AWM Insights #19: Why Taxes Matter To Your Investments

Athlete CEO

One of the most important distinctions we like to make with our clients is that our primary job is not only investing. We re-center our clients’ definition of success by asking them if simply investing is the goal or if it’s actually to increase their net-worth after taxes and expenses?

The answer is always: net worth.

Investing is really just a means to an end. Our primary job, and the ultimate value we deliver, is in increasing our clients’ entire net worth.

Unfortunately, the act of investing is typically the sole focus of retail financial advice. The average broker and financial advisor will spin their wheels trying to sell their investment strategies in the public markets, yet this is rarely the main driver of wealth. Most investors miss out on other financial moves to grow and keep wealth including tax planning strategies that can produce double digit returns on their net worth.

This week, Erik and Brandon discuss some of these strategies and why they should be important to you covering topics like:

• Why should I consider taxes in my investment conversations?
• Why aren’t more financial advisors talking about this integration of investing and tax planning?
• What are conversations I should have with my financial advisor to keep the returns from taxes that I deserve?
• What are some other ways to manage, defer, and reduce taxes when it comes to your investment plan?
• Are there ways a 1099 employee can reduce taxes?
• Why those in the highest tax bracket might want to consider asset location and tax-loss harvesting in their tax strategy plan