By John Brown, Senior Wealth Advisor/Portfolio Manager
Our core philosophy at Exencial Wealth Advisors is “Integrated beats fragmented.” This means we can provide the best advice only when we have fully engaged clients who are willing to freely share information and exchange ideas. This philosophy is at the heart of our E3 process.
E3, shorthand for “Evaluate, Execute, Evolve,” is more than a continuous improvement process – it is a guiding principle for our firm. So what exactly does E3 mean? Let’s look at each part.
1. Evaluate. The first step in our process is to gain a thorough understanding of each client’s specific situation and goals, both financial and personal. During this phase, we use what we call a FORM analysis. Over the years, we have learned that our clients tend to set goals in three major areas: Family, Occupation and Recreation. These objectives drive a plan to create enough Money – in the right vehicle, at the right time – to achieve those goals. Our job as advisors is to assist in this self-discovery, enumerate those goals and fully evaluate our clients’ means to achieve them.
2. Execute. Integrated financial and investment planning is a complex process that takes time. A great plan forgotten in a drawer is like having no plan at all. Crisp execution is critical. We manage our clients’ strategies in a fully integrated way, with our advisors coordinating a flow of information between the investment, tax and estate planning teams. We give our clients frequent feedback and meet periodically to assess their plans.
3. Evolve. Life often has its own plan. We know changes to our clients’ financial situations will come, some positive and some negative. A static plan can become outdated very quickly. To proactively get ahead of any major changes, we use known life junctures to prompt a reassessment of our clients’ financial paths. The birth of a child or grandchild, an impending wedding, a chance to retire early, a significant illness – there are hundreds of reasons a plan should be adjusted. We evolve our approach as needed, creating a flexible plan that grows and changes with our clients’ lives.
E3 permeates Exencial, from our guiding philosophy to our work processes. For instance, our investment strategies follow their own form of E3. We Evaluate clients’ money goals and create a model portfolio for each client tailored to their needs. We Execute trades to keep clients in model, and occasionally Evolve the model based on market expectations or changing plans. This cycle greatly improves our ability to provide the strategic planning needed to meet our clients’ familial, occupational and recreational goals.
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