New Albany

Investment Management

 Personalized consulting • insight • planning

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SERVICES OFFERED

Pursue

Life Goals

Create a realistic plan...

The mission of NAIM is to enable clients to meet their financial objectives, giving them the confidence and freedom to purse their life goals. Creating a realistic financial plan is key to reaching these goals. NAIM provides candid assessment of each client’s situation and designs a plan to attain their goals.

Pension Consulting

Reaching your retirement goals

Determining what to do with your pension can be challenging. NAIM offers consulting on Qualified Pension plans. Consulting services that may include: recommendations on asset allocations, educational seminars, special projects, plan surveys, evaluation of vendor services.

Financial Advisory

Identify the risks

The strength of any financial plan is the integrity of the data and proper assessment of the risk. Sudden and dramatic changes, whether market related or a life-event, can turn a financial plan upside down.  NAIM identifies and provides guidance on how to prepare and manage through these circumstances.

Wealth Planning

A second opinion...

Separate from direct financial advisory and investment management, some clients may need  wealth planning services that are unique to their specific needs. These services may include: calculating retirement projections, designing a savings plan, or evaluating the best retirement payment plan option. NAIM works with each client to ensure a realistic and solid plan.

Investment Management

Design the right strategy

NAIM aligns each client’s financial goals first and then designs a unique investment strategy that is suitable given their risk parameters and current market conditions. Market risks such as price, interest rate, credit, and liquidity must be continually evaluated against the potential for return. With constant study of the global markets, NAIM service is active, timely, and successful.

Market

Insight

Deciphering the global markets

The global markets are driven by emotions as well as supply & demand forces that are influenced by ever-shifting political, economic, and fiscal policies. As technology advances, the global markets become more intricately connected. NAIM continually monitors current and projected market trends and offers perspective in a monthly Market Insight letter which is distributed to all clients and other interested investors.

THE CLIENTS

Individuals, Businesses, Trusts & Pension Plans

Account Types: Brokerage, Retirement, Trust, 401k

Account Size: $500,000 minimum | Average Account Size: $1.4 mm | Assets under management: $24 mm

Every client, whether an individual or a couple has unique life goals and objectives to which their savings are to support. Though time horizon varies, most clients migrate through four life categories. But there are also special situations that fall outside the norm.  In either case, NAIM addresses each situation with specific recommendations and strategies to meet the client’s life goals.  Below is a description of each life category and a sampling of some  New Albany Investment Management clients:

  • Young & Hungry

    • Net Worth: $100,000 (College Debt) - $50,000

     

    • Realizing a need for savings plan to manage and pay off Debt. Fresh out of College or Graduate School or early stages of establishing career.

     

    • Note:  NAIM provides complimentary Advisory services to people in this life category.

    Young and Hungry | Age 25 - 35

  • Climbing the Hill

    • Net Worth: $500,000 - $800,000

     

    • Disciplined savings plan, defined and actively managed Investment Strategy.

     

    • Well established in career, but still more to accomplish.

    Climbing the Hill | Age 40 - 50

  • Peak Earning

    • Net Worth: $1mm to $4mm

     

    • Maximizing contribution to savings (401k, IRA, Taxable accounts)

     

    • Fully engaged in career, working long hours, paying off debt.

    Peak Earning Years | Age 50 - 60

  • Retired

    • Net Worth: $2mm to $6mm

     

    • No longer contributing to savings; drawing on investment portfolio for income.

     

    • Debt Free

     

    • Two residences, travelling, enjoying hobbies and family time.

    Retired | Age 60 - 80

  • Special Situations

    • Minor with inherited Trust or IRA

     

    • Trust established for grandchildren.

     

    • Custodial accounts

     

    • College savings accounts

    Special Situations | Any Age

INVESTMENT PROCESS

The investment management process is comprised of three inter-related pieces that are continually adjusted to meet changing life situations and market opportunities.

