Helping you achieve your personal vision based upon your individual needs, goals and risk tolerance..

Go Paperless with Your Financial Documents

New rules require Raymond James to deliver new disclosures to existing clients by June 30, including a 100-page document with details about products and services.

The Securities and Exchange Commission recently enacted Regulation Best Interest and related regulations require broker/dealers and registered investment advisers to provide existing and prospective clients with specific disclosures addressing, among other things, available account options and services, and the related potential conflicts. With this, by June 30, you will receive:

  • 1) A Client Relationship Summary (Form CRS) – A two- to four-page document with information about the types of accounts and services available and types of fees, charges and potential conflicts of interest associated with certain account types.
  • 2) A detailed disclosure booklet – An approximately 100-page booklet that provides additional detail about the topics covered in the Form CRS, as well as important information regarding available investment products and services.

When you receive these disclosures – whether via traditional mail or email – We encourage you to read them and ask questions. We would be happy to set up time to discuss. Contact our office at 440-974-0808.

These disclosures are important, and we encourage you to read them, but we often hear that clients would prefer to avoid extensive paper documents.

How can I limit the paper mail I receive?

The deadline to choose paperless delivery for the above-referenced disclosures is April 24th. If you’re already using Client Access:

  • 1) Log in to Client Access and go to Account Services > Client Tools.
  • 2) Select “I want to receive all my account documents online.”

NOTE: To receive this disclosure mailing electronically, make sure to also select the “Other Correspondence” document category for Online Delivery.

If you haven’t yet signed up for Client Access, we encourage you to consider doing so, especially in these times of limited physical contact. We would be happy to help get you set up. This secure, convenient online account access system complements the services we provide, offering instant availability of your financial information wherever you are in addition to the convenience of receiving statements and other communications electronically.

We have and will continue to act as a fiduciary in your best interest. Please feel free to contact us with any questions regarding the above changes, Client Access, your portfolio, and other financial planning needs. If you would like assistance to set up e-delivery of paperwork and statements we’d be happy to help. As always, we are here for you.

Financial Times names Randy Carver to 2020 List of Top 400 Financial Advisors

April 16, 2020 – Randy Carver, RJFS Registered Principal, and the President of Carver Financial Services, Inc. was once again named to the 2020 Financial Times list of Top 400 Financial Advisers.

The Financial Times 400 Top Financial Advisors is an independent listing produced annually by Ignites Research, a division of Money-Media, Inc., on behalf of the Financial Times (April 2020). To qualify for the list, advisers had to have 10 years of experience and at least $300 million in assets under management (AUM) and no more than 60% of the AUM with institutional clients. The FT reaches out to some of the largest brokerages in the U.S. and asks them to provide a list of advisers who meet the minimum criteria outlined above. These advisers are then invited to apply for the ranking. Only advisers who submit an online application can be considered for the ranking.

In 2020, roughly 1,040 applications were received and 400 were selected to the final list (38.5%). The 400 qualified advisers were then scored on six attributes: AUM, AUM growth rate, compliance record, years of experience, industry certifications, and online accessibility. AUM is the top factor, accounting for roughly 60-70 percent of the applicant’s score. Additionally, to provide a diversity of advisers, the FT placed a cap on the number of advisers from any one state that’s roughly correlated to the distribution of millionaires across the U.S. The ranking may not be representative of any one client’s experience, is not an endorsement, and is not indicative of an adviser’s future performance.

Neither Raymond James nor any of its Financial Advisors pay a fee in exchange for this award/rating. The FT, Ignites Research, and Money-Media are not affiliated with Raymond James.

The Seat Belt Sign’s Illuminated: 3 Rules for Flying & Life

I earned my pilot’s license in 1986, and I have logged more than 2,000 flight hours. In flying, there are a number of rules, procedures, and axioms that pilots memorize so that in an emergency, they can act without having to overthink what to do in the moment. These simple rules can help keep us safe when things go wrong and provide guidance for life in general. As many have heard me say before, things can and will go wrong in life and with flying. The outcome is largely dependent on how we act, not on what happens to us.

“I am not a product of my circumstances. I am a product of my decisions.”

Stephen R. Covey

In the spring of 2020, as we all search for ways to adjust to the disruptions caused by the Coronavirus pandemic, we can all benefit from adopting these three guidelines.

Rule 1. Aviate, navigate and then communicate

First, fly the plane, then figure out where you are, and then communicate. It seems that with the current crisis, there are a lot of folks in the government and otherwise who are communicating without knowing where we are — and in the meantime, losing control of the situation.

Numerous aviation studies have found that many pilots get so focused on solving a problem in an emergency that they sometimes forget to fly the airplane. A very small thing cascades into a tragedy.

