Meet Grimm-Schlipman Financial Group
Mark Schlipman, Wealth Management Specialist and co-owner of Grimm Schlipman Financial Group, 1890 Maine, believes that every investor needs a sell discipline.
“As the last 10 years have proven, the buy-and-hold strategy used for years by investors hasn't always worked,” says Schlipman. “We believe active management is typically in the client’s best interest. On a daily basis, we monitor our clients’ accounts and analyze fundamental and technical indicators in the market in light of each client’s risk tolerance.
“Investors need a sell discipline as stocks are declining to make sure that their investment is protected,” he continues, “but they also need a sell discipline as prices rise to take advantage of peaks. Sometimes, you can hold onto an investment too long and lose money.”
Active management of an account ensures more personal attention to each client and is more time consuming for the advisor, which is why Grimm-Schlipman Financial Group made a decision in 2004 to reduce its client base, separate with MetLife Securities, and begin charging clients an annual fee instead of commission.
“Transparency with regard to fees is critical,” says Schlipman. “With all the negative news about Wall Street out there, clients need to be reassured that we are working everyday on their behalf and making sound decisions based on their financial goals and not on some company’s pay schedule.”
Grimm-Schlipman Financial Group was founded in 1937 by Fred Grimm. Leading the team today is Don Grimm—the third generation of the founding family—and Schlipman, who joined the company in 1997. They are an independent wealth management company offering wealth planning, estate planning, risk management, small business planning and trust services. Securities are offered through LPL Financial of San Diego and Boston and has been rated the #1 Independent Broker/Dealer for 13 years.
All new clients of the company must go through a financial planning process prior to investing. Tax documents, current investment allocations, assets and liabilities are analyzed, but the most important part, according to Schlipman, is the discussion about the client’s financial goals for the next 5 years, 10 years, 15 years or longer.
“We all think we know where we are going, but sometimes that financial plan looks different when you actually write it down on paper,” says Schlipman. “If your goal is to finance your child’s college education within the next five years, I will advise you to invest your money differently than if your goal is to leave them a sizeable estate following your death. There are a variety of products and tax rules that need to be considered for both scenarios. When we know the end goal, we can help our clients attain those goals in a timely fashion. We prefer a proactive, holistic approach to investing.”
Within the last year, Schlipman says he has seen a change in investors’ attitude.
“They’ve gone from hoping that things were going to get better to be willing to embrace a new way of investing that will get them nearer to their goals. The clients we saw through the 2008 downturn, who emerged with their portfolio protected, felt more confident fully getting back into the game in 2009—because we had a game plan,” says Schlipman.
For more information about Grimm-Schlipman Financial Group, call (217) 228-7799 or visit www.gsnvest.com.
