake of a slow economic recovery, continuing congressional gridlock and unprecedented Federal Reserve stimulus, principal and founder of Maxele Advisors, Registered Investment Advisor Steve Erken, has certainly been privy to the mumblings of those panicky investors who say sell everything. The economy continues to improve, says Erken, adding that the market shows no immediate signs that this uptrend will end anytime soon. But, he still estimates theres enough uncertainty left to proceed cautiously. Evidence whether this economy can stand on its own and if its recovery is real, he says, That data- sustainable economic growth with manageable inflation - is going to be a huge deal but its not the focus of today its coming later. Nonetheless, Maxele stays the course in the way they do things, especially in earning a clients trust by providing a fiduciary standard of care to clients. Everything we do is customized, so we get a clear understanding of the clients short and long term goals, investment capital and emotional attitude towards risk, Erken remarked. According to Maxeles strategy, if a good financial plan is put together initially, its framework should stand up, fitting in well with the always-changing economic landscape. By
reviewing with the client Erken says, We try not to have any surprises. We provide a lot of communication about where they stand in terms of assets versus the consumption rate, and we are of the philosophy that our job is to give options and feedback. The client is the one who decides if they want to make changes in their lifestyle. Predominantly serving those 60 and over, Erkens advice is projected realistically against the perception that a number of clients may likely live into their 90s. Although, not having had anyone unexpectedly run out of money across his long career, Erken can report many clients are relenting to the fact of living longer. However, Were finding people wanting to take more longevity risk versus principal risk in their portfolios, he said. Either way, Erkens counsel is never biased by outside sources such as broker-dealers or insurance companies. Undivided loyalty to our clients fee for advice and service, is Maxeles maxim.
www.maxeleadvisors.com
by judy magness
Cybercriminals Shake Up Insurance Industry

Data breach coverage or cyber-liability coverage is the Wild West of insurance coverage these days, said Phil Galbraith, president of Capitol Risk Solutions. Policies vary greatly among insurance companies due to a lack of standardization.
Protecting your Capital with Capitol Solutions...
www.capitolrisksolutions.com
he medical community is a prime target for cybercriminals who want the valuable information that is commonly collected within the healthcare industry including names, addresses, social security numbers, credit card numbers and other private data. Someone who breaches a medical organization can get a lot of information in one spot, Galbraith said, suggesting that outside of professional liability, this is probably a medical firms single largest liability. Compounding the problem for medical providers is that currently, data breach laws are set at the state level. If a company gets breached, depending on where it is located, it could be subject to different statutes in every state where patients live. Practices in the D.C, Maryland and Virginia areas that have patients coming in from all those regions could be subject to the laws of all those jurisdictions, said Galbraith, adding that law firms also face this same liability. Data breach is absolutely the single fastest growing area of risk and probably the most overlooked area in insurance these days. While the Internet has increased opportunities for the bad guys, it is also helping the good guys fight the good fight and win. Social media is having a positive impact on combating workers compensation abuse, for instance. According to Galbraith, Research suggests workers compensation fraud increases during recessionary times or troubled economic times. With the impact of the economic downturn over the last five years, insurance companies have been on high alert and are proactively fending off crime. Now insurance companies are becoming more sophisticated by using social media and other means to ascertain
whether a claimant who has been off the job for a while is truly still injured, said Galbraith, suggesting that photos posted on a Facebook page may provide very useful evidence to combat fraudulent claims. Social media is a less expensive way for insurance companies to determine that status as opposed to sending out investigators. The benefit to society is that the less money companies pay out in fraudulent claims, the more control they can have to keep costs down. With over 25 years of experience in the business insurance field as a company underwriter, a salesperson, a national award-winning marketing manager and now as agency owner of Capitol Risk Solutions, Galbraith is well-suited to provide a very wide range of risk management advice to his clients. Insurance is a commoditized product in so many ways the difference is the agent, said Galbraith. He appreciates those clients who respect and value the different type of service he delivers. I learn my clients businesses, and build trust and confidence so they are secure in the fact that I will craft their coverage in the best way to fit their particular circumstances and needs.
VALUING PROFES
With an increase in the number of older Americans either remaining in or returning to the workplace, financial advisers such as Herb White of Life Certain Wealth Strategies are actively seeking solutions for balancing the implications that working will have on each clients Social Security and Medicare benefits.
Medicare-eligible years, the programs rate policies can complicate what might already be a tight financial situation for those living on fixed incomes. Medicare uses the income from the previous two years to determine the rate structure for those eligible. If older Americans work for a year or so, the additional income could alter their ability to secure less expensive health coverage. According to White, its just one among many financial pitfalls that retirement-age Americans need to avoid to ensure adequate resources for their golden years. Unfortunately, one of the most common trouble spots comes from within his own industry. There are over-simplified financial products on the market touted as be all/end all tools for securing future income. Some of the information out there leads people to believe their problems can be solved by some product, White cautions. They oversimplify retirement planning and cause a person to believe they do not need to come in to see an adviser. They end up believing they can just purchase this product and it will address all of their needs. White's caution is not without merit. He knows how difficult it can be to assess opportunities in a quickly-changing market overloaded with choices. Thats why he himself opts to outsource the task of evaluating the investment opportunities he puts in front of his clients. It is a full-time job to do proper due diligence on the funds and investments that are out there and we would be kidding ourselves if thought there was enough time during the day for those of us who interact with clients all throughout the day to then, in our spare time, be able to do all that is necessary to perform due diligence, White said. That doesnt mean White isnt thorough. He carefully vets the firms he chooses for outsourcing. We have to make the right decisions including the decision as to outsourcing. Even though we delegate this due diligence to
ccording to the National Council on Aging, 27.1 million Americans ages 55 and over were employed, with another 1.9 million actively seeking work. In 2009, this was 19 percent of the American workforce a 7 percent jump from 1999, when older workers accounted for only 12 percent. Older workers represent a significant shift that must be accounted for in retirement planning. One of the biggest issues we look at for our older clients is the role Medicare plays in their financial situations, White said. Lots of people rely on it for health care in retirement. Yet, if theyve gone back to or remain at work during
them, at the end of the day, it still falls upon us, he explained. White noted that this sense of confidence in the investment opportunities he presents to clients is a crucial element for Life Certain clients most of whom come to White and his firm within five years of retirement. We find smart ways for them to continue the lifestyle they have become accustomed to. We are doing
SIONAL ADVICE
that by helping them make smart decisions regarding the assets they have invested in and how they can draw income from those investments, White said. This includes learning to negotiate risk. He talks to clients at a basic level to understand what the client is trying to accomplish. Once we understand that, then we can talk about a way to get where (the client) is trying to go, directs White. During that initial client
meeting, White or one of his associates can explain the comprehensive approach Life Certain takes in managing all aspects of financial needs. Our greatest challenge is trying to articulate what exactly it is that we do, to people who think they can go it alone, White said. Our greatest success is the fact that we have been able to attract more and more people each year who see the importance of how we work
and the value proposition we offer. More and more people are embracing the idea that they need to engage a professional. Since White founded the firm in 2002, this has been the primary guiding principle of Life Certain Wealth Strategies. Said White of his transition from a transactional-based career to an advisory-focused approach, I was looking more
toward offering advice and solutions rather than selling a product.
www.lifecertain.com
by diane e. alter
HELPING THE UNDERDOG OVERACHIEVE

he good news coming out of the investment banking world is that there is no shortage of funds for financing. The not-so-good news is that there is a substantial lack of deals. Banks are well capitalized and I can always get funding, Axiom Capital Group founder and partner Zack Farahmand, told The Suit. What I cant always find are the deals. You could blame the snails pace of the current economic recovery, Obamacare, new tax laws or even fears of a Fed tapering for the current lack of M&A deal flow, but at the end of the day investors are still left with available capital and nowhere to invest it. However, it has been in these types of economic environments that Farahmand has historically found success. We find opportunities where others do not. When other firms are selling, were buying; when others are panicking were calmly strategizing. More often than not, we take a contrarian viewpoint, were not afraid to roll up our sleeves when others wont, or back the underdog in a fight: that is where we have found success, he shared. Indeed, Farahmand has found success doing things his own way. A former investment banker at one of Wall Streets elite institutions, Farahmand went off on his own and founded Boston-based Axiom Capital Group in 1995, amid an apparent need in the middle marketplace for high-quality, professional banking services. The company has grown since its inception in both breadth and reach. Services now also include direct investments as well as investment banking services in three primary areas: mergers and acquisitions, capital sourcing and turnaround services. In certain circumstances depending on the size of an investment or transaction Axiom may partner with a larger private equity partner. We lend money, raise capital, help manage risk and extend liquidity, Farahmand explained. My perfect client is someone who wants to buy a company but lacks the funds (as is often the case with a companys management team) or someone trying to keep a struggling company afloat. You see, I love helping the underdog win. Axiom offers a winning combination of expert advice, inTHE SUIT MAGAZINE - DEC / JAN 2014
Middle market companies across the country have come to rely on Axioms expertise, partnership, and integrity.
novative solutions, outstanding execution and comprehensive access to the worlds capital markets. The firm has invested in or represented companies across a wide spectrum of industries including retail, restaurants, waste management, manufacturing, healthcare, distribution and real estate. We have to understand an organization before investing in them or representing them, and they have to have a viable product and committed management team. I am investing my funds money, so I need to believe in the company and do my due diligence, Farahmand detailed. Sensitive to the goals and requirements of the seller while also ensuring that the buyer walks away knowing he got a great deal Axiom has garnered a stellar reputation in the industry. Farahmand insisted, I have built and maintained the firm around trust and integrity. That is, and has always been, our mission. We have a great track record and we treat people well. An axiom is defined as a starting point of reasoning. In other words its a premise so evident that it is accepted as true without controversy. Farahmand exemplifies the axiom attributed to Winston Churchill A pessimist sees the difficulty in every opportunity; an optimist sees the opportunity in every difficulty. www.axiomcapitalgroup.com
Friendship for Successful Investment Advice

