Van Der Noord Financial Advisors

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The Value of Advice - Revisited

Several years ago, Vanguard published groundbreaking research that quantified the value of advice. According to their findings, following certain best practices resulted in approximately 3% more performance compared to not adopting those practices. Now in a new study, Vanguard has quantified the emotional value of a healthy Advisory relationship.
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Three-Dimensional Planning

THREE-DIMENSIONAL PLANNINGI started in this profession close to forty years ago (1982-2020). In all that time, nearly every financial plan I have ever seen – or written for that matter - exists in a single dimension. Comprehensive planning should incorporate a multi-dimensional approach. We suggest no less than three stages- or dimensions. Falling short of this standard could call into question an Advisor’s adherence to the Fiduciary Standard of care.
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A Financial Wake Up Call

A colleague shared a recent experience that we can all learn from… “It was a hot, muggy summer Friday in Atlanta, and I decided I wanted to donate blood.They wouldn't let me.Let me back up a bit . . . I was deep into one of those corners of the internet reading about problems caused by excess iron in your blood. And while I'm not sure how big a problem it is, or if it's a problem at all, one of the recommended solutions was to donate blood. So I figured, why not?
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When I am 100 Years Old

When I am 100 Years Old This has been making the rounds on social media so we would not be surprised if you have already seen this essay. Nevertheless, it struck a chord with us and we wanted to share it with you all. We do not know what grade she is in, but Emma Knight (no relation to our Erica Knight) hits a home run with her grade school essay.
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Living your BEST life and Cybercrime

The Wall Street Journal (June 5, 2019) contained a special section dedicated to Cybersecurity- a topic that only a short time ago was not something we had to deal with, but which is fast becoming THE single biggest issue  for any business owner and consumer. Cyber crime costs the US economy over $100 billion annually and $600 billion globally. That’s a lot of overhead and/or taxes that trickle down to you and me. Yet despite all this firepower being thrown at
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To Increase Wealth Simply Lower Your Costs

When Costs Go Down – Wealth Goes Up. There are two sides to the performance equation- returns and expenses. To increase performance, you can either increase returns or lower expenses. Returns are hard to control, while expenses are very easily managed. Ironically, most investors opt for the more exciting avenue of increasing their return via additional risk. Common sense on the other hand demands that the more controllable aspect of lowering expenses is the prudent route to achieve consisten
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Time-Weighted vs Dollar-Weighted Returns

Two Quantitative Methods for Measuring ReturnDollar-Weighted vs Time-Weighted Imagine; you invest $100,000.  Six months later you put another $100,000 into the same investment.  Six months after that you sell all your shares for $300,000.   After a few rounds of self- congratulation on your investment prowess you decide to calculate your return.  You know you invested $200,000 and had gains of $100,000.  Since your gain of$100,000 is 50% of the $200,000 investe
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Asking the Right Questions- WSJ 12/6/2018

On December 6, 2018, the WSJ featured a special section of the paper dedicated to helping consumers find the right financial advisor. One article in particular caught my attention and formed the basis of our blog in this issue of OUR PROCESS.
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Gaining a Better Understanding of the Legacy Goal

Without exception, no one wants to run out of money before they finish their course here on Earth. It is for this reason that the Legacy Goal is a crucial input item in the planning process. Regardless of whether you desire to leave a substantial estate to your heirs or want to spend it all while you’re alive, setting the proper Legacy Goal is one of the key elements in our planning process.
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Doing Better than Your Friends

 “ALL MY FRIENDS ARE GETTING BETTER RETURNS THAN ME.” (or “EVERYONE IS DOING BETTER THAN ME” )  Such overly generalized statements are indicative of our first hiccup in an otherwise smooth transition to Goals Based Wealth Management (GBWM). If I’ve heard this from one or two of my clients, I must assume that several more are thinking it. So, in the spirit of “cutting straight” the truth and administering an antidote to the pervasive myths
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Addressing Life Expectancy in GBWM

ADDRESSING LIFE EXPECTANCY IN GBWM  For this issue of OUR PROCESS, I want to review another equally important assumption – life expectancy. Life expectancy is relevant to the planning process because it affects duration i.e. how long the plan needs to last. To be certain, we want a plan that we build/craft for a client to last as long as or longer than they do.
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Addressing Taxes & Inflation in GBWM

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How Much Foreign is Too Much Foreign?

How Much Foreign is Too Much Foreign?The topic for this issue of OUR PROCESS came about from two current events; first, what is happening in Turkey and the possible ramifications on other Nations and second, from a book Rick just completed on China.Unlike Venezuela, what is happening in the country of Turkey matters much more not only because they are a member of NATO, but also because their economy affects many more nations than the limited regional issue caused by Venezuela’s problems. A
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