Introduction
Welcome to the first edition of quarterly news from Cerro Pacific Wealth Advisors. The goal of this communication is to keep you apprised of our current perspectives, continued client services, and provide pertinent updates from our office. Happy Friday and we wish you a wonderful weekend ahead! --The Cerro Pacific team
Portfolio Management
Announcing our Investment Advisory Board
We are proud to announce the Cerro Pacific Investment Advisory Board, which is comprised of institutional money managers, Chartered Financial Analysts, and senior economists with impressive backgrounds and a deep understanding of the financial markets and global economies. Our current board consists of representatives from BNY Mellon, Invesco, Vanguard, and Virtus. The board members collectively manage over a trillion dollars of assets and have agreed to sit on our board, coming together for quarterly meetings to exchange ideas in a live and interactive discussion.
The primary goal of the Cerro Pacific Investment Advisory Board is to consistently hear what some of the top minds in the financial industry are thinking via a collaborative setting. We discuss long and short term investable trends along with what the board sees as the largest risks and how to avoid them. The meetings will result in us making tactical portfolio shifts and/or more deeply confirming our current portfolio positioning.
Our Current Perspective
A few themes emerged from the March meeting with our Investment Advisory Board, including the following:
- General optimism and bullish sentiment. The re-opening theme and economic snapback are still very much in play. The US consumer is strong with a collective net worth that is $1.3 trillion higher than it was at the end of 2019. The government and Federal Reserve remain accommodative. For these reasons, the outlook for at least the next 6 to 12 months remains strong.
- International stocks are attractive, with the entire board recommending an overweight to international. While some countries (e.g., Russia, Brazil) are still struggling with the impacts of COVID, other countries are faring better, their populations are growing, their currencies are appreciating against the US dollar, and their equity markets are discounted from the US markets from a valuation standpoint.
- Select emerging markets offer particularly attractive investment opportunities with growing labor forces and increasing consumption along with the greater potential for containing further COVID outbreak due to the general culture of those societies—more experience dealing with viral outbreaks and greater capacity for the governments to control and track its citizens.
The Cerro Pacific Client Portal offers you the ability to see various analytics about your entire portfolio and/or individual accounts in a simple, easy to navigate website. If you already established login credentials, you may access the client portal by clicking here.
Access to our client portal is by invitation only. For your security, the invitation expires 72 hours after we send it. If you have not yet signed up for the portal and would like to, please contact Meredith Collins at meredith@cerrowealth.com or 805-457-3305 to request a new invitation.
The portal is also available as an app for your Apple or Android mobile devices. To download the app, please go to www.cerrowealth.com and click on the applicable (Google or Apple) button at the bottom of any page.
If you would like for us to turn on 2-factor authentication for an added level of security then please advise. The 2-factor authentication requires you to choose security questions that you will then be asked during each login in addition to entering your user name and password.
Quarterly Reports
A first quarter 2021 quarterly portfolio report is uploaded to your Cerro Pacific client portal. Please go to the Documents tab and click on Vault to access the report.
New Risk Analysis Tool
We recently subscribed to a tool called Riskalyze, which provides us with one more way to measure risk within portfolios, including attribution of risk down to the individual security level.
Riskalyze offers a risk questionnaire for clients, which is designed to help us confirm your inherent feelings about risk and your potential comfort with portfolio volatility.
If you’d like to receive a risk assessment please contact Meredith Collins at meredith@cerrowealth.com or 805-457-3305. She will send you a Riskalyze questionnaire, and then we will follow up with you to present your results along with how that coincides with your portfolio’s risk.
Financial Planning
Financial Planning Resources
Our team utilizes robust financial planning tools as part of the service offered to our clients. Jenni Chesini and Brianna Ferguson both hold the Certified Financial Planner™ designation. Brianna has taken the lead in inputting data into the planning tools and beginning the planning process. If you would like to start a financial plan then please contact her at brianna@cerrowealth.com or 805-457-3304.
Social Security Analyzer
If you would like to review your Social Security claiming strategy then please provide Brianna with a copy of your Social Security statement along with your spouse’s statement if you are married. You may email the statement to her or upload it securely to your vault in the Cerro Pacific Client Portal.
Reiterating Our Gratitude
Launching our own independent, unencumbered investment advisory firm has been a dream some of our team has had for years. Our client response in making the move with us was stronger than even we had anticipated...and so has been the workload in getting everything up and running! But with much gratitude, we are happy to announce that our team is thriving. We are refining processes to enable us to more efficiently and effectively serve you.
We cannot overemphasize how much we appreciate you—our clients—for your trust in us, your willingness to take our guidance, and for allowing us to help you achieve your goals. We take our responsibilities to you very seriously, and we look forward to continuing to work together for what we hope will be many mutually successful years to come.
This report is provided for informational purposes only, is not an offer or solicitation to buy or sell securities, and should not be relied upon to make any investment decisions. This material is not a replacement for your statement or communications with your advisory team. Past performance is no guarantee of future returns. Investing involves risk and possible loss of principal. Please contact us at 805-457-3300 at your earliest convenience with any questions regarding this report. Copyright © 2021 Cerro Pacific Wealth Advisors, All rights reserved.
