4695 Chabot Road
Investing for your future can be a positive experience. Our role is to guide you through a journey which begins at setting goals, and is always heading in the direction of your desired future. Getting to your destination will require a well-built path that has weathered many temporary obstacles. Once your goals are defined, and the most efficient paths are found, then you need appropriate vehicles to get you there.
Whatever investment option you choose to help get you to your destination, each one has an expected return that is based on both the straightforward common-sense relationship of risk and return, and on historical academic evidence that covers almost 100 years of data. Carr Wealth Management strongly believes that compounded growth - interest on interest, earnings on earnings, is the most powerful investment strategy in building wealth. However, high fees, higher taxes, and transaction-oriented strategies can prevent investors from experiencing the powerful effect of long-term growth.
Investment products offered through Carr Wealth Management, LLC are not insured by the FDIC or any other federal government agency, are not deposits or other obligations of, or guaranteed by, a bank or any bank affiliate, and are subject to investment risks, including possible loss of the principal amount invested.
Publicly Traded Investments
We manage client investments that are traded exclusively on national exchanges (i.e., N.Y. Stock Exchange, American Stock Exchange, etc.). Stocks or bonds traded on public exchanges have the following benefits:
Managed Funds (Mutual Funds) - Managed funds are pooled investments that contain dozens of different securities, so you lessen the risk of holding just a few individual stocks or bonds.
We have provided investment advisory services specializing in managing mainly mutual funds that provide the investor with several benefits including diversification, low-cost, tax-efficiency, and the opportunity to track benchmark returns instead of trying to outperform them(See "What is Passive Investment Management?")
Owning individual stocks or bonds in taxable accounts (non-IRA, or non-qualified) can be an effective tax management tool. The ability to identify specific holdings and sell losses to lessen otherwise taxable profits are some of the strategies employed with managing individual securities. In addition, investors who have low basis stocks from long-term holding periods may have an incentive to keep the individual securities due to potential tax consequences. However, we believe holding individual securities also carries disadvantages for the investor, including:
Which Investment Companies Will I Be Using?
There are over 9,500 mutual funds offered in the United States by approximately 80 mutual fund companies. Carr Wealth Management believes that achieving positive long-term investment results is better accomplished through low-cost investment vehicles that take advantage of market returns by essentially tracking various market sectors. Carr Wealth Management has predominantly used investments from two companies over the past twenty years – Dimensional Fund Advisers (DFA) and Vanguard.
Both Dimensional Fund Advisors and Vanguard share our investment philosophy of providing clients investment solutions based on academic research and a commitment to disciplined investing. Some of the major characteristics of the investments used by Carr Wealth Management:
The Third Party Custodian where client funds are held is the institutional division of TD Ameritrade, Inc. They neither offer proprietary products nor services to the general public. They make available to independent Registered Investment Advisors, like Carr Wealth Management, the necessary platform to provide independent advice that is legally required to be in the client's best interests. Their online access is user friendly and they support clients and advisers alike with state-of-the-art technology.