he work of advising clients regarding their financial decisions is more than just business as usual for Tom Mantling. As the owner of Synthesis Advisors in East Greenwich, RI; Manning said he views his clients as good friends. He believes the level of service he should provide goes well beyond quarterly calls and newsletters. Instead, he wants to develop the kind of relationship that makes him a partner with his clients in formulating their future financial plans. I want to know everything that is going on with them, Manning emphasized.
When you have that kind of relationship with your clients, you can talk honestly with them about living for today and planning for tomorrow,
Manning said. That is the philosophy you want to have. Planning is the hardest thing in the world to do because
there is always something else going on. But when you have a serious enough client and a strong friendship, you have the ability to make a significant difference. Manning has worked in the financial sector for the bulk of his career, starting out as an accountant and then working in the banking industry doing mortgages, construction loans and workouts for small and medium businesses. The clientele for his investment advising firm came from contacts made in banking, during his tenure as the director of a credit union and from his work in the non-profit sector. I love business people, Manning said. I have been around them all my life and I do tend to gravitate toward people who own their own businesses and need solid, objective financial advice especially during the era of deleveraging and quantitative easing.
www.synthesisadvising.com
LOOKING OUT FOR THE GREEN INDUSTRY

sion providing business financing for both new and used vehicles and equipment like mowers, tractors, and trenchers. Rounding out the suite of services is Oak Creek Insurance, offering personal insurance from nationwide carriers to commercial customers of LCIS and others, including auto, home, group health and life insurance benefits. Golden Oak also partners with State Compensation Insurance Fund to provide a group Workers Compensation program. Under Colvins watch, this family of companies has been thriving. LCIS has returned over $40 million in rebates to its customers since 1990. Birch Financial Equipment Financing has made over $5 million in loans for new and used equipment since 2000, and Golden Oak Cooperative Corporation has distributed over $450,000 in equity shares to retired members. As a licensed landscape contractor and past President of the California Landscape Contractors Association, Colvin is the recipient of several industry awards and in 2010, was inducted into the Green Industry Hall of Fame.
here is something to be said for growing a business organically. Just ask the Golden Oak family of companies who have sprouted new businesses over the last 25 years. Family members now include the Golden Oak Co-op Corporation, Birch Financial, Inc., Landscape Contractors Insurance Services, Inc. (LCIS) and Oak Creek Insurance Agency, a division of LCIS. Nurturing their growth has been Nelson Colvin, who serves as president and CEO of both LCIS and Birch Financial, Inc. We serve the green industry which includes landscaping, tree companies and the sub-contractors for those companies by providing a well-rounded group of services, including our insurance program through LCIS, which has over 2,000 members, said Colvin. LCIS is the largest independent insurance broker in the western part of the country for landscapers, tree trimmers and nurseries. Currently licensed in 22 states, plans for expanding nationwide are underway. Birch Financial offers premium financing to landscape contractors who are insured by LCIS, and also has an equipment Ffinanceing divi-
www.oakcreek-ins.com
by diane e. alter
Offering Financial Advice Not Products
Real Financial Advice for Serious People

ew investors understand how their financial adviser gets paid a conundrum that could ultimately cost them plenty. When an investor doesnt understand how much theyre actually paying in fees and expenses, when their adviser keeps skirting the issue, or when an adviser constantly pushes products, its high time to consider switching to another adviser. I started The Fieldstone Financial Management Group when I saw the need in the investment management environment to offer clients objective advice not products, founder and President Kristofor Behn told The Suit. With roots dating back to 1965, Fieldstone is truly a pioneer in the fee-only business. The firm is one of the oldest, continuously operating fee-only financial planning and investment advisory firms in the United States and has received quite a number of accolades. Fieldstone has appeared in Forbes Magazine for being named one of the Top 10 Most Dependable Advisers in the Northeast and Mid-Atlantic. And, the firm has been recognized by Bloomberg Wealth Magazine as one of the Top 150 Wealth Managers in the US every year since the magazine began ranking advisers. Weve been growing the practice organically, Behn explained. Indeed, since 2000, Fieldstone has completed six acquisitions and the firm has client service locations nationwide. Unlike many advisory firms, we dont look solely at an individuals net worth. We look for those we can have a good impact on. We look for clients who have great potential and that are willing to be coached and guided in a process that will yield rewards and profits, Behn detailed. After reviewing a priori-
tized list of goals, Fieldstone builds service offerings around reaching them and then puts a plan of action in place to help each client ultimately achieve those goals.
Ours is a relationship-oriented business, so we start by truly getting to know clients, - Behn shared.
Services include comprehensive financial planning, investment advisory services and tax return preparation. The team is a highly qualified mix of professionals with decades of financial industry experience. Behn emphasized, The key to building a successful firm is to surround yourself with
good people. Retention is also important. Loyalty and experience provides invaluable stability. Behn describes the firm as conservative, seeking risk-adjusted returns wherever they might be. You have to be prepared for opportunities when they present themselves. That has always been our strong suit. For example, you have to embrace environments where there is growth. We presently see that in emerging markets. We approach risk with open eyes and monitor it very closely. Realistic is actually the better word to describe Fieldstone. To be sure, todays seemingly unstoppable equity markets call for serious reality checks.
www.fieldstonefinancial.com
VION Receivable Investments, headquartered in Atlanta, Georgia, is an international provider of receivable investment services to businesses managing consumer and commercial receivables. VION provides a single, comprehensive source of expertise in commercial receivable factoring and consumer receivable purchasing, valuations, and process consulting.
VION Receivable Investments 400 Interstate North Parkway Suite 800 Atlanta, GA 30339 877.845.5242 phone 678.815.1557 fax Mesquite Corporate Center 14646 N. Kierland Blvd. Suite 122 Scottsdale, AZ 85254 480.729.6419 phone 866.260.1826 fax 123 North College Avenue Suite 210B Fort Collins, CO 80524 877.845.5242 phone 970.672.8714 fax 11921 Freedom Drive Suite 550 Reston,VA 20190 703.736.8336 phone VION Advisory Services 18017 Chatsworth Street Suite 28 Granada Hills, CA 91344 818.216.9882 phone 818.891.8738 fax VION Europa Paseo de la Castellana 95-15 (Torre Europa) Madrid 28046 Espanha +34 91 418 50 88 phone www.vioneuropa.es
R E C E IVABL E
I NV E S T MEN TS
Atlanta Phoenix Fort Collins Reston Los Angeles Madrid
by a marie zelthuizen
No Loose Standards Keeps Lending Tidy

people who were disproportionately hurt before, Arvielo said. He describes the housing debacle as being the case of a pendulum swinging too far in each direction. Clearly the standards that created the crisis needed correction, he said. Unfortunately, in making the necessary adjustments, Arvielo fears the pendulum isnt finished swinging too far to the other end. In its path are potential homeowners who were knocked off track once five years ago and most likely will be pushed aside again as regulators continue to tighten standards. Yet, Arvielo remains optimistic regarding the 2014 housing finance market. The presence of all-cash buyers is dwindling. When housing prices plummeted five years ago, it didnt take too much savvy to know that cash-rich investors would gobble up as many distressed, low-priced homes as they could. It locked loan-dependent buyers out of much of the market. Yet since 2011, when housing prices rebounded marginally, e didnt allow the use of the kind of loose credit Arvielo said that the bulk of all-cash buyers left the market. standards that led to the 2007 through 2009 hous- This trend continues today. ing debacle. Thats why Rick Arvielo, chief execuHe also sees some hope in recent moves by the Federal tive officer of New American Funding in Tustin, California, Housing Authority. In August 2013, hasnt felt the immense stress other it began granting displaced former financiers have experienced in the home owners the ability to prove rough-and-tumble corporate world. that their home loss was due to exBut that doesnt mean Arvielo isnt tenuating adverse personal financial Named on MPAs Hot 100 List empathetic. He is especially to the conditions such as job loss that home owners who lost homes during are no longer problems. The rethe crisis and were left with badly quired waiting time has also been remarred credit reports to boot. duced from three years to just one. Hes concerned regarding the impact new lending reFor now, Arvielo believes his firm is in line to take advanquirements will have on already stressed buyers. On Oc- tage of what is bound to be somewhat of an exodus from tober 15, 2013, the U.S. Department of Housing and Urban the traditional housing lenders. He notes that major banks Development which oversees the Federal Housing Authori- have already reduced at least 10,000 positions in their mortty a major guarantor of housing loans for those with limit- gage origination divisions. ed down payments announced a major change to its credWe are holding our own and actually gaining some marit standards. Collection accounts and judgments are now ket share, he said. Compliance with all the new regulagoing to be added to an applicants debt-to-income ratio. tions will be our biggest challenge for the next year. Furthermore, beginning Jan. 1, 2014, reforms set forth by the Consumer Financial Protection Bureau, created by the 14511 Myford Road, Suite 100 Dodd-Frank Wall Street Reform and Consumer Protection Tustin, CA 92780 Act of 2010, mandate that applicants with a debt-to-income (800) 450-2010 ratio of 43 percent or higher are not eligible for loans under www.newamericanfunding.com the Ability-to-Repay rule and that the cost of loan origination and other associated fees can no longer exceed three percent of the property being purchased. This will have a grave impact on a lot of the
Rick & Patty Arvielo
by travis taylor
Experience Pulls
rthur Solomon knows real estate investment. As president, chairman and CEO of DSF Group, Solomon has spent the past 14 years developing or acquiring an impressive $3 billion in real estate assets. The last 14 years, we have kept growing the business successfully, said Solomon, who founded the company with his son and two other partners. We are now in our fourth real-estate fund. Each one has been larger than the preceding one. Focused on the Washington D.C., New York and Boston metro areas, the DSF Group founded in 2000 has established itself as a leader in real estate investment. In 2011, the National Association of Home Builders voted the company the best multi-family developer in the United States. It should come as no surprise that the DSF Group excels. Solomon himself has the kind of experience that most investors can only dream about. Before founding the company, he spent time as a senior partner at the investment house Lazard Frere. He was also the CFO of Fannie Mae and president and CEO of the Berkshire Group. In addition to experience, another key ingredient of DSF Groups success is their ability to stay on track, to focus and to keep things simple. As a private real estate investment firm, their focus has been trained on commercial investment, specifically on urban, multi-rental properties. We either develop them from the ground up or we buy existing ones and add value, Solomon said. Were a value-added investor.
Ahead of Competition
Every aspect of the investment is overseen by DSF Group from site selection and design, to engineering and obtaining permits. A single construction company handles all of the building needs for DSF. The company focus remains on acquisition, finance and marketing. We do the asset management, said Solomon. We oversee the property managers. And we are very involved in the marketing, both traditional marketing sources as a well as the use of very active and creative social media. With the business planted in multi-family and apartments, the recession and its aftermath left Solomon and company relatively unscathed, despite other sections of the real estate world being trounced. During the worst of the recession, multi-family units had access to better financing through the government in the form of Fannie Mae. Multi-family units were not as affected by the economy as much, since they depended more on household formation. In contrast, the office sector needed white-collar job growth, retail needed consumer buying and hotels needed travel. The future continues to look bright for DSF Group. Were already seeing a slow recovery in real estate, Solomon said. It is already taking place. With one of the best track records in the country, DSF Group will continue to focus on what they do best. With the business planted in multi-family and apartments, the recession and its aftermath left Solomon and company relatively unscathed, despite other sections of the real estate world being trounced.
Awarded Multifamily Development Firm of the Year by National Association of Home Builders.
www.thedsfgroup.com
the suit staff
Invest Only After a Thorough Examination

