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What are Qualified Opportunity Zones? with Ray DeSantis of Redbrick LMD (Ep. 34)

What are Qualified Opportunity Zones? with Ray DeSantis of Redbrick LMD (Ep. 34)

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Are you facing a significant capital gain but looking for ways to potentially reduce the tax burden? Tune into this episode to learn about a bipartisan initiative that aims to stimulate economic growth in distressed communities and provide tax incentives to investors that meet certain requirements.

In this intriguing episode, host Jim McGovern invites Ray DeSantis, Managing Director of Capital Markets at Redbrick LMD, to unpack the growing significance of Qualified Opportunity Zones, or QOZs. With nearly 25 years of financial industry experience, Ray provides invaluable insights into how these zones are not only transforming distressed communities but also offering unique tax incentives for investors that meet certain requirements.

Throughout this episode, Jim and Ray discuss: 

  • The essentials and origins of Qualified Opportunity Zones
  • Why they may be attractive for those eyeing significant capital gains, but also have a long-term horizon, a desire to invest in real estate, and low liquidity needs
  • Discover the dual benefits (tax incentives and positive community impact) of investing in QOZs
  • Gain insights into why some real estate investors are ditching the 1031 exchange cycle in favor of QOZs
  • And more!

Resources:

Connect with McGovern Wealth Group:

Connect with Ray DeSantis:

About Our Guest:

Ray DeSantis is the Managing Director of Capital Markets at Redbrick LMD, where he leads investor relations and capital-raising efforts. Prior to Redbrick, he served as Vice President at the CIM Group, focusing on Registered Investment Advisors (RIAs) and Family Offices. He also has experience raising capital for Resources Real Estate’s non-traded REIT and Limited Partnerships. Ray holds an MBA from Bryant University and a degree from Saint Anselm’s College. His expertise spans capital markets, real estate, and tax-advantaged investment opportunities like Qualified Opportunity Zones.

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High Earners, Low Coverage: Solving the Income Protection Gap with Tasha Jo Hill (Ep. 33)

High Earners, Low Coverage: Solving the Income Protection Gap with Tasha Jo Hill (Ep. 33)

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Higher earning individuals are often left underinsured and shocked by the limitations of group disability policies. How confident are you that your income is optimally protected in the event of a disability?

In this episode, Jim McGovern welcomes Tasha Jo Hill, a seasoned expert in disability income planning and the Director of Income Protection Strategies at Lifetime Financial Growth, LLC. Together, they shed light on misconceptions with common group disability insurance policies, and identify the gaps that widen as income levels increase. 

In this episode, Jim and Tasha will:

  • Uncover often-overlooked misconceptions about disability insurance
  • Discover whether or not your current disability insurance truly covers your full compensation
  • Learn what constitutes a partial disability and reveal the essential role of supplemental insurance in bolstering this coverage
  • Explore how owning a disability insurance policy can be a safeguard to financial stability, particularly during employment transitions
  • Discover simple yet powerful strategies that can provide high quality coverage at a steep discount, without the typical medical underwriting challenges.
  • Explore specialized strategies for higher-income earners to ensure comprehensive protection
  • And more!

Resources:

Connect with McGovern Wealth Group:

Connect with Tasha Jo Hill:

About our guest:

Tasha Jo Hill serves as the Director of Income Protection Strategies at Lifetime Financial Growth, boasting over two decades of expertise in disability income planning. Dedicated to safeguarding individuals’ ability to earn, Tasha crafts personalized protection strategies, whether complementing existing benefits or as stand-alone safeguards. She is steadfast in her commitment to client excellence, educating and empowering a diverse clientele to secure their financial futures against unforeseen life events.

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The State of the Economy and the Financial Markets with Mike Trudel, CFA, JD (Ep. 32)

The State of the Economy and the Financial Markets with Mike Trudel, CFA, JD (Ep. 32)

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Ready to untangle the web between the Federal Reserve, Big Tech, and your investments?

In this episode, Jim McGovern from McGovern Wealth Group sits down with Michael Trudel, CFA, JD, Managing Director and Global Strategist at BlackRock, to explore the complexities of today’s markets – from the U.S. economy’s surprising resilience to the tech sector’s influence on the stock market this year. Armed with over two decades of industry experience, Mike offers an insightful, well-rounded perspective on the economy and what’s been the financial markets.