 

CLIENT ASSESSMENT

The process begins with a thorough assessment of the Client's current situation and life plans. This assessment is essential to understanding the purpose or objective of the savings in the context of a wealth plan. Factors considered are: short & long term goals; net worth; and current and retirement cash flow. Once defined, a specific investment plan is designed and then continuously managed to assure the client's financial goals are in line with the investment strategy.

Life Goals    |    Financial Health    |    Wealth Plan

MARKET ASSESSMENT

The investment strategy design is a rigorous and ongoing process at New Albany Investment Management. It begins with a weekly in depth market analysis of the economy, valuation, and technicals. Information is derived from many sources on global economics and market sectors and is used for determining market opportunities, assets class selection and portfolio design.

Market Analysis | Risk Structure | Asset Class Selection

Each client will have a unique investment strategy according to their risk tolerance, and life goals.  Though most clients have multiple investment accounts (ie: brokerage, IRA and 401k)  all the accounts will be managed as one portfolio with one investment strategy. However, sometimes there is a portion of the portfolio set aside for immediate cash needs.  In this case there are actually two sub- strategies managed under a combined investment strategy.

Client Specific |  Investment Strategy | Continuous Review

PORTFOLIO DESIGN

HOW THE PROCESS WORKS

Assessing Risk Tolerance

Essential to every strategy is the understanding of potential risk or volatility of the portfolio value.  Volatility is measured in terms of standard deviation and relative to the broad market.   A less risky strategy is typically more income oriented and will usually have more exposure to bonds.  A growth strategy is generally more risky and has a greater weighting in stocks and alternative investments. Though each strategy is unique, it can be broadly categorized as an :  “Income Strategy”  “Income & Growth Strategy”  “Growth Strategy”.

Asset Classes and Sectors

Once the level of risk tolerance is determined the portfolio design begins. Each portfolio has a deliberate focus on risk management, combining non-correlating asset classes to achieve the best risk /return.  To do this, all financial assets are sectioned into five broad asset categories or risk buckets, with each having many sub-categories.

Portfolio Allocation

Every portfolio strategy is designed with a particular objective that is uniquely tailored to each client according to their specific life situation and goals. Some clients may have two distinct goals with different time horizons. For example, a retirement goal in 5yrs;  a charity for perpetuity, or a college fund for grandchildren in twenty years.  In these cases there are separate investment strategies with different asset allocation and risk structure. NAIM designs investment strategies according to the specific purpose and  time horizon, and risk tolerance.

  • ACCOUNT MANAGEMENT

    • FEES

      Fees are assessed quarterly in arrears, based on the market value of the account on the last business day of the previous quarter. Asset management fees will be automatically deducted from the client account on a quarterly basis by the qualified custodian. The custodian will send a quarterly statement to the client and New Albany Investment Management will also send a quarterly invoice to the client outlining the fee calculation and the amount withdrawn from the client account. In some cases, fees may be paid directly by the client and not charged to the investment account. There is no account termination fee.

      Fees

      Compensation is "Fee Based" only and assessed as a flat percentage rate of account assets under management, rather than commission based (see schedule below).  This way NAIM's motivation matches that of the clients: long-term appreciation of account values.  NAIM does not receive any loads, trading commissions, transaction fees, or any other form of compensation. Fees are a percentage of an account's market value:

      0.6% on the next $1.5 million

      1.0% on the first $1 million

      Minimum annual fee is $4000

      0.5% on the next $2.5 million

      Over $10 million negotiable

      0.35% on next $5 million

    • CUSTODY

      NAIM is not a broker or custodian and therefore does not take possession of cash or securities. Unless otherwise requested by a client, NAIM, uses Charles Schwab's Institutional Services Division as custodian for clients' accounts. Schwab is the nation's largest discount broker and offers a complete range of investment vehicles including Money Market Funds, CD's, Individual Stocks, Bonds and Mutual Funds. Their mutual fund platform is one of the most extensive available.

       

      NAIM does not receive any loads, trading commissions, transaction fees or any other form of compensation.

      Custody

    • REPORTING

      Each client receives reports from their custodian and NAIM. The custodian provides monthly account statements  showing market value and a summary of account activity. They also send clients trade confirmations for account transactions. In addition, the custodian offers clients the ability to access their accounts on-line and receive trade confirmations via e-mail. They also provide a year-end tax summary including interest, dividends and sales proceeds.

