Investment Choices

Following are the various types of investments we utilize and the types of accounts that we handle.

Types of Investments We Offer

Exchange Traded Funds (ETFs) – An investment that mirrors an index, a commodity, or some other combination of assets. It trades just like a stock on an exchange. ETFs will experience price changes throughout the day as they are bought and sold. The expense ratios of ETFs are typically much lower than traditional mutual funds. Due to the lower costs and ease of trading, these funds have become the primary investment that Fisher Wealth Management uses when managing an investment portfolio.

Mutual Funds – An investment vehicle that is made up of a pool of funds collected from many investors for the purpose of investing in things like stocks and bonds.

Stocks – An investment that represents ownership in an individual company. For example, if you buy just one share of Starbucks’ stock, you are officially an owner of the coffee giant – a very small owner, but an owner, nonetheless!

Bonds – An investment that pays a fixed amount of interest over a certain period of time. Bonds usually pay interest monthly, quarterly, semi-annually, or annually. $10,000 invested in a 10-year bond paying 5% interest would pay $500 per year for 10 years. When the 10 years is finished, the investor gets the initial $10,000 back.

Options – A contract between two investors. The contract will give one investor the right to buy an investment from (or sell an investment to) the other investor. They will agree on the price at which the investment will be bought or sold and will determine an expiration date for the contract. Option contracts are a more sophisticated investment that can be used for growth or as a protection against financial loss. Options have a greater degree of risk and are not suitable for all investors.

Annuities – A contract between an individual and an insurance company. The insurance company promises to credit a certain amount of interest to the annuity policy and may also offer a guaranteed stream of income to the policyholder.

Private Placements – These are typically reserved for our more experienced investors who have already achieved a moderate level of wealth. Private placements represent an investment in a company that is not available to the general public. In most cases, clients will need to be approved as an “accredited investor” or “sophisticated investor” before owning this type of investment.

Types of Accounts We Handle

Traditional IRA – An IRA that allows the contributor to receive a tax deduction when placing money into the account. Money that is removed from the account later will be taxable.

Roth IRA – An IRA that does not allow a tax deduction when money is placed into the account. Money that is removed later can be removed tax free.

401(k) Rollovers – Essentially the same thing as a Traditional IRA, except that the money comes from an employer’s retirement plan. 401(k) accounts can easily be rolled over to Fisher Wealth Management once you are no longer employed by your company. If you have any old 401(k) plans that are still at your previous employer, be sure to use our EZ Rollover process so that you can take charge of that retirement account!

Brokerage Accounts – An account where you can buy and sell investments without locking the money up until retirement.

Trust Accounts – An account that is typically used to manage the wealth within an estate. While this may sound like something that is reserved for the rich and famous, we actually recommend that most of our clients use trusts to make the inevitable estate transfer more efficient. Trusts can help your assets avoid probate and help to ease the transition of the estate to the next generation.