For those who are considering working with us…
Our Philosophy
The following is how we believe financial planning and money management should be conducted. If you agree with how we think, then maybe we are a fit.
As Seen On
Our Philosophy
(Kedrec's Paradox)
We believe financial planning is just as much an art and it is a science. At the core, we believe the purpose of financial planning and wealth management is to help individuals and families achieve the lifestyle they want to live while giving them the confidence to enjoy it.
"What do you want" may be one of the most difficult questions to answer. Do you want to spend your money now or later? Do you want to retire sooner with potentially less income but more time to enjoy? Or, do you want to retire later with potentially more income but less time to enjoy? As the expression goes, "you can't have your cake and eat it too." Your financial decisions are paradoxical. What is right for you is unique to you.
The following are three expressions we use to help guide clients in their financial decisions.
"Create your plan before you create your portfolio."
What is more important to you, having certain investments in your portfolio or maximizing your quality of life? When you plan first, you have context as to what investments or products make sense, based on the projections and goals of your plan. We believe that talking about investments and products before a plan is put together is like putting the cart before the horse.
"There's no such thing as a perfect investment"
All investments offer three desirable characteristics: growth potential, principal protection, and liquidity. The problem is no single investment can offer you all three characteristics. If you were to pick growth potential and liquidity, you would probably end up with stocks, mutual funds, or ETFs. If you were to pick growth potential and principal protection, you would probably end up with annuities, bonds, or CDs. If you were to pick principal protection and liquidity, you would probably end up with high-yield savings or a money market fund. The "perfect" investment does not exist.
Once you have plan in place, it will be time to design your portfolio. Instead of going all in on one or two of the three categories as described above, we believe that most portfolios should be deliberately designed with some assets from all three categories. We believe that by allocating among all three categories, your portfolio can have a reasonable amount of growth potential with a sufficient amount of principal protection and liquidity. Remember, the portfolio supports the plan and ultimately your ability to enjoy the quality of life you desire.
"Follow systems, not sentiment."
Research clearly suggests that time in the market tends to do better than trying to time the market. Yet, despite the overwhelming evidence, many people still try to time the market. Our emotions can betray us. We often remember the times we got it right while conveniently forgetting the times we got it wrong, creating a cognitive distortion.
There are certain things we cannot control (e.g., the market, interest rates, inflation, tax rates, healthcare costs, etc.). However, there are certain things we can control (e.g., our plan, our strategies, our investments and products, etc.). We believe that individuals and families should have systems and protocols in place for when times are good, and different systems and protocols for when times are bad. Know what to do before you have to do it.
"Wealth is the ability to fully experience life"
-Henry David Thoreau
Our Principles
"Always be guided by principles"
We believe that by following principles (universal truths), that we can help you increase your probability of success. Our planning process and wealth management services are guided by the following three principles. Please read and consider whether or not you are willing to follow these principles in your personal wealth journey.
The Principle of Income: Never draw income from an account that has experience significant losses.
Consider for a moment that if you were to lose 30% in the market, it would take a 43% return to break even. If you were to lose 30% in the market and took 4% from your portfolio because you needed the income, you would be down 34% which would a 50% return just to break even. This is called sequence of returns risk and we believe it is a common blind spot for many investors today.
We believe that a portion of everyone's assets should be allocated into something that has some sort of principal protection so that when the markets go down, the individual or family can keep income coming in without accentuating their losses. This principle applies to those who are working (could lose your job) just as much as it does to those who are retired (generating your own income from assets).
The Principle of Diversification: Diversify your assets by objectives.
There's no such thing as a perfect investment or investment strategy. Instead of trying to lump everything together in a portfolio that is intended to grow fast enough to solve all of your financial needs and problems, consider breaking up your assets into mini-portfolios, each with its own specific purposes.
We believe that when a plan has been created, an individual or family can design a custom portfolio that is better aligned with their goals and objectives.
The Principle of Planning: Pre-determined guidelines can help increase your overall probability of success.
Within the next 12 months, there's a good chance that the markets will go up or down. No one knows what will actually happen. Most people seem to only have a plan for when the markets go up. We believe that your plan should include strategies that can help sustain your desired quality of life for when markets go up or down.
Income is not the only objective when it comes to a financial plan. Here are other topics we feel must be addressed when you consider putting together a comprehensive and holistic financial plan.
Retirement Savings Strategies (how much to save and where to put it)
Lifestyle Optimization (how to front load your income, or preserve more for inheritance, or...)
