Planning

Tangible Asset Management

When providing consultative advice for our clients, advisors at Altavista will take a comprehensive look at one’s entire balance sheet. While it is important to work with our clients on cash flow, taxes, philanthropy, investments, allocation, and estate planning, it is equally important to focus on tangible items that are near and dear to our clients. This is commonly referred to as “Tangible Asset Management.” At Altavista we have the opportunity and resources to advise on protecting and managing one’s non-financial assets.

Tangible assets are gaining recognition as a new asset class. They also can be looked at as another way to diversify a client’s total asset allocation. As such, wealth advisors need to incorporate these items in the family’s overall wealth management plan.

Tangible asset management goes beyond managing just personal real estate. Clients may have a penchant for collecting or investing in art, fine jewelry, wine, antiques, sports memorabilia, classic cars or other valuables. There are important issues clients need to consider surrounding the management of tangible assets that reflects the passions, interests and legacies of the individuals and families that own them.

Similar to prudently managing the liquid financial investments that a client owns, it is important to watch out for the “blind spots” in owning tangible assets. These challenges may include determining value and authenticity, keeping proper documentation, loss prevention, insurance, and how these items fit into estate and tax planning.

Protecting and planning for investments in art, jewelry, antiques, wine or similar rare items should begin with an accurate appraisal. A critical step in protecting tangible assets is selecting an appraisal company that is a specialist in the genre of their assets. Having a reputable firm involved in a formal appraisal sets the foundation for client and advisor to plan prudently for items that maybe donated, sold, insured or identified for a succession plan for heirs.

When advisors and clients know what they own and the worth of their financial AND non-financial assets, they are able to make better decisions. Further, with up to date valuations, insurance companies are better able to protect and manage your personal tangible assets. With proper planning and oversight it can also lead to increased enjoyment of your prized possessions. At Altavista will are happy to talk with you about how we can better manage your treasured possessions.

Please remember that past performance may not be indicative of future results. Different types of investments involve varying degrees of risk, and there can be no assurance that the future performance of any specific investment, investment strategy, or product (including the investments and/or investment strategies recommended or undertaken by Altavista Wealth Management, Inc. (“Altavista”), or any non-investment related content, made reference to directly or indirectly in this newsletter will be profitable, equal any corresponding indicated historical performance level(s), be suitable for your portfolio or individual situation, or prove successful. Due to various factors, including changing market conditions and/or applicable laws, the content may no longer be reflective of current opinions or positions. Moreover, you should not assume that any discussion or information contained in this article serves as the receipt of, or as a substitute for, personalized investment advice from Altavista. To the extent that a reader has any questions regarding the applicability of any specific issue discussed above to his/her individual situation, he/she is encouraged to consult with the professional advisor of his/her choosing. Altavista is neither a law firm nor a certified public accounting firm and no portion of the article content should be construed as legal or accounting advice. A copy of Altavista’s current written disclosure Brochure discussing our advisory services and fees is available upon request.

Please Note: If you are an Altavista client, please remember to contact Altavista, in writing, if there are any changes in your personal/financial situation or investment objectives for the purpose of reviewing/evaluating/revising our previous recommendations and/or services, or if you would like to impose, add, or to modify any reasonable restrictions to our investment advisory services. Altavista shall continue to rely on the accuracy of information that you have provided.