Case Study for Effective Accountability for Elderly

Are you responsible for an elderly parent or relative? Let me share with you a story of one of my clients, and ask yourself does this sound familiar.

Roger is 66, this year he has finally retired after years of hard work, but unfortunately he is working as hard as ever because his aging mother and aunt are suffering from various illnesses, including both physical and mental issues including the onset of Alzheimer’s. He travels to see them frequently and does his best to monitor their bank accounts and to help them both with bills and money issues. Each day he logs into their different accounts and attempts to monitor all their activity, banking, credit cards and household expenses, it is time consuming and a major burden and only something that you would do for a loved one.

If you or someone you know is like Roger, caring for another person’s finances, helping with their health issues, and you are getting worn out, please consider a using a process that family trustees and advocates have used for over a decade.

iSteward, is a tool and process to help those like Roger that are overwhelmed by the time and energy it takes to stay on top of their loved ones that mean so much. How can iSteward help?

iSteward is a fast and easy way to organize and make the complex more simple. It is a private, safe and secure website where everything can be monitored and reviewed with the touch of your fingertips. There are custom alerts in one place for all accounts. No need to login to all the accounts and monitor anymore as iSteward has tools to help you. We like to think of it as a personal financial home page, with added layers of safety and security.

First, iSteward is NOT is transaction site. What do we mean by that phrase? No movements of money whatsoever, unlike banking, credit card and brokerage account sites, there is never any movement of your funds through iSteward. This web portal is designed to ease security pressures and allow for the very best in monitoring and reviewing of all your different accounts.

If you are working with multiple professionals, such as a health care advocate, an elder-care attorney, tax professionals and financial advisors, iSteward process will serve as a central depository for secured information. You no longer have to trust on outside emails and attachment files; rather utilize the iSteward state of the art file security system to deliver sensitive materials to those different professionals.

As we all grow older and have become more cautious over technology, the more sense it makes to have a secured Non-Transactional portal to see everything and be on top of it all in one place. This safe and intuitive process is easy to set up and monitor all activities of brokerage accounts, banking, tax, insurance and legal issues. There are thousands of professionals using this technology daily to do just that- collaborate and provide secure information and planning.

Want to learn more then check out other iSteward blogs and articles at www.StewardshipMatters.net, and while you are there watch a short video on iSteward.

Financial Planning: Getting from Here to There

If your financial plan is not addressing inflation right now, then you are cheating your future and that of your family. Real financial planning engages coaching, knowledge on various options and strategies, and how to implement and follow the progress of your individual plan. There is a lot more than crunching numbers, and that is where we help you with your personal financial planning process, which will help you get from Here to There. The following video is a quick primer on one of the processes we use to help clients plan their resources and become good stewards for their families. Click below to view.

iSteward a Safe Place for You

Why is iSteward safe for you and your personal financial information? First, unlike banking sites and bill paying portals iSteward does not allow banking or any types of transactions or transfers period. iSteward’s Wealth Management System employs the most advanced security features and protocols to keep your data safe, private and secure, 24/7/365. Comprehensive security protection measures include password protection; secure socket layer encryption, firewalls, intrusion detection, audits, inspections and more. You can be confident that your important information is safe and secure.

It allows you to get a clear, easy to understand picture of your finances with graphics and data. This allows you and your advisors to be able to make a plan with both you and them saving time, and the frustration from having your financial data that is incorrect or out of date. Imagine you have multiple financial relationships and even some financial accounts that are held in a business name or with previous employers’ retirement accounts, now you can have all of your information consolidated and seeing all of it together to address your allocation to company or industry.

You are traveling or it’s a weekend and need access to important legal documents, now you can access anywhere in the world your personal vault document or perhaps a copy of your passport making the trip to Embassy much faster and easier to navigate. Perhaps you left a family member with another care giver and the hospital needs documents to treat them and you open your virtual vault and simply email it to the parties with a simple click.

Unlike portals that are driven by a banking or investment relationship the iSteward is driven based on sound planning advice for a fee, rather than the same “old park your CD here” and we will help your organize your stuff planning.

We want you to know that stewardship encompasses all aspects of your life, and is not about only a part of your life like giving away some money. iSteward can help.

Values Based Investing

Here is one radio personality view of values-based investing.

“Dave does not use a values-based investing approach. Here’s why:

1) In values-based investing, you pick between two similar mutual funds that align with your beliefs–a good concept.

2) However, few of these funds stand up to Dave’s criteria for picking mutual funds (five-year or longer track record of strong rates of return, professionally managed by a team of mutual funds managers, etc.)

3) This is a very personal decision you will have to make, and it is sometimes referred to as a slippery slope. If you no longer invest in funds that might invest in a company that supports abortion, to be consistent, you will need to stop shopping at the grocer that sells pornography. You would also need to stop banking because nearly all banks contribute to United Way, which supports Planned Parenthood.

4) Do not choose these funds out of guilt.”

