What is your background?
I began my career in 1986 with Prudential-Bache Securities in Brussels, Belgium, and later worked for Merrill Lynch in Luxemburg and Belgium. I have worked independently since 1987. In addition to being a Registered Investment Advisor, I have held the following professional designations: Chartered Retirement Planning Counselor (CRPC) (2020-2022), Chartered Socially Responsible Investing Counselor (CSRIC) (2020-2022), and Behavioral Financial Advisor (BFA) (2020-2022).

In addition to managing money, I am the author of six investment books including the award-winning Advanced Portfolio Management: Strategies for the Affluent (Palisade Business Press). The book was noted in a Barron’s article titled “The Best Investment Books of 2002.” Barron’s staff said “Advanced Portfolio Management is aimed mainly at seasoned investors, though it describes complicated issues clearly and simply and gives advice that might be useful to both pros and amateurs.”

My most recent writings, Understanding Risk, Investor Behavior and Surviving Bubbles and Dividend Investing for Income and Growth are included in Essential Works of Stuart Chaussée. My latest book, Investor’s Guide to Buffer ETFs: Upside Growth Potential with Downside Protection, was published in 2024.

I am a former Vice Chairman of the Palos Verdes Art Center Endowment Fund. I am also a former contributing writer for TheStreet.com. TheStreet.com was co-founded by James Cramer, the host of CNBC’s Mad Money program. I am presently a contributing writer on financial matters for Peninsula Magazine.

I earned a B.A. from the University of California, Berkeley and a Master’s degree from Thunderbird School of Global Management.

Are you a fiduciary?
Yes. I am legally bound to act solely in a client’s best interest.

How do you work?
I am an independent fee-only investment advisor who specializes in portfolio management and investment planning for affluent individuals. I spend most of my time monitoring the markets and looking after the financial concerns of my clients. Most of my clients have the primary investment objective of long-term moderate growth, so the bulk of my time is spent working to help them reach their goals on a consistent basis.

What services do you provide for your clients?
I offer traditional, fee-only asset management and planning services. These services mainly involve ongoing active management of equity and fixed-income portfolios. I also specialize in Buffer ETF strategies that are designed to allow investors to participate in stock market gains, but with downside protection. Buffer ETFs can be extremely attractive for pre-retirees and retirees who cannot afford the negative effects of deep market drawdowns. In addition, I help coordinate, with the help of my professional contacts, the estate and tax planning needs of my clients. In this way I assist clients with all services associated with wealth management.

Why would I choose you over another advisor?
You would choose me over another advisor based on my experience and competence. I believe I am highly competent in my field and I truly care about my clients. If that’s what you’re looking for in an advisor, then you should consider my services.

I should note that my approach to managing money typically appeals to investors nearing retirement or already retired. I believe a disciplined approach to managing risk in all market environments is more appropriate than a passive buy-and-hold strategy. Effective portfolio management should strive to limit portfolio volatility and losses with the ongoing objective of attractive risk-adjusted returns over a full market cycle.

What is the profile of a typical client?
The profile of a typical client is a financially-comfortable pre-retiree or retiree. The client’s primary investment objective is typically long-term moderate growth. Some of my clients have a deep understanding of the financial markets, and others have very little interest. What they have in common is they would rather have someone else handle their investments for them. In addition, my clients are particularly interested in working with an advisor who focuses on managing and controlling risk in all market environments.

How would our relationship work if I hire you?
If you decide to hire me you would have to indicate at the outset exactly what kind of service you expect. I generally offer to meet with clients on a quarterly basis and communicate with them on a consistent basis either through e-mail, Zoom, or by phone. The frequency of our communication will often depend on your financial situation and what type of portfolio management I am providing. Charles Schwab & Co., Inc. will act as your independent custodian. I do not take custody of assets. I am given Limited Power of Attorney to manage your portfolio based on the guidelines we set together. You have online access to view your accounts and all transactions, and you will also receive monthly statements from Schwab, and quarterly statements from my firm.

All investment securities and cash are the sole property of the client. All assets are held in the name of the client at Charles Schwab & Co., Inc.

What is the minimum investment to work with you?
$1 million, although this minimum may be waived in certain situations.

How are you compensated?
Advisory fees are based on a percentage of assets under management. I am paid on a fee-only basis. I do not receive any commissions. I offer objective, unbiased advice. My fee is calculated based on the assets under management at the end of each quarter. The typical annual fee is approximately 1.1% of the assets under management, and will range from 0.50% to 1.5%.

Are there any fees, other than your management fees?
Yes. In addition to my quarterly management fee, you will also be responsible for paying any commissions or transaction fees to your custodian. And, you will also have to pay any custodial fees, if applicable. Furthermore, if you purchase exchange-traded funds or traditional mutual funds, you will have ongoing management fees payable to the fund management companies. These fees are not invoiced to you, but will be deducted from the net asset value (price) of the holdings. These fees and any other fees are outlined in each investment’s prospectus. Note, I try to keep all outside investment costs as low as possible, including commissions and any other applicable management fees.

What is the process to open an account with your firm?
Prior to opening an account, you will fill out a Risk Profile Questionnaire that will help me to better determine your tolerance for risk, investment experience and objectives. After our initial meeting, where I learn about your personal financial situation and objectives, I will send you a review of your current portfolio with a summary of our meeting. In this review I will make specific recommendations as to any changes to your portfolio, and how I think you can improve your financial situation. We will meet to review the summary and recommendations together. Afterwards, I will prepare an Investment Policy Statement that will outline how your portfolio will be managed. If you decide to work with me, Charles Schwab & Co., Inc., will act as your independent custodian.

