FALL2020
Meet the Watermark Wealth Strategies team:
In their own words Carmen G. Cercone, CEP “I’m a big proponent of not putting the cart before the horse and my belief that having your financial house in order starts with a comprehensive estate plan, ensuring your beneficiary designations are current. Having an up-todate Health Care Power of Attorney, Living Will, as well as Durable Financial Power of Attorney. These vital documents can be found in a proper Estate Plan, including a Living Trust or executed individually. Arizona offers a Beneficiary Deed for our homes, which passes our property to named beneficiaries at death, completely avoiding probate for as little as $30 and the same deed for our automobiles, which has no cost. A comprehensive trust can transition an entire estate to heirs without probate, ensuring a seamless transfer to beneficiaries protecting them from divorce, litigation, creditor and future estate tax. Most clients have concerns about passing large sums to their heirs, who will handle their financial affairs if they are not able, and most importantly protecting the money they worked hard for when it transfers to their heirs. Our goal every day is to alleviate a concern or fear our clients have so they leave our office with peace of mind and can travel more, spend more time with children and grandchildren, volunteering or whatever activity gives them a higher quality of retirement.”
Carmen G. Cercone (left) and Jake Cercone (right).
Jake Cercone, AAMS Jake Cercone entered the business nine years ago and provides trust and retirement advice to more than 150 clients, as well dealing with the children and grandchildren of Watermark’s present clients. Most importantly, he provides a legacy link to take care of and steward the financial and estate plans for generations. “Once these vital estate steps are completed, clients can look forward to developing comprehensive investment and retirement planning without the concerns of how and when the assets pass to their heirs.. Keeping Estate Plans current is as important as establishing them, we provide over 120 complimentary updates to trusts annually. This feature has played a key role in the fact that we don’t ask our clients for referrals but receive them over 30 times a year. Our staff is dedicated to personal interaction with our clients, no 1-800 #’s, automated phone system, or robotic planning or service. We field on average 25 personal phone calls per day and as many e-mails; no one should ever have to wait or not have access to their advisors and staff on a daily basis.”
Sara Gordon (left) and Aaron Gordon (right).
Sara Gordon, Practice Manager Aaron Gordon, Partner, MCEP, CFP Aaron Gordon joined Watermark in 2012 and has 22 years of experience in the industry. Aaron and Sara believe that treating clients like members of their family is the key ingredient in their financial success. Aaron is a strong believer in establishing and facilitating estate planning before entering into a financialplanning role. “Most of my clients have expressed concern over the COVID-19 pandemic and November’s election. Establishing and managing a well deployed, well thought out, diverse financial plan inherently takes into consideration the bumps in the road as well as
unexpected hurdles that in many instances cannot be forecasted. The one-size-fits-all is not part of any well thought out planning, just as small, medium and large don’t properly encompass the diverse range of individual clients concerns or objectives. COVID-19 brought record volatility and concern to the market and client portfolios, but a properly diversified portfolio based on the individual risk tolerance aptitude of each client’s personal objective was the best course of action. We have made adjustments and course corrections along the way but have found an open dialogue sometimes daily was a relief to our clients. I found that much
like the 2008 financial meltdown, being available at any time was the key to alleviating my client’s fears. We have also taken on clients from other firms who could not reach or talk with the investment counselors or talked to different representatives without a cohesive plan or continuity that became the major point of discontent. Top-down planning, third-party money managers and portfolio algorithms will never instill more confidence than the ability of a personal financial advisor, who knows the client relationship firsthand and can make necessary adjustments immediately.” While the ease of using these methods for advisors is less labor intensive, taking responsibility for the success or the sometimes the failure of performance should be the personal responsibility of the advisor you sit with vs. a third-party removed. I believe this is true of the November election, which is on every client’s mind and is at the top of their concerns. While trying to predict market trends and performance is always difficult, trying to find consensus on this point in 2020 is almost impossible. We have found that whatever our clients’ fear or concern, whether unprecedented or not, is the top priority. If they’re concerned, we address that concern and lower their risk or redeploy their assets to make them feel more comfortable. I am a proponent of planning for my clients’ needs for more income in the GO-GO years, adjusting for less income in the SLO-GO years, and further adjustments for the NO-GO years. Having the proper amount of income when you need it is the most essential aspect to retirement planning.”
Experts at Watermark demystify the investment process Smart Choice / continued from cover
By the numbers
Watermark Wealth Strategies provides financial advice for more than 3,500 Arizonans, and trust services for more than 2,500 Arizonans. The firm manages more than $1.1 billion in assets and has five certified financial planners, and three certified estate planners on staff, with offices located in Scottsdale, Chandler, Payson and Minnesota. Cercone’s financial experience dates back to 1979. He attributes the firm’s success to treating every individual’s needs and objectives as their own, and not painting everyone with the same brush.
Customizing to your needs
Every family and individual has a unique set of circumstances and concerns, and each set of circumstances is treated independently and customized for these needs. As Watermark Wealth Strategies is independently owned, it serves its clients’ interests only.
Managing clients’ needs is Watermark’s No. 1 priority. They do not have cookie-cutter, off-the-shelf portfolios with top-down planning from Boston, New York, Chicago or Los Angeles. Their planning strategies are developed individually for every client, considering the individual client’s needs, goals and specific concerns. “ Watermark Wealth’s portfolio solutions are geared towards tax efficiency, risk tolerance and input from our clients,” Cercone said. “ We talk with our clients in an open dialogue vs. talking at our clients.”
Trust planning
The company’s trust planning is structured to deal with real-life concerns and fears, and a sound alternative to trust mills who use this critical process as nothing more than a way to sell indexed annuities or long-term care insurance. Watermark Wealth is also an economical alternative to the high-cost trust plans abundant in the state. “Ninety percent of our clients are post- or preretired; our firm’s focus is directed at investments,
planning and instruments dealing with these issues.” Cercone said.
Client interaction
“It is Watermark Wealth’s philosophy to be in constant interaction with our clients,” Cercone said. “In the pre-COVID days, we typically had seven client education and themed social functions per year, including gourmet chocolate and wine tasting, Monte Carlo Night, Halftime Report, and an annual Holiday Party. Our office was designed to host events for 200-plus attendees.” The realities for today’s investor are much different than years ago. A married couple retiring in 2020 can expect a joint life expectancy of almost 30 years! “ This involves planning for the three retirement phases encompassing the GO-GO, SLOW-GO, and NO-GO years. It is possibly the most overlooked yet crucial planning experience,” Cercone said. “ We want you to enjoy the fruits of your hard work in retirement.”