The above philosophy was similar to mine own after I was ridiculed by some hard core non values-based investment firms in the early 1990′s. Back then the financial the industry taught me to believe values-based approach was nothing more than a marketing gimmick or excuse for money managers to prey on an investors emotions. I have learn a lot since then and in fact a tremendous amount of change has occurred within the values-based fields in the past decade.

I agree wholly with items 1 and 4. After 27 years of reading and studying, along with applying values-based investment principles in everyday practice it does work. Values-Based investing is not for everyone. In 1986 the first investment I helped my first client with was Calvert Social Investment Fund and they were thrilled with the fund’s values and value they received for their investment. In fact they came into the office telling me they did not want to be a part of any companies doing business in South Africa because of the politics of that country. Rarely does an investor ask for values-based investments, most investors and advisors know very little or next to nothing about the more than 500 + value based offerings today. Some of these investments have 20 year track records and are considered top picks in their respected categories. Today, there are screened Exchange Traded Funds in addition to mutual funds and private money management offerings.

Let’s address the 3rd item above: His example of grocery store selling pornographic materials is both ignorant and a lame excuse. Here are 5 compelling reasons why: 1) Focus and where profits are derived in business, reveal values 2) Technology and resources are better today than ever before in screening values 3) Leaders in nonprofits have engaged deeply in investing in values based companies 4) Individual investors are demanding more and better ways to align with their values 5) Impact and results are proving values-based investing is a really good thing.

A question I would have for Dave above is this. Can you draw a personal line in the sand as it relates to your values or standards in the following way? You have a choice between two grocery stores located next to each other and similar prices and service and selection on the key ingredients. Store A displays and promotes gambling and pornography openly and is one of the larger vendors in the state for these services. Store B has lottery tickets available at service counter and does a little business in this area (less than 1% of their profits) and does not promote pornographic materials like Store A. So now what do you choose?

Nowadays there is great news; there are now tens of thousands of auditors and consultants inside public corporations looking at where profits are derived and reporting daily to various services such as the MSCI, GMI, ICCR and others. We know who sells what and the profits they make on these items, including: land mines, gambling devices, alcohol, tobacco, firearms, abortion related services, usury, toxins or polluters of the environment. This is not a perfect science, rather taking steps either towards your values or away from your values. It’s about you and your values.

Please understand that these values, or screening for these values is important tool in aligning your values with your investments. By screening you can also find excellent money managers and investment products that cater to your individual values. This was not true when I first started almost 3 decades ago.

What is iSteward?

iSteward is an online collaborative tool that leverages the best security technology, which helps to provide individuals and organizations better management of their assets and liabilities. The personal financial planning platform allows for individuals to track daily their investments to make sure they stay on target to reach the goals set out in their financial plan. It allows you the opportunity to utilize the adjustments options to correct for both under and over achieving investments. Tax Professional and Attorneys both love the features in iSteward that provide a secured portal to exchange planning and tax information. Helping to reach your Retirement & College Planning have never been easier.

To better understand iSteward and the value it will provide to you, we recommend you watch the short video below.

Screening Matters: Connecting Your Values to Your Investments

If you have recently typed in “screening matters” into a Google search you will find pages upon pages of medical articles and websites as it relates to cancer screening, tests, and other screening articles related to illnesses. Doctors and other medical professionals advocate proactive screening as key element to prevention, early detection and intervention to life threatening illnesses.

Why is it that the medical community advocates screening, while the financial community rarely even mentions the ability to screen your investments? First, medical professionals are sworn to an oath of seeking to do no harm and to place the individual’s health and wellness in front of their own agendas. Early detection of most illnesses provides the best opportunity for professionals to treat with greater success and to help ensure better overall long term health.

In the heal thyself community, the idea of being aware of your body and when your body is in or out of physical alignment takes some intentional and personal inventory of yourself and your values. Mental health counselors tell us that we are moving either towards mental illness or towards good mental health, I prefer to move towards good mental health and good physical alignment.

Over the past 27 years, I have heard a lot of excuses for the reasons there is a lack of or refusal to screen investments within financial services industry,. Here are three of the more common excuses or myths I have heard are: 1. When an investor buys a stock in the secondary market defined as New York Stock Exchange or Over the Counter( OTC) Exchanges the money is simply exchanging hands from one investor to another. 2. That one individual’s or an organization’s money does not matter in the big picture (usually too small and insignificant). 3. That the professionals that do market their screened for values mutual funds or managed money as are using it as a marketing scam to trick people with an emotional appeal.

Many advisors argue that if you apply any investment screening, the opportunities to invest will shrink dramatically and reduce returns. While other advisors say let the professionals handle the details of managing the risk and focus solely on the best returns without hampering the investment selection process.

Not unlike the heal thyself community above we should be acutely aware and intentional in our actions when partnering or investing our money with companies that profit from values that run exact opposite of our personal values. Perhaps we should follow Hamlet’s advice when said, “to thy own self be true.”