here is one thing Cary Cowan does in his business that has gone a long way toward settling the nerves of jittery investors. His clients never write their investment checks to his firm, Cowan Financial Group, Inc., based in St. Augustine, Florida. He has been in business for 43 years, and has been using that policy all along.
People are still leery, Cowan said in reference to the financial meltdown that began in 2007 and continued through 2009. The awareness is still out there. Yet in my situation, where their checks are not being made out to me and my company but instead to larger companies that are the custodians it takes away a degree of uncertainty. When you meet with someone face-to-face and the check isnt being written to you, it helps to allay some of the fears. According to Cowan, addressing those fears is a good thing. Despite the challenges, there remain plenty of opportunities out there in a market featuring a much greater variety of investment tools for investors who are willing to use them and who are also willing to work through some strategic planning. In 2000, Cowan developed a six-step process indigenous to his firm called the Lifetime Financial Strategies Program. He later turned this process into a book, The Lifetime Financial Strategies, a 21st Century Financial Planning Process, featuring several case studies highlighting different investment approaches, including successes and failures, for new clients to review before he begins working with them. I do an extensive interview with them to see if they fit the category we look for, Cowan explained. I let the client know up front what they are getting involved with before entering into any commitment with me. That involvement includes Cowan advising clients regarding equity sales and financial planning, which is the bulk of his daily work. He has insurance professionals each specializing in various areas such as property, casualty, life, home, health and auto to provide the firms clients with advice tailored for their specific situation. We have everything at our clients disposal in one spot, Cowan said. With 37 financial services representatives working for his firm, Cowan already has a fairly extensive staff. Yet, for 2014, hed like to add a few more employees to his firm. Hiring, Cowan admits, has actually been his greatest professional challenge. Coming up with financial solutions for his clients based on their current situations, the market and their future goals is much easier for him than finding the right person for each job within his firm. It has been a trial and error situation, he concedes. It was tough until the 1990s, when I finally decided to hire talent specifically for each job rather than just have somebody fill a slot. I dont believe that there really is a bad employee. I believe that often, I have put the wrong person in the wrong job. He has corrected that issue via a profiling test during the employment process, identifying a candidates strengths and weaknesses not often found on a resume. If we have a job that needs to be filled we try to find somebody who fits the criteria of that job rather than just hire somebody who looks good on paper, he said. We look deep down into their characteristics to see if this is the job they really want to do and are capable of doing.
*Securities and Investment Advisory Services offered through NEXT Financial Group, Inc., Member FINRA/SIPC. Cowan Financial Group is not an affiliate of NEXT Financial Group, Inc.
136 Malaga St St Augustine, FL 32084-3521 Phone: 904-824-8147 www.cowanfg.com
by travis taylor
FINANCIAL PLANNING WITH HONESTY

well informed, with a clear understanding about what is happening. My philosophy has always been that if somethings really complicated and I cant understand it, Im not going to try and sell it to one of my clients, said Diamond. Another focus for Diamond has been the creation five years ago of Flourish: Women and Wealth Management, an initiative focusing on the financial needs of women. She created Flourish to help successful and intelligent women who are unsure about how to handle their finances. What Flourish does isprovide seminars and events where women can gather in a comfortable environment and learn more about managing their finances, Diamond said. These events are held in a social manner that is relaxed and inviting, with the goal of giving the women attending more fiFor Carina S. Diamond and SS&G Wealth Management, nancial confidence and literacy. Over the span of the goal has always been offering clients a holistic ap- about five years, an estimated 700 women have proach. With 11 years at the company, Diamond knows been attended Flourish events. Diamond noted that SS&Gs greatest success has how to make things work. been building a strong team and a business that has continuity. Every employee is salaried, which places everyone on the same team. Multiple ems Managing Director of SS&G Wealth Management, Diamond has seen business grow since she arrived. ployees are versed on the same client so, should any unThe reason is the honest service the company offers. foreseen circumstances arise, there is more than one person We look for people who want a more comprehensive ap- who can step in immediately to help. By working together as a team for long term financial and proach, said Diamond. What that means is servicing clihealth benefits for each ents proactively and reaching out client, both Diamond to clients when we see a planning What Flourish does isprovide and SS&G have clearly opportunity. seminars and events where women stepped ahead of the Diamond likes to see the comrest of the pack. pany focus on risk management can gather in a comfortable and client goals. Investments are environment and learn more about important, but equally important is setting guidelines and limits managing their finances, for each client. She acknowledg- said Diamond es that they dont want clients to make investments without having backup money and plans. Financial planning and staying focused on long-term objectives are important to Diamond. This something that SS&G does for its clients. I would be remiss if I didnt find out about the clients estate plan and insurance and needs for the family and health situations, said Diamond. If I didnt ask these questions and just looked at investments, I could be missing some very important information. 275 Springside Drive, Ste 250 The straightforward, all-in approach by Diamond and Akron, OH 44333 United States SS&G Wealth Management also means keeping the client www.ssandgwealth.com
the suit staff
TAX SAVINGS REALIZED

by Capturing Benefits of Detailed Engineering Analysis
that commercial properties be depreciated over a period of 39 years and residential rental properties over a period of 27.5 years. This recovery period can be shortened with the support of a detailed engineering analysis called a cost segregation study, Bryant explained. It basically is a front-loading of depreciation giving building owners greater tax deductions in the early years of building ownership. On the surface, it sounds simple. Yet, as Bryant states, it simply isnt. It is always a challenge to look at a 100-page document submitted by the IRS and boil it down to plain English, Bryant said. Then to be able to explain the concept to a client and incorporate a strategy that is going to make sense for our clients. We are always vigilant to try to stay ahead of the curve and to try to interpret how these rulings coming down from the Service can be used to impact our clients in a positive way. Bryant said his firm continues to accomplish this task for clients because he has surrounded himself with a team of highly-skilled experts. I am probably the least educated person in our entire company, he said with a bit of a chuckle. I would say the identification of extremely talented people has been my greatest success in the industry.
uilding owners have a new opportunity to take advantage of tax savings in 2014 based on repairs under new guidelines recently issued by the Internal Revenue Service. Its a move that Greg Bryant says his firm, Beford Cost Segregation based in Bedford, New Hampshire, is prepared to make on behalf of its clients. The new IRS regulations cover the deduction and capitalization of expenses due to acquisition, renovation, improvement or disposition of real estate. It provides a significant opportunity to address the needs of those repairs that restore a building to its regular efficient operating condition, explained Bryant, managing partner of Bedford. While the new regulations regarding repair tax savings become permanent in 2014, building owners can
reach back to the 2012 and 2013 tax years for benefits based on repairs completed in those years. Repairs can include the testing, inspection and routine maintenance necessary to keep a property in operating condition. It takes a fair portion of expertise combining tax benefits with construction engineering analysis to meet the complicated requirements laid out by the IRS. Thats where Bedford enters the picture with its proprietary ReCap study aimed at identifying capitalized items and possibly reclassifying them as repairs. This can result in a significant tax deduction in the taxpayers favor. Cost segregation is another tool Bedford uses to find tax savings for its clients in the early years of owning a property. IRS rules mandate
www.bedfordteam.com
Preserve your wealth with CitiTrusts knowledge and
Financial Management Solutions
www.cititrust.biz
international inc. BELIZE | BVI | MALTA | UK | SAmOA | BRuNEI | BRITIsH ANGuILLA | CYPRus | GIbRALTAR | IsLE OF MAN | GENEvA | JERsEY | LIEcHTENsTEIN | LuXEmbOuRG | UNITED ARAb EmIRATEs | CHINA | SWITZERLAND | MARsHALL IsLANDs
by amy m. armstrong
Singles and Doubles for Rounding the Financial Diamond O