Throughout this episode, Jim and Mike discuss:

  • Why the U.S. economy is showing resilience despite Federal Reserve actions
  • How the major tech companies are driving stock market gains
  • How the corporate inventory restocking contributes to positive growth in GDP
  • The earnings outlook in the recent years compared to the past
  • The rising interest rates and their impact on the overall stock and bond market 
  • The economic picture outside of the U. S. and how things are looking around the world
  • An overview of the bond markets and what investors could expect in the future
  • And more!

Connect with McGovern Wealth Group:

Connect with Michael Trudel:

About our guest:

Michael Trudel is a seasoned financial expert with a dual background in law and portfolio management. Michael is a Chartered Financial Analyst and Managing Director at BlackRock’s Global Allocation team. With over two decades in the industry, he’s an authority on macro strategy and portfolio analysis, having previously served at Merrill Lynch and the Bank of New York. Armed with multiple degrees, including a cum laude JD and an MBA, Mike offers a well-rounded perspective on global financial trends.

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Hedging Risk in a Concentrated Stock Portfolio with Eric Metz, CFA of SpiderRock Advisors (Ep. 31)

Hedging Risk in a Concentrated Stock Portfolio with Eric Metz, CFA of SpiderRock Advisors (Ep. 31)

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Are you an investor with a large amount of money in just a few stocks? Are you concerned about how to protect against a decline in the stock, but also reluctant to diversify due to significant tax consequences? Are you curious about ways to continue to hold the stock while at the same time have a tax-efficient way to reduce risk in such a concentrated position?

In this episode, Jim McGovern talks to Eric Metz, CFA, President and Chief Investment Officer from SpiderRock Advisors, offering insights for those aiming to protect the wealth they’ve created.

Throughout this episode, Jim and Eric discuss:

  • How SpiderRock Advisors creates solutions designed to help maintain and safeguard wealth by using options strategies
  • How technology has enabled SpiderRock to solve complex problems with scalability for financial advisors and their clients
  • How derivatives can help generate income, provide downside protection and strategically manage risks
  • How SpiderRock’s strategies can minimize tax implications commonly associated with diversifying a stock with low cost basis
  • The importance of communication and customization at the core of investment management 
  • And more!

Resources:

Connect with McGovern Wealth Group:

Connect with Eric Metz:

About our guest:

Eric Metz is President and Chief Investment Officer at SpiderRock Advisors, key driving force behind SpiderRock Advisors’ investment strategies. With a career that began on the trading floors of the CME and CBOE, Eric went on to manage mutual and hedge fund assets at RiverNorth Capital Management. Prior to that, he was a senior trader at specialized firms like Ronin Capital and Bengal Capital.

Educationally, he holds a Magna Cum Laude B.S.E. and an M.S.E. with honors, both in Industrial and Operations Engineering from the University of Michigan. He is also a CFA Charterholder and a board member of the OIC Institutional Advisory Council. Eric’s blend of practical experience and academic excellence make him a key asset in the realm of investment management.

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Trust Companies vs. Individual Trustees: Which Is Right for Your Special Needs Trust? Discussion with Dan Ehrmentraut of Capital First Trust (Ep. 30)

Trust Companies vs. Individual Trustees: Which Is Right for Your Special Needs Trust? Discussion with Dan Ehrmentraut of Capital First Trust (Ep. 30)

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Supplemental Needs Trust is an often-underrated game-changer, paramount for enhancing the quality of life for individuals with special needs.

In this episode, Jim McGovern talks with Dan Ehrmentraut, Senior Vice President of Business Development at Capital First Trust, about the ins and outs of Supplemental Needs Trusts. Together, they dive into the world of trust management, debunking common misconceptions, and shedding light on how these tools can protect assets and qualify individuals for essential government benefits.

Throughout this episode, Jim and Dan discuss:

  • The definition of Supplemental Needs Trusts, their key benefits, and who can benefit from them 
  • How a trust can qualify an individual for government benefits while protecting other assets 
  • The crucial role of estate planning in preserving the beneficiary’s access to resources and eligibility for benefits 
  • The reluctance of many corporate trustees to administer special needs trusts, and how Capital First Trust fills this gap 
  • And more!

Resources:

Connect with Dan Ehrmentraut:

Connect with McGovern Wealth Group:

About our guest:

Dan Ehrmentraut is a seasoned expert in trust management with an illustrious career in both law and finance. Holding a J.D. from the University of New York at Buffalo and admitted to the New York Bar in 1984, Dan carries a wealth of experience and knowledge. Over two decades, Dan worked his magic in traditional bank trust departments, navigating roles as Trust Officer, Regional Trust Manager, Supervisor of Trust Tax and IRA, Sales Manager, and Department Head. His journey took him further to the doors of several large financial service companies, playing significant roles in business development.