       

      NAIM provides a quarterly portfolio summary and performance report as well as a quarterly fee assessment.

      Reporting

    • TRADING

      Each client signs an investment agreement which defines allowable investment vehicles,  risk parameters and portfolio strategy.

       In addition, the client signs a limited power of attorney authorizing NAIM to make trades on their behalf at Schwab or the designated custodian.

      Trading

MEET BARBARA HUFF

Barbara Huff

Founder & CEO

Barbara Huff, Founder and CEO, has 35 years of extensive experience in the financial markets where she has held numerous positions directly involved in trading, investment, and risk management across the global markets. Barbara has managed portfolios as large as $27 billion and in multiple asset sectors, including Stocks, Bonds, Currency, Futures, Options and Derivatives. Most recently, she was an Investment Strategist & Client Adviser at The Joseph Group Capital Management, (Columbus OH) and served as a senior member of the Investment Committee. Prior to this she was Senior Vice President and Director of Corporate Risk Management at the Banc One where she had primary responsibility for assessing interest rate and liquidity risk for the bank. Earlier in her career, she spent 10 years with J.P Morgan (NY), where she held positions as Trader, Portfolio Manager, and Treasurer of J.P Morgan Delaware bank. Barbara has a BS degree from Miami University in Finance and Economics.

 

Barbara has been married to her husband, Jim, for 34 years. Together, they have three children: Alex, Ben and Julia. She and her family reside in New Albany. Barbara is an active member and on the board of Five 14 Church, involved in YoungLife, serves in the  Licking County Jail Ministry, and was a member of The New Albany Chamber of Commerce.

"The foundation of New Albany Investment Management is based on these core values: Integrity, Honesty, Compassion and Faith."

  • What exactly does New Albany Investment do?

    NAIM provides candid advice on wealth planning and solid risk managed investment strategies to enable clients to meet their life financial goals.

  • Why use New Albany Investment?

    Personalized Service:  The cornerstone of New Albany Investment Management’s service is to understand the Client’s life goals and to design an investment strategy and wealth plan to meet those goals.  NAIM acts as an objective counselor and guide, recognizing that each client has specific financial needs requiring individual attention.   At least three times a year, regular meetings are conducted with each client, where a thorough Financial Health Analysis  (FHA) is completed.   The FHA gives an updated snapshot of a Client’s net worth (assets and liabilities), current savings and spending plans, and projected retirement cash flow.  At the same time, the investment portfolio performance and strategy are reviewed in detail. It is through this constant communication with the client and monitoring of the portfolio, that the investment strategy remains aligned with the Client’s objectives so that they can achieve their wealth plan

     

    Expertise:   Barbara brings 35 years of market experience to the process.  She knows market volatility first hand and has successfully navigated risk positions through many bull and bear market cycles including the crashes of 1987, 1998, and 2008.

     

    Investment Management Approach:

    • Investment strategy must be appropriate for the Client’s wealth plan.
    • Risk must always be considered before seeking return.
    • Return must justify the risk.

     

    Core Values: The foundation of New Albany Investment Management is based on these core values: Integrity, Honesty, Compassion, and Faith.

  • What is the difference between an Investment Advisor and a Broker?

    An Investment Advisor provides investment management services.  This means they make decisions on how, when and what to invest on your behalf.  An investment Advisor has the same interest as the client, which is to grow wealth.  Compensation is usually Fee based as a percent of assets managed. A Broker buys and sells investment products to you and is compensated through commissions.  They do not make investment decisions but make recommendations to you as to what to buy or sell.

  • Why would someone use an Investment Advisor?

    If a person does not have the time, interest, or knowledge about the financial markets, but does have a need to preserve and grow wealth, then an Investment Advisor can be a very valuable resource.

  • Is there any public information on New Albany Investment Management?