ne need look no further than popular investment advice columns published this fall in Forbes, Investopedia, U.S. News and World Report and the Wall Street Journal to recognize that todays trend focuses on caution. Wall Street gurus continue to emphasize the benefits of conservative investing and that theme isnt lost on investors working outside New Yorks financial district. Thats why its always baseball season for Luis Raposo and his team of wealth advisers at ShorePoint Capital Partners, just outside of Boston in Stoughton, Mass. He likens the conservative nature of his firms approach regarding investing and financial management to that of a carefully-played baseball game. It might not feature many exciting home runs or thrilling sliding dives into home plate but his goal is to get his clients around the financial diamond, one base at a time. We are trying to hit singles and doubles versus trying to hit home runs, which we think can lead to strikeouts much easier and more quickly than taking a conservative approach to investing, Raposo explained. We think the key is customized investment solutions that accomplish client financial goals, striving to take the least amount of risk necessary to meet their goals. After the financial meltdown of 2008 and 2009, Raposo sees the clients need to minimize risk as one still lingering even five years later. The losses incurred then still sting. We think that 2008 and 2009 that great recession had a profoundly negative impact on investor mood and sentiment. It is long lasting, Raposo said. Even now, as the investment market is hitting fresh new highs, investors are still more conservative than they probably have ever been and the fear of losing money is much more prevalent than is the reward of making money. He doesnt see this attitude changing soon, either. Too many unknowns remain, such as the overall dysfunction in Washington, D.C., and the anticipated higher taxes caused by Obamacare.
The good news is that this general level of mistrust and questioning produces a field ripe for harvest by investment professionals who are willing to satisfy the emotional needs of jilted investors. It includes jumping on the bandwagon of investment professionals turning to third party custodians as a way to safeguard client accounts, a move made long ago by Raposos firm when he selected Charles Schwab a leader in the custodial industry as SharePoints partner. With the custodian sending separate statements, Raposo believes this gives the client a level of accountability necessary in todays recovering market. The use of online account access gives clients an additional level of comfort. They can see their accounts and we really believe this gives them the value of transparency of information and also lends itself to making them feel safer, he said. Raposo and his team must be doing something right. Since opening its doors in 2010, ShorePoint has
Shorepoint Capital Partners, LLC was named one of the 2013 Five Star Wealth Managers by Boston magazine and Five Star Professional. The Five Star award honors wealth managers of long-standing quality and professionalism.
grown more than 400 percent, aiming for another 25 percent in growth for 2014. His firm is certainly grabbing the attention of Boston-area media. Last year, Boston Magazine named ShorePoint as a 2013 Five Star Wealth Manager an honor given only to the top four percent of wealth management professionals in the greater Boston metropolitan area. One of the award criteria includes high client retention rates at the one- and five-year marks. Building that kind of long-term relationship is exactly what Raposo seeks. Our clients are looking for a conservative, common sense investment
approach and want a long-term relationship. They are looking to replace cash flow in their retirement years or supplement income in the meantime, Raposo explains. We can make that happen. He does so via a mixed bag of investments consisting of securities including the increasingly popular exchange-traded funds or ETFs bonds and dividend investing.Raposo recognizes that Congress continues to chip away at dividends by slowly but surely increasing applicable tax rates, but he still views them as a tremendous asset to any investor. In fact, he labels dividends as critical for pro-
viding income to baby boomers in an era when pensions are rapidly decreasing. I do not think that dividend investing will lose its appeal, Raposo said. He thinks the payouts will continue to supersede any additional taxation. Dividend investing and dividend growth is here to stay and will continue to be an important component of client accounts especially as they head into retirement. He also sees a role for ETFs even if it isnt a leading role in a conservative portfolio. There are some advantages to them. They are very low cost. There is transparency. You know exactly what is in each of those ETFs. Their liquidity rate in the market is unbeatable. You can trade them at any second, he said. The downside is that not all ETFs are created equal. There can be tracking errors. And they are not appropriate for all segments of the market. Yet they represent another opportunity to be evaluated based on what is in the clients best interest. That is also his approach to the ongoing debate about creating a uniform fiduciary standard governing all the various types of financial professionals under one national law. As a Registered Investment Adviser (RIA), Raposo registers with the Securities and Exchange Commission. His work is regulated by SEC guidelines, backed up by legal ramifications, so his professional standard is of a fiduciary nature already. Raposo pointed out that the brokerage industry does not have that same standard. It is self-monitored and regulated by the Financial Industry Regulatory Authority (FINRA). I think the real question is what would this uniform standard look like and who would be the regulator, Raposo indicated. Our standard is more stringent. Anything moving away from that, we think will be negative for investors. Right now, the two different groups do not see eye-to-eye on this subject. There is a lot of work ahead of us to get to the point where there could be a uniform fiduciary standard. Whatever happens, you can be sure that Raposo will continue to score for his clients.
www.shorepointpartners.com
by diane alter
Identifying and Managing
Financial Risk
When You Think You've Thought of Everything
Risk is an unavoidable part of everyday life. Without question, travel is risky. But so is staying at home, where 25% of all fatal accidents occur. Eating involves risk. Indeed, the foods we ingest play a big part in our chances of getting cancer, diabetes and a plethora of other ailments. According to the International Labor Organization, more than 2.3 million deaths per year are work-related, with the number of onthe-job accidents amounting to some 316 million annually. Every day, some 6,300 people die as a result of occupational accidents or work-related diseases. And, even falling in love involves the risk of heartbreak.
ARE YOU LOOKING FOR INDIVIDUALIZED INVESTMENT ADVICE?
s the 2008 financial crisis so cruelly reminded investors, risk abounds in the investment world. But that doesnt mean people shouldnt invest, nor does it mean they shouldnt do something to try to reduce investment risk, Guy-Robert Porter, Chief Portfolio Manager at Engineered Risk Advisory, told The Suit. By using several strategies for risk management, we manage both market and liquidity risk. Engineered Risk Advisory uses a little known source of returns called the Volatility Premium in order to add growth or protection. Most retail investors and retail brokers cant access the benefits of option transactions. The additional growth and protection available with options is tricky to capture, but there is a good deal of it out there, Porter said. Engineered Risk Advisory uses a number of financial instruments to determine the risk existing in an investment and then handles those risks in a manner best suited to a clients investment objective. Our clients best interests are always at the forefront of everything we
do. One of our goals is to educate them about dangerous but obscure market risks. For example, many people dont realize they are taking more risk by being conservative than if they invested in stocks. You see, inflation risk (the purchasing power of money invested in bonds, treasuries, CDs) creates uncertainty of the future real value and spending power of their 'conservative' investments, Porter explained. The financial market turmoil of the last few years and recent record-breaking benchmark rallies has catapulted risk management into the spotlight. While 2013s stellar stock gains are welcome, they have many investors hell-bent on holding on to them. Navigating the current investment environment requires a clear definition of an investors appetite for risk, along with a solid risk management methodology that involves extensive thought, planning and research. We try to think of everything, Porter shared. As the old Wall Street adage goes, Risk is whats left over when you think youve thought of everything.
www.engineeredriskadvisory.com
Without a Financial Plan its Just Luck Its Not What You Make; Its What You Keep
overnment studies reveal that roughly 90 percent of Americans will run out of money in retirement. Not because theyre living longer, because theyre saving less. Indeed, according to a recent survey by Bankrate, more than three-fourths of Americans dont have enough money to pay their bills for six months. Moreover, half of survey respondents admitted they had less than three months worth of expenses. And, more than one-quarter have no reserves to tap in the event of emergencies. To be sure, it not what you make; its what you save, Michael J.P. Fitzgerald, president of Fitzgerald Partners told The Suit. While you can build wealth relatively quickly by say going to the bank for a loan, that kind of wealth is temporary. Growing wealth takes time. Thats the reason I created a specialized approach to retirement called Wealth by Design. A fee-only investment and wealth management services firm, Fitzgerald Partners specializes in helping pre-retirees transition into a 5-10 year retirement plan. Additional areas of expertise include real estate investment planning, edu-
by diane e. alter
cational planning, tax planning, asset allocation and retirement accumulation planning. Based in Houston, the firm services clients across the nation. We believe a financial plan must be created to determine a clients needs and goals. Then, we work on the best means of helping clients achieve them, Fitzgerald explained. A Certified Public Accountant, an accredited Personal Financial Specialist, a Certified Financial Planner, and boasting an impressive resume that not many in the financial world can rival, Fitzgerald is frequently called upon for his expert insight from myriad media outlets such as Fox Business News, Forbes, MSN and Bankrate.com. He is one of the countrys premier tax experts. His love of country lead him to an eight year stint in the military and to establish a number of programs to benefit veterans. By looking beyond traditional financial advisory services, Fitzgerald has benefited many.
2500 City West Boulevard Suite 300 Houston, Texas 77042 www.fitzfp-llc.com
COLLABORATIVE DIVORCE: LEAVING FAMILIES IN CONTROL

n a litigated divorce, most of the communication between parties takes place through legal motions and correspondence between counsel, making it adversarial by nature. Those cases certainly out there, says Louise McGlynn. And while there are cases that are litigated, our goal is to encourage clients towards a negotiated approach. In the more traditional adversarial form of divorce, winner takes all means that everyone ultimately loses. The firm of Freshman & McGlynn listens very carefully to the wishes of its clients. In most cases the clients want to avoid the courtroom, but if a litigated divorce is on the agenda, they have years of litigation experience and are aggressive in the courtroom. Their goal whenever possible, is to make the divorce process less painful, less contentious and easier on the entire family, through negotiated settlement processes. The firm sees collaborative divorce as one of the preferred options. As part of the collaborative process, both parties consent not only to the divorce but also to a mutual desire not to waste all of their assets in seeing it through. In turn, both parties retain more control over what happens to their children, assets and even their future relationship. Opposing lawyers and clients sit together at a table, with both sides pledging to hammer out an agreement. I say to clients that if you want to dance at your childrens wedding
by rich monetti
with your former spouse, this is the process you use, says McGlynn. Another form of divorce that fits with McGlynn's philosophy is the mediated divorce. A lawyer mutually agreed upon as a neutral third party advises the divorcing parties on the confines of the law, defining the parameters and helping them arrive at a consensus. In other words, McGlynn says, I facilitate the conversation. But it all does take some doing. Given the many factors involved, it takes boundless creativity to superimpose the strictures of the law onto the emotional human component. McGlynn says, These are peoples lives. You cant regulate emotion and so the challenge is to keep the emotion in check. Once these hurdles are cleared, cashing out the shared household means that the worst has passed. Leaving everyone with a sense of enthusiasm means the collaboration worked and that is what matters most especially when an effective parenting plan puts the children first. As McGlynn says, Its very satisfying to help a family move forward. www.freshmanmcglynn.com
by travis taylor
or Todd Moll and Provenance Wealth Advisors, helping clients was never about choosing the ones with the most money. It was and still is about helping those clients who came to Provenance to not only reach their goals but also to have a unique learning experience along the way. We dont prefer one to the other, rich or poor, said Moll, director and chief investment officer for Provenance Wealth Advisors. We have a positive impact on clients by helping with their decision-making. Moll and the other advisers at Provenance dont differentiate the company is happy to work with anyone who will gain from their services. I dont think planning is exclusive to high net worth families, said Moll. There is more personal benefit for families with less worth, and we have the infrastructure to help them Before someone can become a client, however, Moll said that Provenance considers these three basic questions. Does the potential client care deeply about preserving or protecting something, such as business, family or employees? Does the client have the resources necessary to tackle these concerns and afford the services offered? And is the client committed to the process? Said Moll, We cant care more about the clients financial goals than they do. This down-to-earth approach toward helping people extends beyond just clients. Provenance also supports several organizations that assist children and underserved communities. Helping others is a core value at the heart of Provenance. From the start, Moll's goal was to offer the best, most coordinated planning experience for all clients, while also presenting a unique one as well. Hiring planners with different areas of expertise achieved this end. The goal really was for us to bring in multiple experts to provide a team on behalf of the client so that were looking at all components and all aspects
Investment Planning for All Walks of Life
Helping People Successfully Plan for the Future