I will assist with the account opening at Charles Schwab & Co. and will provide all paperwork. At the time you open your account(s) with Schwab, you will also sign an Investment Advisory Agreement with my firm that allows me to manage your assets on your behalf.

Where are my assets held if I work with you?
Charles Schwab & Co., Inc. will act as your independent custodian. You retain ownership of your account at all times and the account remains in your name. Stuart Chaussée & Associates, Inc. simply has trading authority to manage the account on your behalf. You will receive monthly statements from the custodian and detailed quarterly reports from my firm.

Who has access to my account?
I have access to your account for trading purposes only. You may also have access to your account through the online services provided by Schwab. You are notified of all activity in your portfolio by the custodian, and I also provide a summary of all transactions in my quarterly reports.

Are you able to make withdrawals from my account without my permission?
No. I am only able to instruct the custodian to send you money from your account, when you instruct me to do so, and if you have signed to give me this permission. Many clients often have money links in place with their Schwab accounts and bank accounts so that I can send them money electronically to help them cover living expenses. If you want money sent to a third-party, you will have to sign for this and give instructions directly to the custodian. This is for your protection. The only withdrawals I can make from your account are for my ongoing quarterly management fees, which are automatically deducted at the end of each quarter.

What if I wish to discontinue our advisory relationship?
If, for whatever reason, you decide you would like to discontinue our relationship, you simply need to notify me of your decision. Advisory services will stop immediately, and a final invoice will be due based on the number of days the portfolio has been managed in the quarter up until I have been notified of the decision to terminate the advisory relationship.

Note, Stuart Chaussée & Associates, Inc. may, at its discretion, also refuse to accept any potential client or discontinue any existing client relationship.

Do you offer unbiased advice or do you have a financial incentive to offer certain investment products?
As a fee-only advisor I offer clients unbiased and objective advice. I have no financial incentive to sell any financial products. I always act in the best interests of my clients.

How do you decide an appropriate asset allocation for me?
Your overall asset allocation will depend on several factors: 1) What is your tolerance for risk? 2) What are your financial objectives? And, 3) What is your investment time horizon?

By far the most important questions concern your tolerance for risk and time horizon. The asset allocation policy will be determined before effecting any transactions in your account. The Risk Profile Questionnaire and subsequent Investment Policy Statement, will dictate an appropriate allocation for you, although the allocation may change at any time during our relationship. In addition, if your financial situation or risk tolerance changes, you should notify me immediately.

Furthermore, and importantly, asset allocation will greatly depend on the current market environment, sentiment, valuations, yields, and the risk-reward opportunities in each asset class. During volatile markets I will typically try to reduce risk in an effort to protect capital. If we are at extreme valuations (bubble territory) I will typically take a defensive approach to investing and will focus on preservation of capital.

With the introduction of Buffer ETFs in my practice, I now typically have downside protection in portfolios to help shield against initial losses. Buffer ETFs are an excellent investment vehicle for conservative or moderate risk investors and for pre-retirees or retirees who cannot afford the negative effects of deep market drawdowns.

What investments do you typically recommend?
A typical portfolio is comprised of Buffer ETFs and/or dividend-paying ETFs. Many portfolios may also have an allocation in short-term Treasury bills, depending on the current market environment. Most portfolios will typically have the objective of long-term moderate growth.

How often do you make changes to my portfolio?
Successful portfolio management is a dynamic process. I would define successful portfolio management as attractive risk-adjusted returns over a full market cycle. I do not believe buy-and-hold makes sense for investors nearing retirement or already retired. However, I do not like to make portfolio changes too often, but I will certainly do so if deemed appropriate and to help clients achieve their long-term investment objectives. I also consider any tax ramifications from sales in taxable accounts prior to making any changes. Note, if Buffer ETFs are held in a portfolio, there is typically less active management required since there is already built-in downside protection in the ETFs.

If stocks are trading at elevated valuations or in bubble territory, do you make portfolio adjustments?
Yes, there are times when I will manage money very defensively and with preservation of capital as a primary objective. If valuations are extreme and risks are elevated, I will do my best to preserve wealth in client portfolios. Note, again, if Buffer ETFs are held they may provide adequate downside protection and can be held through periods of high stock valuations.

Will you manage my fixed income portfolio too?
Yes. Fixed-income portfolio management is a less dynamic process than managing a stock or REIT portfolio. There will be times when you have principal returned to you when a bond matures. and this money can be reinvested in other bonds. And, I may occasionally perform bond swaps for tax purposes. Bond ladders are typically constructed for clients and as bonds mature the proceeds are either reinvested out to later maturities or used to help cover a client’s living expenses. Bond ETFs may also be purchased to provide consistent income.

How do we proceed if I decide to hire you?
Typically, we will meet, either in person or online, to fill out the account opening paperwork together. I will provide all forms that need to be completed. There will be account opening forms for Charles Schwab & Co. Inc., in addition to an advisory agreement with Stuart Chaussée & Associates, Inc. You will also have received a copy of our firm’s ADV Form II and Part III for your review. A Risk-Profile Questionnaire is filled out and an Investment Policy Statement is prepared to review and sign by the client and the advisor.

If assets are being transferred in from another brokerage firm, this process can usually take up to two weeks. I will help facilitate the efficient transfer of funds to your new accounts and will keep you informed throughout the process.

How often do we talk and where do we meet?
This will depend on you. I offer to meet clients on a regular basis and often do so quarterly. I often communicate with clients either by phone, Zoom or e-mail and typically will send Market Updates by e-mail every month. Client meetings are usually scheduled in person at the client’s home or via Zoom.