For example, before Eastern Airlines Flight 401 crashed in the Everglades on December 29, 1972, the pilots became so distracted by a burned-out indicator light in the cockpit that they actually flew the airplane into the ground. The axiom “Aviate, Navigate, Communicate,” teaches us to fly the airplane first, then navigate, and once the situation is under control, communicate.

As we deal with health-related, financial and other issues related to the Coronavirus, it’s important to think things through, figure out where you are and then communicate.

Rule 2. Stay ahead of the plane—never let the plane take you someplace your mind gets to first

Pilots are taught to “stay ahead of the airplane.” That means knowing exactly where you are, where you’re going at all times and what you will do next.

In life, and with wealth management, we need to have a plan, monitor our progress and then make adjustments. Things can and will change with flying and with our financial planning. We need to be proactive, not reactive when deciding what we will do next.

“When it is obvious that the goals cannot be reached, don’t adjust the goals; adjust the action steps.”

Confucius

Rule 3. Taking off is optional—landing is not

One way or another, you will be coming back down. If you don’t think you can reach your destination or land safely, don’t take off. Once you are in the air, you will be landing.

With investing, we need to assess the risk of any strategy or investment and decide if it’s consistent with our personal needs, objectives and risk tolerance. It’s up to you, the captain, to decide if you are going to take off. Once you do, then you must follow the first two rules for a successful landing.

Even with the best of planning, a flight will sometimes run into turbulence or bad weather. This doesn’t mean you won’t make it to your destination; it simply means you might be delayed or have to change your route. Bad weather and turbulence are never comfortable.

“Man must rise above the Earth—to the top of the atmosphere and beyond—for only thus will he fully understand the world in which he lives.”

Socrates

We are your co-pilots

As the markets and economy give us turbulence now due to uncertainty about the Coronavirus, the election, and myriad other factors, it’s key to have an experienced pilot and flight crew to get you to your destination safely. The trip might be delayed, and you might have to reroute your trip, but you will get to your destination safely.

Our team has more than 250 years of combined experience and has been through difficult periods before. We have developed and refined a process for wealth management that accounts for volatility; it is based on each client’s personal needs and objectives. We have state of the art technology and systems to help our team (flight crew), and we are prepared for what we are going through right now. It’s not comfortable when we hit turbulence, but we will get through it.

The seat belt sign is illuminated—the key is to stay in your seat and remain calm. We will provide updates (just like on a flight). We are here for you.

“If black boxes survive air crashes, why don’t they make the whole plane out of that stuff?”

George Carlin, Comedian

Feel free to phone us at (440) 974-0808 or email randy.carver@raymondjames.com.

For more resources on the current situation, please visit our Coronavirus Covid-19 Resources page.

The information contained in this report does not purport to be a complete description of the securities, markets, or developments referred to in this material. The information has been obtained from sources considered to be reliable, but we do not guarantee that the foregoing material is accurate or complete. Any opinions are those of Carver Financial Team, and not necessarily those of Raymond James. Expressions of opinion are as of this date and are subject to change without notice. There is no guarantee that these statements, opinions or forecasts provided herein will prove to be correct. Investing involves risk and you may incur a profit or loss regardless of strategy selected. Individual investor’s results will vary. Past performance does not guarantee future results. Future investment performance cannot be guaranteed, investment yields will fluctuate with market conditions.

Any information is not a complete summary or statement of all available data necessary for making an investment decision and does not constitute a recommendation.

Our Office is Open to Serve You

Our office is open, and we are here to serve you during the current situation. Due to the CDC recommended guidelines, we are only meeting with clients via phone or video calls. Please contact our office if you have questions, would like to schedule a meeting or if there is anything that we can do for you.

We kindly ask that you please limit visits to our office for dropping off checks and paperwork. This is for both your safety and for our team. We encourage you to mail checks or other paperwork during this time. Please also refrain from bringing in your shredding. We will be offering a shredding day once the state-wide, stay-at-home restrictions are lifted, for any shredding that may have accumulated. 

We understand some people would like to stay at home and many forms can be delivered electronically to you. Additionally, if you would like to reduce the mail that you receive, you can elect electronic delivery of documents via Client Access. Please let our team know and they can assist you. You can continue to receive paper statements while eliminating other mail if you wish to do so. 

Thank you for your understanding. We will get through this together. Please contact us if we can be of any assistance to you, your family or your friends. We are here for you!

Barron’s names Randy Carver to its Top 1200 Financial Advisors List for 2020

March 25, 2020 – Barron’s Magazine again named Randy Carver as one of the top advisors in the Nation and one of Ohio’s top three best financial advisors. Randy has been recognized by Barron’s every year since 2008.