of the financial planning process, said Moll. Part of that planning process includes investment management. But investment management is only a component of a well-developed plan. Moll said that the company has done a poor job if it outperforms some relevant benchmark each year, but does not achieve the clients main objectives. Also included is a comprehensive approach to planning for each client, including estate, financial, business and investment planning. Each client is helped on a case-by-case basis, taking into account the wide variety of individual reasons each client has for seeking out Provenance. For Moll, this has been a labor of love. He sees one of the companys greatest successes as the development of the investment management process at the firm. When the company started in 2000, despite the wealth of planning knowledge held by the founders, initially there was no real processes in place in the investment management arena. Moll and his team developed Provenances due diligence processes and back office procedures from the ground up. Those procedures still serve as the cornerstone of Provenances investement management services. One that has grown to well over $1 billion in client investment assets. But the shared passion for client experience has driven Moll and the company forward, toward the success Provenance is enjoying today. And, according to Moll, every day is a new day and a new challenge.
www.provwealth.com
RISK
T
by diane e alter
OPEN TO OPPORTUNITY
o be sure, financial advice is unquestionably among the most crucial advice youll ever receive. Central to the planning of your future, its not a stretch to say that you need a financial partner, not simply a financial planner. Thats the mission behind our firm, James E. Pearman, Jr., founder of fee-only Partners in Financial Planning, told The Suit. Our firm offers advice thats free from conflict. We dont sell insurance or financial products. We are 100 percent client goal oriented. What that means is were committed to helping clients achieve their goals. Investment management is merely a part albeit a big part of the service we provide. Recognizing the need for unbiased investment advice and guidance in the wake of the 2008 financial meltdown, Pearman created the Salem, VA-based firm in 2009. With some four decades of experience in the industry, Pearman has been
Hiring the right financial planner can be a daunting task indeed. Amid a sea of titles and acronyms in front of and following a long list of advisers names, comes some clever marketing and compounded confusion.
providing comprehensive financial planning since 1990. Areas of expertise include income tax preparation, along with estate and retirement planning. Among his accomplishments, Pearman has been cited in Medical Economics magazines as one of the top financial advisers for doctors in the U.S. every other year from 1998 through 2012. While the firm counts a number of doctors as clients, its customer base is vast and varied, unlike its investment style. We use a passive approach to investing. We dont try to time or beat markets. Were conscious of risks, yet open to opportunities. This has served our clients and our firm exceptionally well, Pearman explained. Communication is also extremely important to us and our clients. We make sure clients understand every move we make, every recommendation and every change. Our website serves as a valuable portable in this area. We continually post updates and also feature a monthly newsletter. The initial financial plan is merely a starting point. Financial planning is a continuous process requiring a commitment of time and energy by both the planner and the client. So, its imperative to build a trusting relationship that will go the distance, and to have an impartial voice of reason during good times and bad. We believe that financial planning should be an enjoyable, rewarding and invigorating process, Pearman shared. In a refreshing change of pace from the buy/sell mantra of many advisers, Partners in Planning holds the term partner in the highest regard. We truly believe in the value of our partnership with our clients, Pearman said.
CONSCIOUS OF
www.pifp.ipower.com
by amy armstrong
Capturing Past Security Losses with Attention to Detail

ver the last 10 years more than $60 billion has been distributed to shareholders as payouts from class action settlements in securities litigation. That is certainly a number big enough to get ones attention, but what is more surprising is that most experts estimate that 50% or more of all eligible claimants in these settlements do not file and collect what is rightfully theirs. Instead, the money gets reallocated to those investors who do file. Making matters worse is that most of those who file are big institutional investors who have service providers like custodial banks and others who look out for them in this area. Retail investors, who by most estimates make up 30% of the market, have no one trying to help them, and as a result it is estimated that more than 80% of retail investors are left out in the cold, with there money instead going to the big institutions. One company is making it a mission to change that paradigm and bring service to this previously under-served set of customers. Financial Recovery Technologies, one of the leading service providers to major institutions, is exploring how they can adapt their services to monitor, file and recover funds currently tailored for institutional clients with large pools of capital for the needs of clients with smaller dollar amounts to claim. According to company president Rob Adler, his firm Financial Recovery Technologies (FRT), founded in Medford, MA in 2008, is taking a long look at how to serve the 30 percent of the class action litigation market that is viewed as retail or individually managed accounts versus those of large institutions. Almost all of the service providers, such as
FRT, have historically only been able to provide a service in a cost effective manner to the institutional client, Adler said. One of the goals for the future is whether anybody can help the smaller client recapture securities losses. Adler explained that there are many claims going unfiled each year. This trend, he suggests, is more concentrated in the sphere of the smaller investor and is due to the nature of the securities trade business. Investors tend to live very much in the present. They are worried about performance now, Adler said. When a claim settles, it is usually for a case stemming from trading that took place five to seven years ago. It is not even on their radar screen. This is particularly true for smaller claims ones that are only a few hundred million dollars or even less spread across an entire class of litigants. These tend to fly under the radar. If you are not actively and intentionally monitoring or paying attention, they can slip by, Adler explained. Attention to these claims represents Adlers greatest successes and greatest challenges in this business. In a typical year, about two hundred cases involving securities claims are filed. Admittedly, its an opaque process heavy on details that go back in time, tending to be a gray, murky area requiring a lot of attention to detail in order to produce a successful outcome. Recouping past losses is only one small part of a clients much larger total investment package. Recouping is something a busy client does not always wish to undertake, especially because of the investment in time it takes to garner the many details necessary to
Top Ten Securities Class Action Settlements

Enron Corp. $7.2 B WorldCom, Inc. $6.1 B Tyco International $3.2 B Cendant Corp. $3.2 B Nortel Networks $2.9 B Salomon Smith Barney $2.7 B AOL Time Warner $2.5 B Bank of America $2.4 B McKesson HBOC, INC. $1.0 B American International Group $992 M
obtain maximum benefit from such litigation. Much of what we do is education. We try to explain and make transparent to the investor what class action filing is all about and what their opportunity is in as efficient a manner as possible, with a maximum shareholder benefit in terms of maximizing those collections, Adler explained. Despite advances in information technology, the process remains quite cumbersome and keeps the postal service busy. The Internet, even with all of its instantaneous notification possibilities, still does not play a major role in securities litigation. But the problem is often less an investors awareness of a claim opportunity that is the problem, Adler explains, as the firms who administer the claims process do a thorough job in making sure potential investors receive their claim notification. Rather it is the complexity of completing the forms accurately, often based on trade data and history that is 5-8 years old, which makes it so daunting for shareholders to rightfully claim what they might be entitled to. One additional area where all investors, including large scale institutions, are struggling to recover their cash is for legal settlements outside of the US. Why? In 2010, the U.S. Supreme Court ruled that international securities claims must be filed in the courts of the country where the trading originated. This decision in Morrison versus National Australia Bank has complicated the process of international claims recovery, Adler said. It is also bringing new business for his firm. The Morrison ruling has dramatically changed the global landscape for claims recovery, Adler wrote. Specialized guidance on international filings within each country, along with expertise in each countrys distinctly different legal requirements and processes, is critical to the successful claims settlement. While that sounds complicated, it isnt Adlers greatest challenge. Instead, the most difficult part of his day is possibly getting his two teenagers out of bed and off to school. In comparison, his job seems a cake walk. Ive spent quite a good amount of time in the financial services industry and have always enjoyed it, Adler said. In building FRT, I am excited to get involved and make a major impact on insuring that all investors are treated fairly in the claims recovery arena. www.frtservices.com
Investing for Those Under 50

larendon a vibrant Arlington, Virginia neighborhood filled with shops, bars, and restaurants typifies the convenient, family friendly atmosphere desired by Washington D.C.s young professionals. CNN Money ranked Arlington in the top ten Best Places for the Rich and Single listing. Clarendon Capital Management, LLC (CCM), founded by Carlos Sava, is on target for catering to exactly that younger, under-50 Clarendon crowd. For them, Savas strategy focuses on income instead of existing wealth, differentiating his firm from other investment advisory firms. Sava noted, We see young lawyers, IT and consulting professionals, and entrepreneurs as an under-served market, without sufficient wealth to meet the minimums of those firms. Confident they will get there over time, CCM is happy to get involved early, because they have a long investment horizon. Speaking to his long-term strategy, Sava said, Our investment approach is a very patient one, with longer holding periods than most firms. Sava discussed CCMs unique approach, including advantages of separately managed accounts over mutual funds
by judy magness
and their commitment to total transparency. Unlike mutual funds, our clients can see their investments. People had accounts with Bernie Madoff, but nobody knew what was in them, said Sava. And just as important is transparency about fees, commission charges and expenses. These are sometimes still buried and clients dont see all the charges associated with their investment account, he said. Were not in favor of that at all. Its very damaging and certainly not transparent. The firms clients dont pay any sales or load fees, nor are there any penalties for withdrawing funds within a certain time period. CCM develops a strategic asset mix of stocks along with fixed income, cash equivalents and alternative investments to fit each clients goals. Those under 50 must balance spending to handle life changes such as buying a home and starting a family, while also saving for retirement, reasoned Sava. Theres a lot of financial pressure on this age group and we are here to help them.
www.clarendoncapitalmanagement.com
THE SUIT MAGAZINE - AUG / SEPT 2013
by diane alter
A Lone Wolf Among Sheepish Money Managers

