Mr. M just sold his business for $100 million in cash. He is married and has three children, all in their 20s. As part of the sale he has retired from the business. He had accumulated several million dollars in savings prior to the sale, which he has managed himself. He has an interest in being involved in managing his finances.
Mr. M is not comfortable at this point with giving total control of his investments to one firm. He would like to select two firms to manage his assets. However, he would like an overall coordinated plan. He has a good CPA and an attorney that he trusts.
Mr. M decided to split his investments between Tolleson Wealth Management and another firm. Even though Tolleson Wealth Management will not manage all of the investments, TWM will be responsible for making sure both portfolios complement each other and that Mr. M is properly diversified. Tolleson Wealth Management will also provide a quarterly update on his total portfolio so he sees the overall picture. Tolleson Wealth Management provides Mr. M with details on his investments so that he feels comfortable with the strategy and each investment. He is able to be involved, but not burdened with the details.
Tolleson Wealth Management also works closely with his CPA each quarter to provide tax information from the portfolio and discuss tax planning opportunities. This planning saved Mr. M significantly in taxes in the first year. Tolleson Wealth Management reviewed his estate plan and met with his attorney, and they worked together to create a private foundation and a family limited partnership. His attorney had suggested this in years prior, but it slipped through the cracks.
Mr. M became comfortable with Tolleson Wealth Management’s strategy, and he moved his assets in his wife’s name, trusts for his children, and the family foundation to Tolleson Wealth Management. This greatly simplified his financial matters. Tolleson Wealth Management now serves as his key financial advisor; they talk a few times per month and meet quarterly to go over all investment results and discuss other planning opportunities. The split approach gave Mr. M an opportunity to get to know Tolleson Wealth Management before committing more than he was comfortable.