Rankings are based on data provided by the nation’s 4,000 most productive advisors. Factors included in the rankings: assets under management, revenue produced for the firm, regulatory record, quality of practice and philanthropic work. Investment performance isn’t an explicit component because not all advisors have audited results and because performance figures often are influenced more by clients’ risk tolerance than by an advisor’s investment-picking abilities. Barron’s listed their top 1,200 putting Randy in the top 4/10th of 1% of all advisors.

To see the full listing click here.

Carver Financial Services Inc. is an independent practice. Raymond James is not affiliated with Barron’s. Neither Raymond James nor any of its Financial Advisors have paid a fee in exchange for this recognition. This recognition is not indicative of future investment performance, is not an endorsement, and may not be representative of individual clients’ experience. Barron’s is a registered trademark of Dow Jones & Company, L.P. All rights reserved.

Pandemics & Portfolios: Fear & Facts

We understand that market volatility, and uncertainty with the response to the Coronavirus (COVID-19) can be unsettling. We want to remind you that we are here for you, your family and your friends. Part of this is to provide resources to help you feel ready and safe in the days, weeks and months ahead. We will continue to provide resources via the internet, including our Coronavirus Covid-19 Resources Page and Recording of the March 12th Don Connelly event. As always, please reach out to us with any questions, concerns or if we can otherwise be of service.

There is a lot of information, and misinformation, floating around regarding the Coronavirus, the broad markets, and the economic outlook. This is a rapidly evolving situation. As always, we are here for you and your family and are happy to answer any questions and address any concerns.

Below we review some of the main questions people are asking us. Before we get into the details, our team wants to thank everyone for their kind words of support and well wishes. 

Carver Financial Services, Inc. has been in business for 30 years and has weathered many storms by keeping our focus on the well-being of our clients, our team and our community. Our firm was founded with the vision of making lives better. One of the primary ways we do that is living by the mantra of Always Be Prepared—whether in our planning, our training or our mindset. In light of the recent developments around Coronavirus, the necessity for preparedness is clear. We are doing everything possible to provide information to help you feel ready and safe in the days, weeks and months ahead.

We will continue to reach out to you for your regular reviews. These may be done in person, or if you prefer not to come in person, we can do reviews via Skype, Zoom or phone. We are closely following all guidelines and recommendations laid forth by the Center for Disease Control (CDC), the World Health Organization (WHO) and other national and local government organizations to protect our employees and those who visit our office.

Our Personal Vision Planning® process includes holding cash for near-term needs. While this can lead to a portfolio underperforming the index when things go straight up, it can help lower volatility when things go down. We believe the current market environment is offering smart investors three potential opportunities to benefit, which we discuss below.

The Stock Market Is Up More Often than It Is Down

The volatility we are seeing is not unexpected, although the speed at which it has happened is. This is why we have worked with you to have fixed income and cash available to help balance your portfolio. Our Personal Vision Planning process takes into account market and portfolio corrections like the one we are experiencing now—even though we understand that the drop in values may be unsettling.

A market correction is often defined as a 10 percent pullback from a recent peak. A bear market is a period when the market falls by 20 percent or more. Yet a correction doesn’t necessarily mean a bear market is imminent. In fact, history shows us that selloffs are nothing out of the norm. Data from the Schwab Center for Financial Research show that there have been 22 market corrections since 1974, and only four of them—occurring in 1980, 1987, 2000 and 2007—eventually ended up as bear markets.

How the Current Volatility Compares to Past Situations

The recent market volatility is attributed to concern about the Coronavirus. Although we don’t know what the human or financial impact will be at this point, we can look at other recent epidemics and the longer-term impact they have had.

The 2009–10 flu pandemic, or Swine Flu, began on March 17, 2009, in Mexico. At that time, the United States was emerging from the 2008 financial crisis. The virus peaked in this country in October 2009, before officially ending on August 11, 2010. From the start of the virus to its finish, the Dow had risen more than 40 percent (First Trust chart).

March 9, 2020, was the eleventh anniversary of the crescendo of global panic that marked the bottom of the bear market of 2007–09. There are, however, stark differences between 2008–2009 and now. In 2008, there were serious challenges to our economy with the sub-prime loan crisis. Today the economy is showing some of the best numbers in more than 50 years, on everything from unemployment to corporate profits. The recent drop in oil prices will likely help today’s situation, as will the proactive steps the government is taking to bolster the economy.

Another big difference between now and 2008, is the prevalence of social media and the increased number of media outlets, private blogs, and social media, all of which are competing for attention. This causes a lot of dramatic and often incorrect information to be put out.

