Who is FIC's typical client?
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We service clients that are at many
different stages of wealth development. Some are just
starting new families and want to begin planning for the
expenses of college while planning for
their own retirement. Many are in the accumulation
stage within their maximum earning years (usually within 10
years or so from retiring) and are needing to know how much
their desired lifestyle is going to cost. Most of our
clients have already gone through the retirement stage with
our help and now must rely on their money to work harder for
them than they ever did for it.
Why can't FIC provide references of
its clients? (Back to Top)
Please refer to our Privacy Policy.
What types of services does FIC provide?
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Individual Investment Management
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IRA's (Traditional, Roth)
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Custodial Accounts (UGMA, UTMA)
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Education Savings
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HSA's (Health Savings Accounts)
Small Business Investment Management
Investment Planning/Consulting
Other Planning/Consulting
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Retirement Projections/Analysis (pre and post
retirement)
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Retirement Income Planning
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Retirement Plan Selection/Implementation
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Social Security Planning
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Estate Planning
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Philanthropic Planning
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Cash Flow Planning
Risk Management
Where do FIC's clients come from?
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Clients do not refer family and friends.
HAPPY clients refer family and friends. We have
been blessed with the best clients from all over the U. S. And we do whatever
we can to generate happy clients by being consistent,
establishing proper expectations and consistently beating
those expectations over time.
That being said, we generally rely on referrals. So,
we work hard at making our clients happy. Our clients
also know that their referrals help us keep our costs and
their fees down.
Is there a minimum balance required to open an account?
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Typically, there is not significant reason
to open an account with less than about $3,000.
Although, we have established accounts where there was a
minimum $100/month automatic contribution. Smaller
accounts will be addressed on a case by case basis.
Again, the emphasis is on creating and following a plan before
beginning an investment campaign with no goals.
What is the process that a new prospective client should expect?
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1. Initial free consultation to
determine if we are a good fit for each other. A list
of items needed for a financial overview is given to the
couple (or individual, only if single). An estimated cost for the financial overview
is given to the couple. Satisfaction is guaranteed for
the overview or the cost is free.
2. Prospective couple discusses the initial meeting
and assembles the documents required for us to complete the
financial overview.
3. The couple gathers the documents needed for the
overview and arranges delivery to our office. It is
recommended to set an appointment for about 3 weeks out once
we receive the overview documents.
4. We complete the financial overview in preparation
for the next meeting. Payment for the overview
can be collected after the overview meeting or mailed into
our office. Checks need to be made out to FIC (First
Investment Corporation).
5. Recommendations are made in the financial overview
that can be carried out by your institutions of choice or we
can recommend professionals for which we have a sufficient
history to know that they have our client's best interests
at heart. We recommend our own investment services for
any long-term goals like college planning or retirement.
For over 20 years, we have experienced that our clients
are best served when they are following a lifelong
sustainable financial plan instead of trying to somehow
'beat the market' year after year.
How do I make out my check for an account contribution?
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Please make your contribution checks out
to 'FSW' (First Southwest Company). That is our
clearing firm.
Can I have on-line access to my accounts?
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Yes, just contact us and we will send you the instructions to
login to your account. You also have the option of
tracking other investment or bank accounts from this one source
if you provide us with the information required to receive a
data feed from the particular institutions you want to track.
How long does it take to process a check request?
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Allow 2 weeks (10 working days) to process
your check request. Automatic monthly cash
distributions from your investment accounts may also be set up
if you require monthly income.
How can I purchase investments?
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Our typical client does not desire to purchase their own
investments. A very small minority of our clients have a
small portion of 'play money' that is slotted for individual
stock picking. But anything needed for future lifestyle
requirements should be left to your professional advisor.
How often does FIC buy and sell securities in
each account in a typical year?
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It
has been quipped that investments are like soap; the more you
handle it, the less you got. Our style of business
recognizes this dangerous principle that is not to our clients
best interests. So we operate our unique business model
contrary to the typical brokerage firm that makes income from
transaction costs resulting from excessively moving your money
around .
What is a broker-dealer?
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First Investment Corporation's broker-dealer is Dominion
Investor Services located in San Antonio, TX.
A
broker-dealer is an organization that registers with the SEC and
are members of FINRA and SIPC. Broker-dealers are in the
business of selling and buying securities for itself and other
organizations. When performing brokerage services, a
broker-dealer executes trades for the benefit of their clients.
When performing dealer services, a broker-dealer may execute trades
for its own account or act as agent for clients. Securities that have been bought
for their own account may be sold to clients or other firms.
Is there a recession coming?
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Yes, it always comes after a period of
expansion. It is a cleansing process and it keeps
everyone honest. And no, nobody can accurately
determine when a recession will occur.
Is the market going to rebound?
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The economic cycle consists of a period of expansion followed by
recession, followed by expansion, and so on... Historically, a longer period of expansion
has followed a shorter recessionary period. The
historical ratio of years is about 4:1. So,
historically, the market experiences a year of expansion 70-80%
of the time.
The investor
mindset must
always ultimately come to the optimistic conclusion that
things will continue to improve. Even if that conclusion is wrong,
what fun is life to believe otherwise? And
historically, optimism is the correct conclusion 7 times out of
10.
Regarding the change to the new clearing firm and trustee:
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Who is the new clearing firm and trustee?
Our new
clearing firm is First Southwest Company and they use
Principle, or Deleware Charter Guarantee and Trust (DCG&T)
as their trustee. First Southwest Company is located
in downtown Dallas, TX and has been doing business since the
1940's.
What is a clearing firm and why is it necessary?
According to investorwords.com, a clearing
firm is 'an organization which works with the exchanges to
handle confirmation, delivery and settlement of
transactions. Such corporations play a key role in
ensuring that executed trades are settled within a specified
period of time and in an efficient manner.'
According to thestreet.com, 'clearing
firms handle the back-office details of securities
transactions between broker-dealers, making the settlement
process streamlined and efficient.
In brief, when a broker's order to buy or sell a security
has been filled, the clearing firm electronically compares
and verifies the details of that trade. Then it nets down
the trades to minimize the number of securities that must be
received or delivered at settlement.'
Why the change to the new clearing firm?
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We had an opportunity to work with a group
that was big enough to perform the functions we needed, yet
small enough to be able to respond to advances in technology
that could make the processing of daily business functions
more efficient. First Southwest Company is able to
retool and respond to industry standards and demands more
efficiently than a larger organization could accomplish.
Regarding FIC's new office location at 309 SE Frank Phillips Blvd:
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When is the projected completion date of the new location?
We are hoping to be in the new location by
January 15, 2008. The schedule is tight and does not
allow for too many 'uh-oh's' so don't be surprised if you
don't see us in the new location by that date.
Why is FIC moving offices?
We had a unique opportunity to have our own
business in our own building that we own 100%. The new
location offers tons of growing room and it is in an area
where a face-lift would be a welcomed visual improvement to
the entrance of Bartlesville's downtown district.