Longevity and Health Expectations (What is the best use of your time now, next year, and so on)
Income Planning Optimization (how to optimize various income streams while preserving your portfolio)
Social Security Optimization (when you file can affect your overall income, taxes, estate, and more)
Tax Minimization (how to minimize your taxes and achieve a lower tax bracket over the long-term)
Long-Term Care (does it make sense to purchase a policy or self-insure)
Health Insurance Planning (how to bridge the gap to Medicare, and what to do once it starts)
Diet and Exercise (how to potentially increase your overall physical health)
Finding Purpose (what to do with your time so your cognitive health does not decline)
Estate Planning Documents (how to get your house in order, and then fund your documents correctly)
And more...
If you want to see what working with Kedrec could look like, including the possible creation of a custom comprehensive financial plan, then click the button below and request an analysis. It won't cost you a dime, but it may be just what you need to feel more comfortable spending more of your precious time how you want.
Six Reasons Why People Pick Kedrec
#1 Fiduciaries
As fiduciaries, we are legally required to do what is in your best interest. If there are any conflicts of interest, we disclose them up front.
#2 Independent
No one tells Kedrec what we can and cannot offer. We are agnostic when it comes to various investments, products, and strategies.
#3 Full-Service
Our services cover the entire financial services industry so that you can get comprehensive advice and not fragmented suggestions.
#4 Planning
We believe that you cannot talk about products or investments until you have a plan in place. Don't put the cart before the horse.
#5 Models
We offer active investment models that are designed to make money in up, down, or flat market cycles. We also offer passive investment models.
#6 Wellness
Our plans go beyond the finances. We include health and wellness tips so that you can potentially live a happier and healthier life.
CREATE A RETIREMENT PLAN DESIGNED TO LAST LONGER THAN YOU
HOW TO RETIRE ON TIME
In this book, you'll discover:
How to run the numbers and see when you can afford to retire (It’s easier than you think).
Seven common retirement myths that could hinder your ability to retire on time and stay retired.
Why many common retirement rules may put you at more risk than you realize, and what to do about it.
Discover proprietary retirement income strategies that may be able to help you have more control over your income while potentially lowering your risk.
How to proactively anticipate and manage your retirement during the ups and downs.
Why it’s typically not too late to course-correct. If you have already retired, there’s still time to get on the right path.
And much more!
This book is a marketing publication for Kedrec, LLC
This content on this website is provided for informational purposes only and is not intended to serve as the basis for financial decisions. It should not be construed as investment advice or a recommendation.
Investment advisory services are offered through Kedrec, LLC, a Kansas state Registered Investment Advisor. Insurance products and services are offered through its affiliate, Kedrec Legacy, LLC. We are not affiliated with the US government or any governmental agency.
Investing involves risk, including possible loss of principal. No investment strategy can guarantee success, ensure a profit or guarantee against losses. Insurance product guarantees are backed solely by the financial strength and claims-paying ability of the issuing company.
Insurance and annuity products involve fees and charges, including potential surrender penalties. Annuity withdrawals are subject to ordinary income taxes and potentially a 10% federal penalty before age 59-1/2. Life insurance generally requires medical and potentially financial underwriting to qualify for coverage. Optional features and riders may entail additional annual cost. Product and feature availability may vary by state.
Tax, legal and estate planning services are available only to members who purchase the Fresh Wealth Plan Membership level. Tax, legal and estate services provided by our network of tax and legal professionals. Always consult with qualified tax/legal advisors regarding your unique circumstances.
Enjoy Your Wealth
This content on this website is provided for informational purposes only and is not intended to serve as the basis for financial decisions. It should not be construed as investment advice or a recommendation.
Investment advisory services are offered through Kedrec, LLC, a Kansas state Registered Investment Advisor. Insurance products and services are offered through its affiliate, Kedrec Legacy, LLC. We are not affiliated with the US government or any governmental agency.
Investing involves risk, including possible loss of principal. No investment strategy can guarantee success, ensure a profit or guarantee against losses. Insurance product guarantees are backed solely by the financial strength and claims-paying ability of the issuing company.
Insurance and annuity products involve fees and charges, including potential surrender penalties. Annuity withdrawals are subject to ordinary income taxes and potentially a 10% federal penalty before age 59-1/2. Life insurance generally requires medical and potentially financial underwriting to qualify for coverage. Optional features and riders may entail additional annual cost. Product and feature availability may vary by state.
Tax, legal and estate planning services are available only to members who purchase the Fresh Wealth Plan Membership level. Tax, legal and estate services provided by our network of tax and legal professionals. Always consult with qualified tax/legal advisors regarding your unique circumstances.