In 2013, Dan joined Capital First Trust Company, expanding its directed trustee presence across various financial and legal landscapes. His vast experience and knack for details have led him to successfully work with numerous financial advisors on complex estate plans, integrating the benefits of a directed trust structure for wealthy clients.

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Retaining Key Employees with Non-Qualified Retirement Plans, Part 2 with Thomas Wyatt, JD, CFP® (Ep. 29)

Retaining Key Employees with Non-Qualified Retirement Plans, Part 2 with Thomas Wyatt, JD, CFP® (Ep. 29)

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For any business owner, losing key employees can be costly and disruptive. Retaining top-performing employees is crucial not only for growing your bottom line, but also for maximizing your enterprise value when it’s time to exit the business.

In the previous episode, we talked about qualified retirement plans. Today, we will discuss non-qualified retirement plans, which serve as an effective incentive to retain talent while simultaneously enabling your business to realize tax savings!

Join Jim McGovern and Thomas Wyatt, JD, CFP® and President of our Columbus office, in this two-part series as they share meaningful insights into various non-qualified deferred compensation plans, and their benefits for both the employer and employee.

Jim and Thomas discuss:

  • How non-qualified retirement plans differ from qualified plans
  • How Section 162 Executive Bonus Plans help retain employees for over a decade (and why they are easy to set up) 
  • A simplified explanation of split-dollar life insurance plans
  • Understanding Supplemental Executive Retirement Programs, which serve as “golden handcuffs”
  • How to reward employees without diluting your ownership using phantom stock plans
  • And more!

Resources:

Connect with McGovern Wealth Group:

Connect with Thomas Wyatt:

About our guest:

Thomas Wyatt, JD, CFP® is a highly skilled Certified Financial Planner, Professional based in Columbus, OH. With a strong focus on assisting businesses, business owners, and individual clients, Thomas has dedicated his career to helping them achieve their financial goals through effective and efficient tax-favored strategies.

Throughout his professional journey, Thomas has specialized in various areas, including Profit Sharing, 401(k) plans, Defined Benefit plans, Non-Qualified Deferred Compensation Plans, and essential employee benefits. By implementing these strategies, he empowers his clients to attract and retain talented individuals while maximizing tax advantages.

Recognizing the significance of individual financial aspirations, Thomas also works closely with individuals to help them shape the future they desire. Through comprehensive planning and personalized strategies, he assists clients in realizing their dreams and securing their financial well-being. With his extensive knowledge and unwavering dedication, Thomas Wyatt, JD, CFP® is a trusted financial partner committed to empowering businesses and individuals alike on their journey toward financial success.

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Retirement Planning Essentials, Part 1 with Thomas Wyatt, JD, CFP® (Ep. 28)

Retirement Planning Essentials, Part 1 with Thomas Wyatt, JD, CFP® (Ep. 28)

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In this two-part series, we’ll be covering qualified retirement plans in Part 1 and non-qualified retirement plans in Part 2. If you’re a business owner, these episodes are a must-listen, as they provide valuable insights into retirement income planning, plan designs, limitations, and how to administer them for maximum tax savings.

In part 1, we provide you with important information for navigating qualified retirement plans. Thomas Wyatt JD, CFP® and President of our Columbus office, will guide you through the complexities and help you make informed financial decisions for your business.

Here’s what you’ll learn in Part 1:

  • Understanding the intricacies of pre-tax IRAs and Roth IRAs, including income limitations and contribution rates
  • Exploring the benefits and limitations of SEP IRAs for small business owners and how they differ from traditional IRAs
  • What Simple Roth IRAs are, and how they compare to a 401k
  • Strategies for business owners on how they can design their 401k plans based on their business goals
  • What the 412(e)(3) plan is, and how it differentiates from other retirement plans
  • And a whole lot more!

Connect with McGovern Wealth Group:

Connect with Thomas Wyatt:

About our guest:

Thomas Wyatt, JD, CFP® is a highly skilled Certified Financial Planner based in Columbus, OH. With a strong focus on assisting businesses, business owners, and individual clients, Thomas has dedicated his career to helping them achieve their financial goals through effective and efficient tax-favored strategies.

Throughout his professional journey, Thomas has specialized in various areas, including Profit Sharing, 401(k) plans, Defined Benefit plans, Non-Qualified Deferred Compensation Plans, and essential employee benefits. By implementing these strategies, he empowers his clients to attract and retain talented individuals while maximizing tax advantages.

