Every day is Independence Day at Moisand Fitzgerald Tamayo
Every day is Independence Day at Moisand Fitzgerald Tamayo
At the heart of the meaning of the word “independent” is the concept that one is free from the control of another. When we say we are independent, that is precisely what we mean. The firm receives all of its income directly from clients. There is no third-party compensation. We cannot serve two masters and we don’t even try. We work for our clients and no one else.
We work for our clients and no one else.
Most of the financial services industry sees things differently. Most independent brokers, advisors, and agents call themselves independent because they are independent contractors to a brokerage or insurance company rather than traditional employees. They have more freedom than traditional employees, but they are paid by the companies they contract with to sell financial products to clients.
We are able to maintain our independence because our firm is 100% employee owned. Walk into our offices and it is likely an owner is within 30 feet of where you are standing. We intend to keep it this way. To that end, a few years ago, we invited Derrick Chandler and later Mike Salmon to buy modest stakes in the firm. They enthusiastically accepted.
Since then, our firm has grown steadily and responsibly. We expanded our staff and our capabilities so we can continue to deliver excellent advice and service to our clients. Along the way, we have been blessed with substantial recognition from the financial planning profession with a list of significant accolades.
Like you, we have goals. From our early days as a firm, it has been our vision that long after we were gone, the descendants of our clients would be served by the next generation of financial planners in our firm as truly independent fiduciaries. That is no easy goal but with good planning, patience, and discipline, we are getting closer to realizing this goal. Today, we are happy to announce that all five of us owners now own equal 20% shares of the firm.
In addition to congratulatory messages, we have received a few questions, so we will run through those now.
Will I see any immediate changes in the way the firm is run or in my relationships with the firm?
No. It is a change in ownership but not a change in management. Derrick and Mike were already full participants in the management of the firm.
Does this mean that you older guys are retiring soon?
Heck no! This is a great career, and we are all far too excited about continuing to help people maintain command of their finances and be a “Sanctuary from the noise®.”
Then why sell now?
The two primary reasons are to assure continuity of leadership and provide opportunities for our team. We are all human and life happens. This transaction makes continuity of leadership easier in the event any of us is not able to work. It also shows our talented staff (see news & notes below) that we are willing and capable of expanding ownership internally. We’ve seen a number of colleagues around the country who did not make ownership opportunities available and, in order to retire, had to sell to outside parties. This often reduced or eliminated their independence, changed the work environment and was a negative for staff and clients.
Will our fees change?
No. We are not expensive, and you don’t want cheap. We periodically benchmark our fees to keep tabs on what others are doing and what they are charging. We are very comfortable that given the breadth, depth and quality of our financial planning capabilities and the client service we provide, our fees are more than fair. By maintaining our independence, we should be able to keep our fees easily affordable by those wanting to work with a top-quality team.
News & Notes
Congratulations, Mike Salmon: The Orlando Business Journal named Mike Salmon, CFP® one their 40 Under 40 honorees for 2021. The publication cited Mike’s position as President of the Central Florida Chapter of the FPA and his work leading the charge to open our firm’s Tampa office. Mike was previously named a Young Advisor to Watch by Financial Advisor magazine in 2018.
Congratulations, Tommy Lucas: Due to his excellent work over the last six years, Tommy Lucas, CFP® EA has been promoted to the position of Financial Advisor. He will continue to support our existing advisors but will also become the primary point of contact and lead advisor for clients.
Congratulations, DJ Hunt: DJ Hunt, CFP®, made his publishing debut with his column for a new website for advisors called Rethinking 65. DJ will produce columns for them about once a quarter. His first contribution, “Preparing Non-Moneyed Heirs for a Seven-Figure Windfall,” ran in April.
Higher inflation readings to cause significant increase in Social Security payments: An advocacy group, the Senior Citizens League, estimates that the Cost of Living Adjustment (COLA) for Social Security payments will rise 5.3%. In 2020, the COLA was 1.3%. The official COLA, based on third-quarter inflation data as measured by CPI-W, will be announced in mid-October.
Please remember to call us: When anything significant happens in your life, including changes in your finances, family, or health that could affect your financial plan, please let us know so that we can adapt our planning and portfolio work for you accordingly. Also, if you ever fail to receive a monthly statement for one of the Schwab Institutional or TD Ameritrade Institutional accounts under our management, please let us know so we may assure the respective custodian delivers your statements promptly.
Yours truly,
The Team at Moisand Fitzgerald Tamayo, LLC
