Commonly Asked Questions

What can Ken Stern & Associates ("KSA") do for me?
We strive to provide structure, peace of mind, and an in-depth portfolio strategy.

Estates do not continue building and protecting wealth without structure. Structure as to what opportunities will be pursued. Structure to identify weaknesses to the plan and potentially strengthen those weaknesses. Without integration of all investment classes to estate and tax plans, errors can and may ensue. Further, to simply invest without a goal, a risk adjusted vision, upside can be limited, and risk could be increased.

KSA's strategy is designed to provide the structure, integration and discipline that your Wealth Plan deserves.

Where is the money held and am I protected?
KSA is your money manager—not your custodian. You would choose where you would like assets to be held. This list offered through First Allied Securities, Inc. includes; Charles Schwab & Co., and Pershing LLC.

Is my money pooled with others?
No. Each account is separate and distinct from one another. This is not a pooled fund, partnership, or any other form of consolidated fund.

Are your specialists on commission?
No. KSA specialists are paid a salary. In fact, we are proud and pleased to share with you that part of their bonus is based on client performance and retention. We believe this model works toward a better system where our employees are highly focused on your success and experience with KSA.

How do you choose where my money is invested?
KSA will first determine where your money is invested after you complete your Investment Goals and Objectives and Risk Assessment Worksheet. Based on this, your account will be assigned a goal: Aggressive Growth, Growth, Growth and Income, or Balanced and Income.  The major difference between each account is in regards to the percentage in fixed income to equity, the percentage of each individual holding, and the amount of trading. Once the model for your account is created, we will then refine it based on your personal objectives such as certain stocks you wish to continue holding, areas you wish to avoid, tax consequences, and other related issues.

Finally, we will then assess which investments that are currently in the KSA “model portfolios” that will be acquired for your needs. This may be an advantage over other investment products. Private Investment Management allows you  the ability to pick and choose specific holdings.

What is your investment philosophy?
Our investment philosophy is based on the premise that the markets are fluid, there is always  an attractive investment and value and growth investments may be more appropriate than reckless trading.

Our approach is to first determine where we believe our economy is headed and which sectors to overweight or underweight based on this view. Using quantitative analysis, KSA will screen out stocks that do not meet our strict criteria. We then subjectively determine which stocks to include in the model. Once per month we reallocate the model.

How often will I be notified of changes to my account?
You have several means in which to receive information. Using your personal Internet access for your account you can see account values and trades almost as they happen. A printed confirmation statement is mailed within 24 hours of a transaction to your account, a monthly report is mailed from your custodian summarizing transactions for the month, and a detailed quarterly statement is mailed from KSA.

Who is my contact?
Every client works directly with a Senior Portfolio Manager (SPM). They are your direct contact for a variety of activities including; creating a financial plan, coordinating meetings between specialists and other professionals, as well as reviewing your KSA holdings and philosophy. Should you need checks, change of address, or other financial services they would be your direct contact as well.

What is the KSA fee?
It is our sincere hope and desire that the net affect of your portfolio be comparable to your other investments, net of the fees. If we are exceeding your performance expectations within the risk tolerance you have requested, this performance should be measured net of the fee.

Please refer to the fee schedule in the KSA Platinum Asset Management (PAM) agreement.

Our agreement does not include an exit or transfer fee, nor a contract time period. Should we ever under-deliver, you may terminate our service and transfer with no fee owed to KSA.

Are taxes considered in your money management?
The primary KSA goal is to deliver strong, risk-adjusted returns. To this end, taxable gains may result. Toward the end of the year KSA will review gains and losses to determine if gains are owed and if tax-loss selling is possible. In addition, KSA is available to send to you a realized gains and loss report should you wish to direct us to make any trades as it may apply for your personal tax situation.