Intrepid Capital Management: Contrarian and Courageous
nvestment styles abound on both Wall 40-50 percent fall. Street and Main Street. Day traders vie for Travis credits the firms disciplined investment mere penny gains. Momentum investors approach, which concentrates on return, risk, buy whats going up, believing that liquidity and relative value. We place a heavy rising stocks will continue to rise. Growth focus on free cash flow a representation that a investors place wagers on equities they company is able to generate cash after shelling hope will be behind the next big thing. out money to maintain or expand its asset base Meanwhile, contrarian investors emphasize when considering an investment. We seek to out-of-favor securities with low price-to-earnings buy only good businesses at good prices, using ratios. The contrary camp tends to sell when detailed fundamental analysis. We dont chase most people are buying, and will buy performance or buy hot stocks. We when most are selling, following the remain flexible at all times and dont old Wall Street adage, what appears have cash limits. Well sit on cash if we obvious is obviously wrong. Its that cant find suitable investments, Travis kind of divergent thinking that has explained. placed Intrepid Capital Management Intrepid represents a refreshing prominently and prestigiously on the change from a large and growing investment worlds highly competitive herd on Wall Street that deems cash map. undesirable. It remains at the top of Since its founding in 1994, Intrepid its game by staying cost competitive, has grown in both presence and tax efficient, maintaining open client prowess. President Mark F. Travis, communication, employing the best who boasts three decades of financial in the business and always upholding experience, is highly respected in the its integrity. I tell all my employees it industry. As a frequent guest on CNBC takes years to earn a stellar reputation and Fox Business News, Travis has also and just seconds to lose it. I lead by been featured in Barrons, Financial example, Travis said. Advisor Magazine and Smart To be sure, sheep are herded. Money. The road to financial greatness is We differentiate ourselves by managWe pride ourselves on led. ing concentrated portfolios with low independent thinking, Travis turnover, seeking absolute returns, told The Suit. We dont and co-investing with our clients. follow the Wall Street herd. Were discerning, deliberate, disciplined and opportunistic. All our funds are filled with our best ideas to provide the best potential value to our shareholders. Indeed, Intrepids Small Cap Fund won the Lipper Award as Best Fund in its category (out of 266 qualified small cap funds) for three-year risk adjusted performance in both 2009 and 2010. Providing further evidence of the firms outstanding performance, Travis explained, We emerged from 2008 (the Great Recession) virtually unscathed. Our small cap fund sported a modest www.intrepidcapital.net 7 percent decline compared to the sectors average
by amy armstrong
Emphasis on Emerging Markets

Provides Long-Term Opportunities
Your interests and goals always come first.
n a nod to the adage stating, That the only constant is change, Robert Lutts uses his position as the chief investment officer of the company he started in 1983, Cabot Money Management, Inc., to transform the age-old proverb into economic windfalls for his clients. I spend almost all of my time in the investment world, Lutts said. At any given time, I have five or six sectors Im really excited about to explore, develop ideas, then communicate what I find and give my team my recommendations. Some of his current picks for further review and possible investment include solar energy, clean technology, the hybrid vehicle market and big data. Hes also extremely interested in DNA genomic companies currently formulating personalized medicine applications. It is ripe with opportunity in the next 10 to 15 years. I think more wealth will be created in that sector of medicine alone than has thus been created in the entire pharmaceutical industry thus far, Lutts predicts. The reason I say this is the demand by the individual to extend their life is without limit. I am 57 and perhaps I will live to 75 or 80. But what would I pay or do for another ten years? A lot.
His opportunity-seeking isnt limited to the U.S. border. Hes a big fan of investment opportunities abroad and frequently travels to China, Brazil, India and soon Africa. He is attending a large mining conference in South Africa at the end of January 2014 in an effort to evaluate opportunities there.
Those parts of the world are where great opportunities will exist for the next decade, Lutts explained. You have to be open to the idea that growth opportunities are not limited by country borders.
He has the good fortune, to be able to identify trends early on that become long-term trends and achieve a significant value creation. That value creation begins right in Cabots home offices. There, clients go through a comprehensive review of their current financial situation, followed by the development of a strategic plan. This is our firms number one value, Lutts explains. Our clients see it the first time they come in. On that first day, they work with four individuals whom are highly-skilled in each of their respective sectors taxation, investments, estate planning and insurance. The thing that really works for our clients is that these four individuals talk to each about each clients case and they develop a custom approach to the unique aspects of each clients life. The client is not getting some off-the-shelf cookie cutter approach. His clients most with a liquidity of funds worth at least $1 million, value this high level of personalized service. These are people who have resources that need to be managed. Not only that, they have complex tax, estate and financial planning needs as well as a strong need for insurance planning, Lutts explained. Being high-net worth isnt the only thing Lutts seeks in a client. He prefers to work with people who allow his firms investing methods to work for them over the long haul. He emphasizes educating clients regarding the various and ever-developing tools of the investment trade. He knows some clients are weary of the recently-popular ETFs (exchange-traded funds). Lutts is a big fan, even though he does admit they can be a double-edged sword. They do offer benefits in lowering costs, offering tax efficiency and simplicity, Lutts said. They allow me to target an individual part of a particular market of a particular economy. Yet, challenges
are created. I may be taking on more risk because of this flexibility. This more complex slicing and dicing of the marketplace may make trading more complicated. Lutts also sees that ETFs increase investor trading activity. He cautions that increased activity does not necessarily equal increased profitability. Yet, in the overall investing scheme, he believes in the fluidity of ETFs. I am thrilled to have them, he said. But they do raise risks and those risks are something we have to be aware of. Risk is not something Lutts avoids. He recognizes it comes with the territory, There is no free lunch. You cannot get high returns without taking risk, he said when addressing the recent appearance of advertising, allegedly delivering market returns with no risk. In the long run, they are lying. If you take less risk, you simply are going to get less return. Lutts understands where the notion is coming from. The past ten years, marked with financial scandal after scandal and two bear markets have made investors leery of risk. He calms investor fears with a simple reminder: Investing is about the long-term. According to Lutts, Over a long period of time, if you invest in a carefully chosen group of companies, you will achieve a 9-10 percent annual rate of return. For now, Lutts does not see a federal uniform fiduciary standard being developed. Its not there arent issues to be addressed. Its just that most of those arise after the fact, he said. For investors, counselors and wealth advisers, it is very challenging to come up with a uniform set of standards effective at managing and monitoring markets. Investor behavior dramatically changes from cycle to cycle and what usually happens is that they (government authorities) outlaw things that didnt work after they didnt work. Instead of looking in the rear view mirror, Lutts is always looking forward. Hes working on being a bit less bullish at market highs and less bearish at market lows which he acknowledges is challenging. Lutts comes by this careful watching of trends and opportunities naturally his father was the founder and original editor and publisher of the Cabot Market Letter. In 1983, when launching his own firm, Lutts contacted those subscribers because he knew they were also looking for new opportunities. The next profitable opportunity is what Lutts intends to keep on finding not only for himself, but more importantly, for his clients.
216 Essex Street Salem, MA 01970 (978) 745-9233 www.ecabot.com
by amy m. armstrong
Keeping Clients From Unnecessary Risk

of 3% or higher in 2014, which should allow the stock market to see further gains. Regardless of the markets, he continues to work with clients to determine the correct level of risk tolerance for their portfolios. Risk is different for each client, which is something Schlick says he and his partner, Tim Dull both chartered financial analysts (the CFA is composed of 18 hours of exams on investments and portfolio management) understand well. While they determine what and where to invest, the clients risk tolerance level provides key guidance in that decision-making process. We custom-fit the clients portfolio to meet that risk, Schlick said. We give them the parameters so they can understand what could happen in terms of market decline or market depreciation and to make sure they are comfortable with the level of risk. Keeping clients assured of the safety of their investments is also key, Schlick noted. Advisers such as himself currently get an assist from the federal government which has increased its regulatory oversight. It means extra paperwork for firms that are registered investment advisers (RIAs), but Schlick believes ultimately that the shift toward greater scrutiny is beneficial to his business (and to all investors). His firm utilizes an independent custodian, TD Ameritrade, and he likes the fact that his clients receive statements from both his firm and from the custodian. Schlick observed, Hopefully this gives our clients a greater sense of security. www.compasscapmgt.com
ordan Schlick is keeping his clients out of the bond market. That is, at least until he sees what effect the impending end Federal Reserves current quantitative easing (QE) process will have on interest rates in 2014. Schlick anticipates a rise in interest rates as the Fed reduces its bond purchases. As he notes, in March 2013, interest rates rose by three-quarters of a percentage rate based merely on the discussion of a potential end to quantitative easing. It was a pretty big shock, explains Schlick, chief executive officer of the Columbia, Maryland-based Compass Capital Management, LLC a firm he first established a decade ago. Our perspective is that when the Feds get the economy healed and once they take off this stimulus (QE) that has kept interest rates artificially low, then interest rates will jump another 0.5% to
1.0% pretty quickly. This is not a good thing for purchasers of long-term government bonds. When interest rates rise relative to the time of purchase, the price of the bond drops. As Schlick points out, interest rates on government bonds have remained low due to the Feds QA program a tool pulled back out of the governments economic tool box to use after the 2007-08 financial collapse. As reported by Time and Forbes magazines, the Fed continues to purchase $85 billion per month in Treasury bonds and long-term mortgage-backed securities. When this ends, financial analysts, including those at the Congressional Budget Office, expect bond interest rates to more than double, hitting 5 percent by 2019. However, economically, we believe we are in a pretty good position right now, Schlick said. He expects growth
by diane alter
Personalized Software Solutions Allowing for Small Companies to Compete With the Big Wigs
echnology is evolving at such a lightening quick speed that companies today simply cannot afford to waste time, energy and money building or implementing software that is likely to be antiquated in a few months. With a good planning, however, it is possible to avoid this scenario. You need to understand your business process before you decide on a particular software, Natalie Noel, CEO of Tech Advocate Group (TAG) told The Suit. Most companies attempt to adapt to new software. The optimal approach is to employ software that adapts to you. User adaptation starts at the planning stage. Noel formed her Baton Rouge, LAbased company in 2012 after working for a number of years at several prestigious software consulting companies around the country. Her exposure to a wide variety of business cultures and vastly diverse software systems paved the way for a high level of comfort in developing mission-critical applications for many different kinds of business. An established entrepreneur as well as an elite college basketball player, Noel has the discipline, drive and endurance of an accomplished athlete coupled with the skill of an industrialist. Unlike many of the big software solution companies that specialize in impersonal customer relationship management (CRM), we are very personalized. We start any affiliation by fully understanding the client, their business, their revenue goals and who their users are. We gather all the pertinent information and spend a great deal of time in the planning stage. But we dont stop there. We stay on board to make sure the software adoption
flows. By establishing long-term relationships, we also have a foothold on securing future business, Noel explained. Without question, the future of software lies in cloud computing. It opens up a great many doors by making applications and data more accessible than ever before. A host of cloud applications have already, and will continue to greatly improve a companys productivity and profits. Eventually and sooner rather than later every piece of equipment and every gadget will be equipped with devices to transmit data via the cloud. That relay of facts and figures will improve customer service and the user experience. By capturing that invaluable information, an organization can increase revenue and growth. Cloud computing is in its early stages, but its evolving every day. As an industry expert, what I see as
one of clouds biggest benefits is that it lets small companies compete with the giants, Noel detailed. And that is exactly what TAG is doing. Although it is a new player in the technology sector, it is already successfully competing with the industrys big boys. Noel knows that success in basketball or in life doesnt come easy, and the same is true when implementing mission-critical software systems thats why she created TAG, and thats why she is sorely needed.
www.techadvocategroup.com
by the suit staff
Effective Training Delivery and

