Do Our Strategies Work?

At Ulivi Wealth Management, we believe our all new comprehensive approach to retirement planning works because it is supported by extensive research, as well as by empirical evidence. Of course, we can neither predict the future nor promise financial and/or investment returns. Nevertheless, we believe that the implementation and ongoing management of our strategies may allow you to maintain your lifestyle and financial security throughout retirement.

What proof do we have that our strategies may help you achieve the above goal? Let’s review the supporting information for each of our strategies.

Our Retirement Income Strategy is based on the following published research:

*“Decision Rules and Maximum Initial Withdrawal Rates,” FPA Journal, Sept. 2006, by Jonathan T. Guyton and William J. Klinger
“Decision Rules and Portfolio Management for Retirees: Is the Safe Initial Withdrawal Rate Too Safe?” FPA Journal, Sept. 2004, by Jonathan T. Guyton
“Determining Withdrawal Rates Using Historical Data,” FPA Journal, October 1994, by William P. Bengen

The above cited researchers seem to agree that a retirement strategy based on a withdrawal rate estimated to be in the 5% range, plus the implementation of a set of eight decision rules, will allow you to maintain a safe withdrawal rate throughout retirement. The eight decision rules are explained in the section “Our Strategies and Services”. We feel that this research validates our Retirement Income Strategy.

Our Investment Strategy is designed to:

• Recommend the asset allocation most likely to achieve the rate of return required to sustain your safe withdrawal rate.
• Recommend specific investments for each asset class.

What asset allocation is likely to achieve this rate of return over the long term? In answering this question, we rely on guidance provided by CalPERS and OCERS, two experienced and successful public pension plans. CalPERS manages in excess of $200 billion and OCERS manages nearly $10 billion.

Why do we use them as guides? Because both have averaged returns above 8% over the long term, which is the amount a retiree needs to earn to sustain a safe withdrawal rate, thereby maximizing income without depleting capital prematurely.

Our Investment Management service is designed to implement your investment strategy on an ongoing basis. We believe that we can achieve similar rates of return to those that CalPERS and OCERS have experienced over the long term, as long as you are willing to implement our recommendations.

Monitoring Service: The researchers referenced in the Retirement Income Strategy above, recommended following a series of rules or financial “guardrails” to sustain a safe withdrawal rate. These rules are discussed, in detail, in the section “Our Strategies and Services”. At Ulivi Wealth Management, we implement and monitor these rules on a continual basis. When changes have to be made to your financial management, we provide the recommendations and the justifications.

In sum, we believe we have the tools and experience to implement strategies that may allow you to:

• Maximize withdrawals during retirement--without depleting your capital prematurely
• Generate the investment returns you’ll need to sustain your optimum income
• Maintain your lifestyle and financial security throughout retirement.

The returns illustrated represent past performance of those pension plans and do not represent the actual performance of portfolios managed by Ulivi Wealth Management. We do not guarantee future results. Current and future performance may be lower or higher than the rates of return illustrated in this presentation.