Look for the Current Opportunities

One upside to uncertainty is that it can create an opportunity. Here are four facts to consider:

  1. Markets move on perceptions and uncertainty in the short run, but on fundamentals in the longer-term. We believe that the fundamentals are very strong, and this will reflect in the valuations over the longer-term. As such, the current environment can be a good opportunity to explore if it fits your individual situation.
  2. The volatility we are seeing is not unexpected; that is why we have worked with you to have fixed income and cash on hand to help balance your portfolio. Our Personal Vision Planning process takes into account market and portfolio corrections like the one we are experiencing now. Therefore, we are not recommending any major adjustments.
  3. Market corrections may provide opportunities for investors, including an opportunity to rebalance or invest at lower valuations, to make tax swaps, to convert IRAs to Roth IRAs with less tax impact on the lower valuations, and to rebalance your portfolio, if appropriate.
  4. Although there is concern about a global slowdown due to the Coronavirus, we have seen a typical pattern with other epidemics, where markets dip and then rebound significantly within 12 months. While the past does not guarantee future results, it can be instructive.

We Must Respond to Uncertainty with Calmness

The common thread between the past and the present market volatility is uncertainty—we simply don’t know where, when or how these phenomena will play out. In our experience, markets can handle bad news, but uncertainty is the one thing in this world that markets hate and fear the most. We have no control over the uncertainty, but we can and should have perfect control over how we respond to it.

Part of what drives feelings of anxiety is lack of information. Because the Coronavirus is new, many questions remain about the illness it causes. The more people learn, the better they feel. We have filled-in some of the blanks, it seems, like who it affects and how it spreads. We know who is more vulnerable and who is less vulnerable.

There have been at least four precipitants of the current decline:

  1. The outbreak of a new strain of virus, the extent of which can’t be predicted
  2. The economic impact of that outbreak, which is equally unknown
  3. The onset of a price war in oil
  4. Uncertainty about the 2020 election, both for president and also for the House and Senate

When a danger or threat is approaching gradually, it tends to be more frightening than when it shows up all at once. The good news is that, for most people, the Coronavirus is generally mild, and its flu-like symptoms of fever and cough do not last long.

We will ride this out together and stay calm. The last thing in the world that long-term, goal-focused investors like us do when the whole world is selling is—you guessed it again—sell. We understand that sometimes the inclination is to ‘stop the bleeding’ or to ‘wait for it to get better’. Ultimately this can cause far more harm than good. If you have concerns, please reach out to us. We will contact you if we feel adjustments are needed.

We Are Here for You

As always, we welcome your questions around this issue or any other matters. While we expect continued volatility in the broader markets, we also know that missing just a few of the best days has a very negative impact on returns over time. It is impossible to time markets and so we encourage you to stick with your long-term plan, while we continue to rebalance and reallocate as necessary. The mainstream media, social media and sometimes our friends will continue to focus on the negative, short-term and often speculative information. The media’s role is to sell advertising and not to inform. We will continue to provide resources and information via our website, personal calls, and planning meetings.

Thank you, our clients and friends, for being the most important part of Carver Financial Services. We are here for you and look forward to speaking with you in the near future. We recognize that the uncertainty with the spread of the Coronavirus and the current market volatility and can be distressing to many. We are also happy to speak to your friends or family, without cost or obligation, if they have questions or concerns—whether or not they are clients. We are always stronger together and look forward to working through this current situation with you.

For more resources, please visit our Coronavirus Covid-19 Resources page.

The information contained in this report does not purport to be a complete description of the securities, markets, or developments referred to in this material. The information has been obtained from sources considered to be reliable, but we do not guarantee that the foregoing material is accurate or complete. Any opinions are those of Carver Financial Team, and not necessarily those of Raymond James. Expressions of opinion are as of this date and are subject to change without notice. There is no guarantee that these statements, opinions or forecasts provided herein will prove to be correct. Investing involves risk and you may incur a profit or loss regardless of strategy selected. Keep in mind that individuals cannot invest directly in any index, and index performance does not include transaction costs or other fees, which will affect actual investment performance. Individual investor’s results will vary. Past performance does not guarantee future results. Future investment performance cannot be guaranteed, investment yields will fluctuate with market conditions.

Any information is not a complete summary or statement of all available data necessary for making an investment decision and does not constitute a recommendation. The S&P 500 is an unmanaged index of 500 widely held stocks that is generally considered representative of the U.S. stock market. The Dow Jones Industrial Average (DJIA), commonly known as “The Dow”, is an index representing 30 stocks of companies maintained and reviewed by the editors of the Wall Street Journal. Converting a traditional IRA into a Roth IRA has tax implications. Unless certain criteria are met, Roth IRA owners must be 59½ or older and have held the IRA for five years before tax-free withdrawals are permitted. Additionally, each converted amount may be subject to its own five-year holding period. Investors should consult a tax advisor before deciding to do a conversion.