    Yes.  In 1996 Congress amended the Investment Advisers Act of 1940 to require that the SEC establish a readily accessible electronic process to respond to public inquiries about investment advisers and their disciplinary information. The SEC created this website to satisfy Congress' mandate.   Information about NAIM can be found on the U.S. Securities and Exchange Commission (SEC) sponsored website at www.adviserinfo.sec.gov.  This web site also gives information on Barbara Huff as a registered investment advisor representative.

  • Who regulates Investment Advisors (firms) and Investment Advisor Representatives (person)?

    New Albany Investment Management is a State registered Investment Advisor and is regulated by the Ohio State Division of Securities.  Barbara Huff is registered and regulated by the State of Ohio.  The State conducts periodic audits to ensure all operating policies are correct and utilized according to the State securities law.

  • Does New Albany Investment Management have direct access to my assets?

    NAIM is not a broker or custodian and therefore does not take possession of cash or securities. However, each client of NAIM has signed “Limited Power of Attorney” authorizing NAIM to make trades on their behalf and to deduct fees.    All accounts are managed through a custodian. Unless otherwise requested by the client, NAIM uses Charles Schwab Institutional Services as custodian for all clients’ accounts.

  • What kinds of fees are charged?

    Compensation is “Fee Based” only, on a flat percentage of account assets under management, rather than Commission Based (see schedule below).  This way, the motivation matches that of the clients: long-term appreciation of account values.  There are no loads, trading commissions, transaction fees, 12b-1 fees, or any other form of compensation.  The minimum annual fee is $4000. Fees are a percentage of an account's market value:

    • 1.0% on the first $1 million of an account's market value
    • 0.6% on the next $1.5 million
    • 0.5% on the next $2.5 million
    • 0.35% on next $5 million
    • Over $10 million negotiable

     

    Fees are payable quarterly in arrears, based on the market value of the account on the last business day of the previous quarter.  The qualified custodian will automatically deduct asset management fees from the client account on a quarterly basis. The custodian will send a quarterly statement to the client and New Albany Investment Management will also send a quarterly invoice to the client outlining the fee calculation and the amount withdrawn from the client account. In some cases, fees may be paid directly by the client and not charged to the investment account.  There is no account termination fee

  • What is required to open an account with New Albany Investment Management?

    Each Client receives a “New Client” folder containing:

    • Investment Advisory Agreement which permits NAIM to effect transactions and management of each client account.
    • Investor Policy Statement  & Suitability Questionnaire: explaining the investment process and selected strategy.
    • Investment Brochure required by the State of Ohio explaining the firm’s policies and procedures.
    • Privacy Policy
    • Execution of a Custodial Agreement with a bank or brokerage firm including the Power of Attorney.
    • FAQ Document
  • What if I already have securities in my portfolio at the time I join New Albany Investment Management? Will those be sold?

    In some cases they may be sold and other cases they may be kept.  The decision will depend upon several factors including:

         1) Your wealth plan and the purpose of these investments

         2) How these securities fit into the investment strategy

         3) What, if any, would be the tax consequences of selling the securities.

  • How often can I meet to discuss my portfolio and financial position?

    As often as you like.  Initially, when a new account is established, there is more frequent contact to insure all issues and goals are properly addressed. Once set in place, most clients feel meeting 2-3 times per year is often enough to stay current on any changes in life events, and review portfolio performance.  Additionally, your custodian issues position & transaction reports monthly.

  • Does New Albany Investment Management provide any periodical Market Analysis?

    Yes. At least monthly, NAIM provides a Market Insight report, which reviews current Economic factors; Monetary & Fiscal Policy as it relates to the markets; and various valuation and technical perspectives on specific market sectors.  Please see the Market Insight tab of this website.

The Market Insight report provides relevant perspective on what is driving the direction of the global markets. It could be changes in the fundamentals of macro economics, fiscal and monetary policy; or it could be more technically driven like valuation and supply/demand dynamics. But be sure, the market is always moving as investors are continually reassessing the next opportunity. The Market Insight report is written monthly and sent to all clients and other interested savers.

GET IN TOUCH

Call New Albany Investment Management | 614-216-6139

or leave us a note using the form below

 

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