Cloud Computing Drive IT Business
It is important first of all to make sure that the companies we are working with do not want to continue to struggle underneath a best efforts basis, he said. Knowing how the recent economic downturn forced some companies to hold on to antiquated equipment, Holland's philosophy includes identifying ways to make existing equipment and IT infrastructure work until budgets improve. But ultimately, his firm seeks to provide its clients with the most affordable of the most current technology including the support and security measures his team of experts can provide such as controlling the flow of electronic mail, network access and DNS (Domain Name System) resolution against malware attacks. Holland is a fan of cloud computing for a couple of reasons, including the simple fact that its existence has helped grow his own business, even in a sluggish economy. Through our work with Microsoft or other providers, we are able to bring cloud computing to businesses that stand to gain in two areas: mobility and productivity, Holland said. He noted that some cloud customers might not be in the market for any other IT services, but can at least find a use for cloud services. When we have that mobility factor or the agility for a customer to use services on up to five devices, so that they are not limited to the workstations at their desks but can now work from the cloud on the computer at the hotel, their laptops, their tablets or in some cases, even on their cellular phones this increases productivity. www.nemtechnology.com.
apitalizing on the notion that computer users train better on their own workstations, NEM Technology of Oscoda, Michigan, is using video training delivered directly to the end user as a mainstay in support programs being offered to its technology clients. This training delivery system seems in line with surveys favoring the video approach, including one recent Forbes survey showing that 60 percent of executives prefer watching a video versus reading text at their personal workstations. Even the U.S. Department of the Navy utilizes video training, personalized for delivery to workstations. It promotes retentive learning, largely because of the emotional involvement a viewer experiences. Its a notion with which Larry Holland, CEO of NEM Technology, heartily agrees. Video absolutely is one of the handiest tools for training, he said. It keeps them (the user or trainee) in their environment rather than disrupting them to have to come and sit in a training session somewhere. To be able to deliver the training to them while they are involved with their workload is one of the best avenues for delivering training. Training the end user in any technology his firm brings to its clients is an important component in Hollands overall plan of service. But it isnt his only goal. Hes looking to work with companies that want to be able to fully utilize the best overall technology they can afford.
by travis taylor
Forging a successful path finding renewable energy executives
Renewable Energy, Sustainable Executives
enewable energy is a multi-billion dollar industry. Investment in technologies such as solar power, wind power and hydroelectricity, reached $257 billion in 2011 alone. Rapid growth like that creates a need among companies for top-notch executives focused on renewable energy. This is where Carina Whitham and the Whitham Group come into play. Whitham, founder and CEO, brought the company together in 2010 after spending over 10 years in recruiting and staffing. Whitham and her associates found a niche in renewable energy recruiting and brought both their talent and passion to bear on that industry.The one thing we noticed was that the people within the renewable energy industry, they take their talent and direct it toward the bettering of the environment, Whitham said. And theyre just good people to work with. In less than two years, the Whitham Group has already found success. In 2012 our revenues skyrocketed. This year 2013, we are slated to double last years revenues, noted Whitham. And we are now expanding our offices all over the nation. Already Whitham Group has concentrations in solar power, with expansion into the biofuel, geothermal and wind industries. Part of the reason for the scope of this achievement is the way Whitham and her associates go about finding talent for companies, saving them money in the process. Before taking on any new client, for instance, Whitham Group goes through an assessment process. First, they only consider companies that are in the renewable
energy industry. Whitham concedes that this means considering only American-based companies. Secondly, each potential clients revenue and capitalization is taken into consideration and thirdly, Whitham Group uses their vast connections to feel out the company, take a look into their corporate culture and interview people who work for that potential client. We dont want to place a candidate anywhere thats not a viable position in a viable company with a good reputation, Whitham said. Because Whitham Group can offer a retained-level search and do it on a contingent basis, they are able to greatly reduce the amount of money a company spends on finding the right five-to-seven figure talent. That savings can be up to half of what is spent on larger, less renewable energy-focused search firms and with better results. With so much success already, Whitham Group is poised to continued their significant growth and influence in the renewable energy industry. In 2014 our plan is to align ourselves with some of the top energy companies and diversify by expanding our client portfolio, said Whitham. This combination of passion, talent and even a sense of fun has driven Whitham Group to the top of renewable energy executive search firms. We love what we do, said Whitham, so it doesnt really seem like work.
www.whithamgroup.com
by diane alter
WALKING COUPLES THROUGH
DIVORCE-O-NOMICS
Avoiding a Divorce Hangover
solutions that are beneficial for all involved. Thats an important part of my methodology and it allows for greater successes, Bordett explained. Also important are the myriad emotions involved in divorce. One of the greatest challenges a person will ever go through, divorce affects every area of life and stirs up a hornets nest of emotions. Thats why I include divorce coaches and mental health experts in my practice. You see, with every asset there are emotional ties. For example, a home is an extremely emotional asset. Working with these experts, clients are able to remove the emotional part and determine if holding on to or vying for an asset makes financial sense, Bordett added. Clients working with Bordett will agree that his methods have resulted in better long-term relationships with former spouses, largely because there is no court fight. There are also a number of benefits inherent in the methods Bordett employs, including:
since they make the decisions instead of the court.
Divorce , no matter how amicable, is a profoundly life-changing
Bordett emphasized, Once you are in court, its a judge who knows very little about you and your family that will make final, life-altering decisions about you, your family, your property, your money and ultimately how you will live your life. Thats a daunting prospect.
experience. It is painful, confusing and can be very costly. Helping couples for nearly three decades keep divorce from devastating their finances and as a result, their lives is Bob Bordett, owner of Atlanta-based Collaborative Practice and Mediation Services, Inc. I am the neutral party, Bordett, a Certified Financial Planner and Certified Divorce Financial Analyst, told The Suit. I dont have a dog in the fight. Clients come here to discuss their issues not for a battle. I help couples, families and businesses make sound financial decisions through alternative dispute resolution methods. These processes involve Mediation and settlement is trust and communication and all work easier on children, since these are very well. The successful processes Bordett em- typically more peaceful than litigaploys are centered on an interactive ap- tion. proach.
I USE THREE SETTLEMENT METHODS. THEY INCLUDE INTEGRATED MEDIATION, ARBITRATION, AND COLLABORATIVE DIVORCE.
Mediation allows for far more But whatever method is used, we discuss assets, liabilities, taxes and cash discretion because it is private, flow. I make it a point to educate clients. while divorce is public. This helps them in recognizing the deIt expedites agreements and recisions and agreements are theirs not duces expenses. mine. I encourage clients to think outside the box and come up with creative It helps clients stay in control
www.u2agree.com
Making Family Law About Families

arriages are meant to last forever. But sometimes they dont, and then a once-committed couple heads for divorce. With roughly 40-50 percent of marriages in the United States ending in divorce, a failed marriage is almost more commonplace than a successful one. What can be lost in the pursuit of these divorces is the emotional impact they will have on other family members. This is where Arthur Grossman and Florida-based firm of Grossman & Grossman helps out. The husband and wife team of divorce attorneys seek to make family law more about families, by respecting relationships, diversity and values. As Grossman noted, We decided from day one to focus on divorce and family law, because we believe the practice of family law really presents us with the greatest opportunity to make a significant, positive impact on the lives of our clients and their families. Grossman was in IT Management for 12 years before following his parents into law. He and wife, Kristin, met while both attending Florida Coastal School of Law, where Grossman graduated at the top of his class. After graduation, both attended the Straus Institute for Dispute Resolution at the Pepperdine University School of Laws and Grossman earned a Master of Law in Dispute Resolution. Since starting the firm, Grossman has looked for clients interested in what he described as a healthy divorce. A healthy divorce is one where the client recognizes the amount of stress involved in the divorce process, understands how it affects the entire family and takes steps to see
Collaborative Divorce: A More Therapeutic Alternative
by travis taylor
a mental health professional to prepare for the road ahead. Part of what Grossman does to help make sure families get the most positive impact from divorce is through a collaborative divorce process. Collaborative divorce is where both parties use joint techniques, working together instead of looking to beat the other side. This can save money by avoiding extensive litigation and the courtroom. It also greatly reduces the amount of stress on the family. Family law would benefit more if kept out of the courtroom, said Grossman. While he believes the legal system in the US works well, he wants to see a shift toward more alternative dispute resolution. This means more mediation, informal negotiation and arbitration before getting to a courtroom. Grossman is driven by his focus on family in family law, viewing his greatest success in law as having provided his clients with a voice. Too many people in our society just want to be heard, said Grossman. As for the future, Grossman wants to increase public knowledge about collaborative divorce and increase the number of clients but not necessarily just for money. Increasing our clients means more people I can help, Grossman said. More people I can provide with a healthy alternative, a more therapeutic alternative for restructuring their families.
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1 IN 6 AMERICANS NOW STRUGGLES WITH HUNGER.
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Hunger is closer than you think. Reach out to your local food bank for ways to do your part. Visit FeedingAmerica.org today.
by diane alter
COMMUNICATE, DONT LITIGATE
Representing Community Associations

