Here are the answers to some of the most frequently asked questions of potential clients.
Who is Rezny Wealth Management?
Rezny Wealth Management (RWM) is a private wealth management firm, in business for over 22 years. RWM offers investment management and wealth planning solutions. RWM is owned by Brian C. Rezny, CFP, with 30 years of investment and investment management experience. As a Fee-Only investment advisory firm, our revenues are derived solely from fees paid directly to us by our clients. The relationship with our clients is that of a trusted advisor, not a broker or so-called advisor. We maintain a fiduciary responsibility, working in the best interest of each client, eliminating potential conflicts associated with commissions or proprietary investment products.
What are your fees?
The fees for separately managed accounts range from 1.5% to 1%, depending on the account size.
We charge a management fee based upon a percentage of the total value of the assets we manage. The fee is an annual percentage fee, and is billed quarterly by taking the total value of the managed assets at the beginning of each calendar quarter, and applying one-fourth of that annual percentage fee. We do not receive commissions on transactions and we accept no other forms of compensation from investment product providers or financial institutions. RWM is Fee-Only.
What is the minimum investment?
We work with qualified investors with a minimum of liquid investable assets of $500,000 to start and investment networth over $1,000,000, excluding your house. (Occasionally we will make an exception to our new client minimum account size for small accounts)
What happens to the custody of my accounts and my investments?
We do not have legal custody of our clients’ accounts. Rezny Wealth Management uses TD Ameritrade as your custodian, your gatekeeper. These are your separate accounts held by TD Ameritrade for safekeeping. We do not have the ability to access or withdraw your cash or investments. We think this is an important attribute of Rezny Wealth Management, given the recent scandals on Wall Street.
Am I locked-in? Are their termination penalties?
There are no barriers to exit a relationship with Rezny Wealth Management. The relationship is terminable on written notice, at any time, without any penalties. There are no forced liquidations, termination fees, back-end loads, redemption fees or other charges associated with the termination of an advisory relationship with our firm.
Who are your clients?
Our private client group consists predominantly of individuals ranging in age from 50 to 90 years old. Our clients are pre-retirees and retirees. Our clients tend to have similar concerns. They want their money managed without the conflicts of Wall Street, sales and commissions.
- They don’t have the time or interest to manage their own investments effectively.
- They may not have the knowledge to manage their own assets but they want someone to do it for them.
- They don’t have the discipline to manage their own assets.
Who is your staff?
In addition to Brian C. Rezny, RWM has a highly qualified support staff to assist in day to day operations, research and portfolio management responsibilities.
What is your investment management philosophy?
A dynamic and proactive investment strategy, which is designed to be flexible and adaptive to prevailing market conditions. We strive to protect you during inevitable market declines, navigate your portfolio smoothly through rapidly changing investment environments, and capitalize on current investment opportunities.
Our Investment Strategy, GLOBAL TACTICAL OPPORTUNITY PORTFOLIOS, GTOP®
Your investment portfolio with Rezny Wealth Management, Inc. is not Buy and Hold. It's Actively Managed for upside potential, current income and a disciplined risk management strategy in down Markets. All based on your goals, objectives and risk profile. Disciplined Rules-Based Investment Strategy, Disciplined Risk Management in Down Markets, Active Investment Management for Upside Growth Potential and Current Income.
How does your firm’s investment philosophy differ from others?
We reject the use of a “set it and forget it “ approach used by many brokers, financial planners and Wall Street. We find a Buy and Hold approach disastrous to your wealth and your retirement. There is simply no reason to sit and watch a percentage of your portfolio experience a prolonged downturn of 50%. We feel You will benefit from our active approach, GLOBAL TACTICAL OPPORTUNITY PORTFOLIOS, GTOP®
OBJECTIVE: Undistorted by emotion or personal bias. An Investment Sector is either exhibiting Strong Relative Strength or it is Not. There are No Ifs, Ands or Buts! Only Investment Sectors with strong relative strength based on our Propriety Investment Strategy are candidates for our portfolios/GTOP.
ADAPTIVE: Whether the market is favoring Cash, Bonds, Stocks, Commodities, Gold, Long, Short, etc., we believe our relative strength screens will lead us to those Investment Sectors being rewarded most by the market, with the probability that those Investment Sectors will continue to be good performers in the future.
What type of investments do you utilize?
Rezny Wealth Management utilizes low cost Highly Researched ETFs (Exchange Traded Funds), institutional no load Mutual Funds, Stocks and Bonds, encompassing the major world asset classes including US equities, Emerging Market equities, US bonds/fixed income, International bonds/fixed income, preferred equities, real estate, commodities, currencies, energy and precious metals, cash.
As an independent registered investment advisor, we have access to the entire universe of investment alternatives.
How often will you make changes to my portfolio?
Your account(s) will be traded only when our investment strategy dictates a change. We have no incentive to trade your account(s) other than to follow our investment strategy. We do not get paid any commissions on transactions; therefore we have no incentive to trade more than necessary.
How frequently do you review my investments and account?
Daily. All of our investments and portfolio models are monitored daily. We continuously review changes in market, industry sector and asset class conditions. If we find it appropriate to make a tactical change to your asset allocation model, that change will be reflected in your portfolio that day. If any security strays from the desired result, it is sold or other risk management strategies are implemented.
Will I be consulted prior to making trades in my account?
You will want us to react quickly to changes in market conditions or other situations we may encounter. Limited power of attorney (discretionary management) is the authority you provide our firm, authorizing the custodian of your assets to accept our instructions regarding purchases and sales within your account. The custodian holding your account will immediately provide trade confirmations to you on every transaction we enter into on your behalf.
Can I review my account online?
Yes, through your account(s) custodian’s website.
How often will you meet with me?
Review meetings and communications occur regularly with each client. We recommend that we meet either quarterly or semi-annually depending on the complexity of your situation and your needs. We can always meet more often if needed. As we always say, “our door is always open and we are just a phone call away”. We encourage open communication with each of our clients.
How often will I get account statements?
Your account(s) custodian sends you monthly statements and trade confirmations either by mail or email. RWM also provides a comprehensive customized quarterly report to you by mail.