How Client OnboardingWorks?

During the free consultation, we review the client's portfolio and provide feedback. We look at where Magnolia could add value if we feel the client is doing things incorrectly and/or if what they have is not really tailored as well as it could be to their situation.

After the initial consultation, we set up a detailed call with the client. The objective of this call is to dig deeper into understanding the client’s needs, goals, and risk profile. We explore various aspects, such as:

• Financial Goals: What are the client’s short-term and long-term financial goals? Are they looking to buy a house, save for retirement, or fund their children's education? Are they looking at maximizing wealth preservation while having access to capital for their business?
• Risk Profile: What is the client’s tolerance for risk? Are they conservative, moderate, or aggressive investors?
• Investment Preferences: What types of investments are they comfortable with (stocks, bonds, real estate, etc.)?

Step 4: Getting a feel for the client's relationship with money

During this call, we also focus on understanding the client’s relationship with money. This includes questions like:

• Why do they want to own a house? Is it a cultural expectation or a personal choice?
• Do they need to own more investments, or do they need to just tweak existing ones?
• What is their emergency fund situation, and how would they cover their bases in case of financial emergencies?

During this call, we also focus on understanding the client’s relationship with money. This includes questions like:

• Why do they want to own a house? Is it a cultural expectation or a personal choice?
• Do they need to own more investments, or do they need to just tweak existing ones?
• What is their emergency fund situation, and how would they cover their bases in case of financial emergencies?

Next, we identify the type of investor the client is. This involves understanding their knowledge and comfort level with various investment vehicles such as stocks, bonds, and real estate. Some clients may understand these assets well but might not be willing to take on too much risk.

We initiate thoughtful and in-depth conversations to thoroughly understand your unique goals and risk tolerance. With this solid foundation, you can confidently entrust the day-to-day management of your wealth to us. This allows us to leverage our expertise and experience to make well-informed decisions without the constraints of micromanagement. Our collaborative approach fosters a synergy that effectively empowers us to achieve your financial goals.

In the subsequent call, we request a net worth assessment along with broker statements and other relevant financial documents. This helps us to tie the client’s asset value back to their relationship goals and to understand what their investment portfolio might look like.

Based on the information gathered, we created an Investor Policy Statement (IPS). This document outlines the client’s investment goals, strategies, and risk tolerance, guiding all future investment decisions.

Once the IPS is agreed upon, we move forward with the contract agreement. This involves formalizing our relationship with the client and setting clear expectations.

If needed, we assist the client in changing the custodian of their investments. Our goal is to manage only discretionary funds, giving us the flexibility to make investment decisions that align with the client’s IPS without requiring prior approval for each transaction.

After the initial setup, we continue to manage the client’s portfolio, making strategic adjustments as needed. Regular reviews and updates ensure that the investment strategy remains aligned with the client’s evolving goals and market conditions.