Community is the foundation behind Kaman & Cusimano, LLC Attorneys at Law an Ohio-based firm focusing on condominium and homeowner association law. We dont represent developers, owners, contractors, management companies, banks or tenants, Joseph (Jay) Cusimano, partner, told The Suit. We only represent community associations.
very case the firm takes on begins with practical considerations of potential outcome and its effect on the community. We recognize that we dont just represent clients, explained Cusimano, who was included this year in the 20th edition of The Best Lawyers in America for real estate attorneys. We represent entire communities. Every association is first and foremost a community. A primary goal and responsibility of ours is to keep our community association clients out of legal trouble. So, we are big on providing education for board members in order to prevent problems. And, we also keep the lines of communication open at all times, Cusimano said. Homeowners associations (HOAs) are formal legal entities created to maintain common areas. Membership is mandatory for all property owners within a development and mandatory fees are the norm. HOAs are corporations with formal bylaws, and there is typically a governing board which hires a property management company to handle maintenance and a variety of enforcement issues. Its a big industry which continues to get bigger. Indeed, according to the Community Associations Institute, about 50 million Americans live in association-governed communities. Approximately 1.25 million people serve on community association boards and another 300,000-plus serve as community members. Some 6,0008,000 new community associations are formed every year. The estimated real estate value of the homes in all community associations amounts to more than $2 trillion or roughly 15 percent of the value of all U.S. residential real estate. The estimated annual operating revenue for these associations is $30-$35 billion. Amid this rapidly growing industry, comes a growing number of disputes, running the gamut from smoking on the premises, to pet ownership, to laundry lines, to decorative gnomes (or flamingos). These disputes, no matter how trivial they may seem to some on the outside, are important to those impacted by the matter and for that
reason can be very costly. While we recognize that every person has a say, we also know that not every case has merit. We know every side of the issue; not just the law, but the practical considerations as well. Thats invaluable to all of our clients, Cusimano detailed. The firms aim is not just to help clients avoid litigation. Its to make sure neighborhoods are running smoothly and amicably. When people are happy where they live, they come together and embrace their unity. Everyone benefits and it promotes property values, Cusimano said. To be sure, the very name community sounds like the words come and unity. And getting everyone to come together in unity is Kaman & Cusimanos goal.
www.ohiocondolaw.com
by diane e. alter
ATTORNEY, ADVOCATE
AND BIT OF A REBEL
Asset protection planning is all about planning before a claim or compromising situation arises. And, its important for people to understand that personal assets are for trusts, and business assets are for business entities.
n order to make sure your legal rights are properly represented, it is imperative to hire a good, honest and skillful lawyer which implies that you have to know how to find one. Unfortunately, a great many people dont find out that they have selected a bad or incompetent lawyer until its far too late. Additionally, since lawyers have a wide variety of areas of expertise, it is also crucial to hire the right lawyer for the job. For those in need of estate and trust planning, international tax issues and disputes, asset planning, protection of assets and U.S. taxation issues, Walter Weiss, A Law Corporation, is the wise choice. Frequently consulted by colleagues and CPAs, Weiss has been honored in the annual Top 100 Los Angeles Super Lawyers publications every year since 2006. I work with clients that I know I can help, Weiss told The Suit. They want good results and so do I. While my practice runs the gamut from trust planning to estate tax preparation to business succession planning to charitable giving to matrimonial law, I enjoy and have had great success in cases that involve the IRS. I like fighting the government. I guess you could say I am a bit of a rebel in that regard, Weiss said with a chuckle. Weiss highly regarded practice offers the most comprehensive insight and service in assisting clients to make informed and sensible decisions about the issues at hand. Providing the same capabilities and sophistication as a large law firm, the Weiss firm can also boast of providing the same coveted level of personalized attention given by boutique firms. Protection of assets is among the busiest areas in Weiss practice. And contrary to popular belief, estate planning trusts are not just reserved for the wealthy. To be sure, the assets one has worked long and hard to accumulate can be quickly lost if not properly protected. Asset protection planning is all about planning before a claim or compromising situation arises. And, its important for people to understand that personal assets are for trusts, and business assets are for business entities, Weiss explained. In short, commercial operations are not personal piggybanks, and different needs call for different kinds of trusts As we move into 2014 an unquestionably more taxing environment Weiss stresses that people need to start planning for higher taxes and for tax changes now. You see, every situation also has a tax advantage. And Weiss helps clients find that benefit.
1901 Avenue of the Stars, Suite 390, Los Angeles, CA 90067 (310) 553-7019 Phone www.walterweiss.net THE SUIT MAGAZINE p.71
PUTTING THE CHILDREN FIRST

eeting the needs of children whose parents are divorcing is legal priority number one for Martha C. Hall, partner at Hall Law Group, PC in Statesboro, GA, a firm with a concentration in family law. She knows its a tall order, but she wont represent litigants at all who wont put their childrens welfare at the forefront of the divorce process. Hall considers the children to be the marital estates most precious and valuable asset and she intends to protect them. I look for clients who are going to put the children first and if I sense they are not on that path, or if the children are being used as pawns in the litigation process, I simply choose not to represent those folks, Hall said. She offers a variety of coaching materials for parents aimed at educating her clients about what is appropriate behavior and discussion topics in the presence of their children. Perhaps it is a fancy term for bad-mouthing the other parent but Hall spends a fair amount of time teaching clients about parental alienation and the deleterious long-term effects it can have on a childs well-being. Ive learned through years of practice that some clients do not know they are doing that, Hall said. If you coach them, offer them literature and walk them through the different situations they may face, most of them realize which word choices and topics are not appropriate in the presence of the children. This is not to say that Hall doesnt fight hard for her clients other best interests particularly the financial ones. As far as she is concerned, its
not a challenge to separate the childrens issues from other aspects of the divorce. I treat it more like a business, she said. It is two partners trying to divvy up the assets in a fair and equitable way. I separate that from the child custody issues. It is possible to make sure your client gets what is due on the financial side but also to set them up to become a good co-parent on the child issues once the attorney and the judge are no longer a part of their lives.
Martha C. Hall & J. Michael Hall 32 East Main Street, Statesboro www.hlg-pc.com
by amy m. armstrong
Real Estate
Practiced with Conscience

al or legal issues for my clients. These are emotional issues. They are staying up late at night worrying about these things. It takes a toll on their relationships, she said. It sounds corny, but the bottom line of our practice is helping people. We review their financial situation and try to provide solutions that are specifically geared to their goal whether that means keeping their property through restructure or getting them in the best position possible for a short sale. Browns firm offers expertise in the various areas of foreclosure. When she began the firm in 2006, it was just Brown and an assistant. Today, Emery Law supports its clients with a full time staff, including a short sale negotiator, a loan modification specialist, title processor and legal assistant, along with administrative staff to support all areas. Her greatest success is aptly represented by the case of a former bartender who had to retire from bartending for health reasons and fell behind on his mortgage payments while starting a new business. Brown helped him stay in his home as he started a new career. We were able to keep him in his home for four years as he built his new business. We gave him the gift of time to get what he needed as far as income for the loan modification, Brown said. The success is that we al-
hen Barbara Brown opened her law firm, Emery Law & Mediation, P.A. in Tampa, Florida in 2006, as an attorney specializing in real estate matters, she had no clue how fortuitous the timing would be or what a dramatic shift she would ultimately undergo professionally. It was one year before the 2007 start of the housing debacle and a year before the real estate industry saw high foreclosure rates coupled with plenty of legal action. Brown, formerly Barbara Brown-Emery, parlayed a strong track record representing the plaintiff side in real estate court into something she never expected a crossover to the defense side. When I opened my own firm, I had a number of referrals from previous clients, Brown said. Once the market went down in 2007 and 2008, the realtors we worked with began talking about clients in distressed situations such as foreclosure or pre-foreclosure and these realtors said to me, Hey, can you help my clients out? Brown thought about it and realized that she could. It was like the criminal prosecutor flipping to the criminal defense side, she joked. We started moving into defending foreclosures and working with clients on loss mitigation strategies. Brown makes this transition sound easy, but in reality it came with an enormous change in mindset. The clients she now works with are in significant financial distress, riding an emotional rollercoaster as they go through the various not-so-pleasant and not-so-quick legal processes potentially resulting in homelessness. I try to keep in the back of mind that these are not just financial, contractu-
lowed him to stay in his home while he moved on with his life. This is a prime example of how to practice real estate law with a conscience, aptly highlighting the admirable goal of Brown and her firm Fighting for Justice, One Home at a Time.
Emery Law serves Tampa Florida 12718 DuPont Circle Tampa, FL 33626 813-289-8485
www.foreclosureattorney-tampa.com
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Issue 58

Dec / Jan 2014

exclusive interview with

Fiscal Game Changer

Brokers & Advisors face new rules

Higher 401K Contributions What is the TPP all About?

Is there a savings shortage in America

Baby Boomers Lagging on Savings

Built for the road ahead.

Eco-Boost Engine Hybrid Regenerative Braking w/ Auto-Stop-Start Technology

ISSUE 58 | DEC / JAN 2014

A Drone Economy In America

DEC / JAN 2014

Dec / Jan 2014

exclusive interview with

The Age of Cyber-Warfare

Unjust Dishonorable Discharge

Stress In The Workplace

Arctic Seed Vault

Preserving Agricultural Supply

Baby Boomers Behind on Savings

BUSINESS / FINANCE FEATURES

20 Monetta Financial Services, Inc.

Higher 401k Contributions

Abacus Planning Group 23 Simplicity Matters

Ignite payments and First Data

Divorce Resource Center of Colorado

What is the TPP all About?

26 Integrated Financial Group

28 de Visscher and Company, LLC 30 Adams Hall Wealth Advisors

Lawyers Finding Happiness

31 Hawkes Wealth Management

2015 year of the Drones

32 Balaced Asset Strategies, Ltd. 33 Business Nerds

Lending an Ear to Investors establishing a good relations

THE SUIT MAGAZINE - DEC / JAN 2014

Why companies need a strategic consultant

55 Freshman & McGlynn

36 Vion Receivable Investments 38 Metroway Properties 38 Maxele Advisors

Collaborative Divorce: Leaving Families in Control

A Receivables Expert Interested in Consumer Protection

56 Provenance Wealth Advisors

Helping People Successfully Plan for the Future

57 Partners in Financial Planning 58 Financial Recovery Technologies 61 Intrepid Capital Funds

39 Capitol Risk Solutions

Maxele advisors promise undivided loyalty to their clients

Cybercriminals Shake Up Insurance Industry

60 Clarendon Capital Management LLC 62 Cabot Money Management, Inc.

Capturing Past Security Losses with Attention to Detail

40 Life Certain Wealth Strategies

A Lone Wolf Among Sheepish Money Managers

42 Axiom Capital Group 43 Synthesis Advisors

43 Oak Creek Insurance Industry 44 Fieldstone Financial Management 46 Newamerican Funding

Offering Financial Advice Not Products Real Financial

dsf Group 47 Experience Pulls Ahead of Competition

48 Cowan Financial Group, Inc.

49 SS&G Wealth Management

68 Collaborative Practice and Mediation Sevc.

Tax Savings Realized, Capturing Benefits of Detailed Engineering Analysis

Benford Cost Segregation

52 ShorePoint Capital Partners 54 Engineered Risk Advisory

71 Walter Weiss, A Law Corporation

55 Fitzgerald Financial Partners