Def Jam[1]
- 1. Financial Fitness Targeted Financial Solutions for Athletes and Entertainment Professionals A customized strategy for: Def Jam
- 2. Who We Are Adindu O. Nwachuku – Private Banking, International Finance, Private Wealth Management MBA – Finance 13 Years Industry Experience Specialized Focus on Athletes and Entertainment Professionals Jack M. DeGiulio – Cross-Border Finance, Private Wealth Management, Institutional Investment MBA- Finance MsEd – Organizational Development 7 Years of Industry Experience Specialized Focus on Athletes and Entertainment Professionals Jake Lecce – Junior Partner BS Business Administration Focus on Athletes and Entertainment Professionals
- 3. Why Us? Think of us as your financial doctors… Would you go to a foot doctor for heart surgery?? Then why have an agent or accountant manage your finances? Specialized focus on the industry We understand the specific needs and financial ramifications of Athletes and Entertainment professionals.
- 4. Unique Solutions Short Peak Earning Years Require Specialized Planning Athletes Average 5-7 Years of Earning Entertainers Enjoy Peak Earning of Roughly 4-7 Years 50 Years of Retirement Needs! Long-Term Investment Strategy is Key Specialized, Non-traditional Financial Management
- 5. Unique Needs Earning Years vs. Retirement Years
- 6. Developing Your Financial Plan Step 1. Define financial goals & needs Step 2. Gather relevant financial information Step 3. Perform a financial assessment Step 4. Create a strategy Step 5. Implement financial recommendations Step 6. Monitor results
- 7. Step 1. Define Financial Goals & Needs Create a Timeline for Financial Goals Short-Term Goals Pay off credit card and consumer debt Start a savings plan Set aside cash for an emergency fund Acquire additional life and disability insurance Consolidate and organize accounts Medium-Term Goals Start college savings plan Diversify investment portfolio Contribute maximum to 401(k) and IRA Start lifetime gifting Long-Term Goals Retirement Purchase long-term care insurance policy Minimize estate taxes, preserve assets for heirs or charity Example for illustrative purposes only.
- 8. Step 2. Gather Relevant Financial Information Last year’s tax return Financial statements Employer benefits statements 401(k) and pension Social Security benefit statement Will and trusts Life insurance policies Mortgage, credit card and other loan information
- 9. Step 3. Perform a Financial Assessment Where Are You Today? Develop personal net worth statement Analyze your cash flow Assess emergency fund Review asset allocation Measure debt levels and structure Evaluate insurance coverage Maintain proper documentation
- 10. Step 4. Create Your Financial Plan Net Worth Asset Allocation Risk Management Retirement Planning Distribution Planning Estate Planning & Preservation Business Succession Vanilla Ice
- 11. Step 5. Implement Financial Recommendations Establish adequate emergency fund Consolidate or refinance debt Diversify or rebalance your portfolio Get properly insured Implement savings strategies for retirement and education Create an estate plan Locate and update important document
- 12. Step 6. Monitor results Annual portfolio reviews Adjustments for lifestyle and status changes Adjustments for market performance Modify financial goals if necessary Track progress according to personal benchmarks
- 13. Keys To Successful Investing Asset Allocation Strategy We will customize a portfolio based on your specific needs, capturing the efficiencies of the market. Diversification Properly allocating your investments across many asset classes to benefit from all areas of the markets. Time in the Market Long-term investing is KEY…attempting to time the market results in financial losses 87% of the time.
- 14. Asset Allocation Diversify your portfolio Potentially reduce portfolio risk and volatility Improve portfolio performance
- 15. Asset Allocation Investment Assets Cash 5% Bonds 30% Equities 65% Cash 10% Bonds 60% Equities 30% 20 Years to Retirement Retirement Younger Investor Older Investor More aggressive strategy Become more conservative with age
- 16. Diversification Why Diversify? Reduce the risk of catastrophic loss Smooth out short-term volatility Improve long-term performance. Exploit new investment opportunities
- 17. Diversifying stocks helps to protect you from losses in any specific stock Diversified Concentrated
- 18. Changes in Market Leadership Are Unpredictable
- 19. Changes in Market Leadership Are Unpredictable No investment category performs well all the time. Different categories frequently move in different directions. The leader in one year is often an underperformer a year or two later. Fortunately, there is a better way to invest — diversification.
- 20. Cash is NOT Always King! 87% of Athletes and Entertainers Buy Big-Ticket Items in Cash Houses Cars Businesses There is a SMARTER Way….. Tax Write-offs HELOCs Structured Financing
- 21. Misinterpreted Glory Many Former Top-Billing Entertainers are in Financial Ruin Over 70% of Entertainment Icons have NO Financial Management Team A Large Proportion of Athletes and Music Icons are in Debt Majority of Professional Entertainers have had Property Repossessed
- 22. Consultative Relationship Hands-on Advisory Relationship We perform the research and analysis necessary to make intelligent investment choices Quarterly portfolio and strategy meetings to ensure you stay on track Experienced Team Approach Dedicated team of professionals manage your investments on a full-time basis Specialists in your industry catering to your unique needs and time horizon
- 23. Creative Solutions Smith Barney Understands the Unique Needs of our Clientele: Specially Tailored Strategies Security for You and Future Generations Succession Planning and Estate Management Goal Protection Tax Management Insurance Protection of Intellectual Property