Why does screening matter? Here are three three main reasons for screening: 1. You matter and your values matter and that should be seen in the way you invest your money, being true to yourself is a gift to you and an example to others(children). 2. You are a leader and influencer and leading in fighting for a cause or standing against a harm such as pornography matters to your community. 3. Screening is another way of taking a stand against evil and the harm it does to our community and society. Being being proactive and supporting good causes should matter to everyone. What if no one stood up against Hitler? What if your mutual fund manger bought millions of shares in a corporation that was known for dumping toxic waste in foreign countries and killing thousands? Would it matter? In the early days of the abolition movement in both England and America, it matter that some refused to support Slavery, and by not investing into those Trading Companies that permitted slavery, helped bring about the end of slavery.

You as investor can and will be empowered by engaging in the screening process for your values. You will have the satisfaction of knowing that you are only supporting the industries and companies that you value and believe are helping our society. This will result will be greater joy and peace.

Believe your own feelings and ignore the financial services response to the question of screening your portfolio for your values. When you hear the advertisements for custom investments, find out if the company will screen, clean and pick a portfolio to reflect your values that you state are most important to you or your organization. This is especially important for investment trustees of foundations and non-profits.

Screening matters to those with values that matter. Stewardship of resources does matter and directing a tool like your money and investments will be a vote for your values. Just like medical screening what we do next with the information determines the impact.

Does God Care Where I Invest?

Another question to consider is can we serve others in how we invest money or spend money?

If you had an opportunity to invest with a friend and they told you about the potential returns and they were involved in the investment and all the numbers sounded good to you would you invest? Now, suppose they mentioned to you this was a business that promoted pornographic materials or it violated environmental laws, but because it was hosted in another country it is legal.

Does it matter how you invest is a question that has been around a long time but rarely gets serious attention. The Quakers in late 1700′s refused to invest into the slave trade. The Methodist also have not only avoided slavery, but other concerns like pollution, excessive interest charged and gambling.

Does it matter if we support a business that is know for doing harms to others? Does it matter not to speak up when an employer is violating pollution laws? Does it matter when we invest into a mutual fund that buys into vices and profits from companies that in fact use slaves in 3rd World Countries and damages the environment? Does it matter for a pension to invest into businesses that profit in gambling, and other moral issues like pornography?

Think back if there was ever a time when you were offended by a business owner and vowed not to do business with them again over conflicting values? Or perhaps you’ve read some disturbing news on a business and decided to not darken the doors of that establishment?

It did matter for several to speak up for slaves in North America and was part of the reason for civil war here along with taxes and miss aligned expenses and fees levied on South to support the North. Pressure on investments in slavery was part of the making it right and ending slavery here. Lincoln the movie did not address the money side of slavery but was amazing for the close captions and great drama to make us feel like we were transported to the era. Currently there are many groups that advocate for the voiceless or unrepresented. GMI Ratings is one of those groups looking at social issues, environmental issues. BRII is a group looking at moral breakdowns in corporations and even what types of charitable contributions a corporation made. MSCI is a major global power house when looking at screening global corporations. There has never been in the history of the world more eyes and resources addressing morals, social and environmental issues.

Consider screening your values inside your investments and then cleaning them up as well. It is a very small number of companies that violate the values of most investors. There is a disproportionate of the violators that are large corporations compared to smaller sized corporations. Ask your advisors if they have a way to screen your mutual funds or other holdings?

Does God care how you invest? I think you can find the answer to that one on how you did with the questions above. I have posted a You Tube Video to educate viewers on what is screening and how does it take place called Screen It Clean It.

Screen It and Clean It

Screen It Clean It

I recently was asked to explain what investing with values means to investors? My reply,”do less harms in the values important to you is part and the other part is seeking to align with profitable corporations that are well run with qualities you like and would be proud to be associated with or even enjoy a meal together.”

There are 51 million households in America and some $11 Trillion invested and some $3 Trillion is in stocks. Mutual Funds make up a significant portion of investments today and corporations will listen to both individual investors and money mangers as they raise questions of concerns related to environment, social and moral issues. While many of the larger charities do some form of screening and many governmental pension have to per Patriot Act. On the other hand mutual funds rarely connect the dots of individual values and investing.

I have a 6 minute video on Screen It and Clean on You Tube videos. There is not one evaluation or screening service that gets everything perfect. We have utilized three different services for different approaches and needs in the screening process. One of our service evaluation screens does a very fine job on social and environmental but lacks greatly on some moral issues. Another program does rather good job of screening moral issues but misses the mark on the actual holdings of some mutual funds. The real surprise is when we screen the funds that claim to be restricted and align with certain values only to find major differences in how screening takes place and the level of evaluation.

What is the end result for most? Most are pleasantly surprised there are not many corporations that are causing harm, however some are causing a lot of harm. For example, one Catholic values screen fund looks at the Russell 3000 index and only 150 of these 3000 corporations are doing harms against Catholic values fund screen. It is important to be clear on your values and what is being screened and how and how the process cleans up harms. Negative screening is only baby steps towards purposeful investing. Advocates and proxy voting and selection based on corporations that align with your personal or organizations values has other benefits. Be true to yourself and know what you own.

You could also check out some video’s I did in 2011 called the 5 Myths on You Tube as well.