Recognizing the significance of individual financial aspirations, Thomas also works closely with individuals to help them shape the future they desire. Through comprehensive planning and personalized strategies, he assists clients in realizing their dreams and securing their financial well-being. With his extensive knowledge and unwavering dedication, Thomas Wyatt, JD, CFP® is a trusted financial partner committed to empowering businesses and individuals alike on their journey toward financial success.

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Unlocking Retirement Security: How Annuities Can Help Protect Assets and Guarantee¹ Lifetime Income, Part 2 (Ep. 27)

Unlocking Retirement Security: How Annuities Can Help Protect Assets and Guarantee¹ Lifetime Income, Part 2 (Ep. 27)

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In the second part of this two-part series, Jim McGovern discusses how annuities can help provide a secure “retirement salary” that cannot be outlived¹ and how to help position other assets to serve as a “bonus” component for retirement spending. Jim discusses some of the challenges retirees face when relying solely on market-based investments, limitations of the popular “4% Withdrawal Rate” concept, and different ways annuities can be structured to meet income, investment, risk, and protection objectives in retirement.

Jim discusses:

  • Why it is important to have a reliable source of guaranteed¹ lifelong income in retirement
  • The potential consequences of relying solely on market-based investments
  • The different types of annuities that provide guaranteed¹ lifetime income and some of their key features
  • Addressing the worry of retirement savings earning a poor return (and how to mitigate this risk!)
  • Other uses for annuities besides investing and retirement income
  • The fees and penalty withdrawals considerations for annuities
  • How to know which income strategy you should use in retirement according to your unique goals and objectives.
  • And more

 

1All guarantees including the death benefit payments are dependent upon the claims paying ability of the issuing company.

Resources:

Connect with McGovern Wealth Group:

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Unlocking Retirement Security: How Annuities Can Help Protect Assets and Guarantee¹ Lifetime Income, Part 1 (Ep. 26)

Unlocking Retirement Security: How Annuities Can Help Protect Assets and Guarantee¹ Lifetime Income, Part 1 (Ep. 26)

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Whether you’re new to annuities or seeking to enhance your retirement income strategy, this episode offers valuable insights to support your financial journey.

In this episode, Jim McGovern uncovers the potential advantages of annuities. Join us as we explore annuities and understand the need for retirement protected asset growth and protected lifetime income.

Jim covers the following topics:

  • What annuities are and some of the key advantages of using annuities as a means of growing retirement assets compared to other investment options
  • How index-linked annuities offer some protection against market fluctuations compared to variable annuities or traditional Mutual Fund Investments
  • How index-linked annuities help address market fluctuations and may provide a hedge against inflation
  • Breaking down annuities into two different phases
  • The limitations including loss of access to principal and other factors that individuals should consider before deciding to invest in annuities to help with retirement asset growth and protection
  • And much more!

Resources:

Connect with McGovern Wealth Group:

1All guarantees including the death benefit payments are dependent upon the claims paying ability of the issuing company and do not apply to the investment performance of the underlying funds in a variable annuity contract. 2023-156764

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Alternative Investments for a Diversified Portfolio with James Costabile, CAIA (Ep. 25)

Alternative Investments for a Diversified Portfolio with James Costabile, CAIA (Ep. 25)

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Alternative investments can be a very attractive option, but it’s critical to consider the requirements each individual should meet and the risks involved before entering the space.

In this episode, Jim McGovern speaks with James Costabile, Managing Director and Head of Alternatives Distribution on iCapital’s Private Wealth Solutions team. James gives a broad overview of the alternative investing space. He details the pros and cons of private equity, private credits, real estate, infrastructure, and hedge funds as options for investors.

James discusses:

  • The background and mission of iCapital and their focus on teaching clients and advisors about alternative investments
  • An overview of the private equity space, its importance in iCapital, and a comparison with the public sector
  • Different options available for investors in private equity 
  • Benefits and risks to consider before entering private equity space
  • The differences in liquidity between open-ended mutual funds, closed-end registered funds, and unregistered private funds
  • Private credit investments, with an emphasis on careful credit analysis and selectivity in lending
  • Why companies prefer getting funds via private credit rather than the traditional bonds
  • How real estate fits into a portfolio, which offers diversification and durable yield
  • The different types of hedge funds and how they can fit into a portfolio
  • And more!

Resources:

Connect with James Costabile:

Connect with McGovern Wealth Group:

About our Guest:

James Costabile is a Managing Director and Head of Alternatives Distribution on iCapital’s Private Wealth Solutions team. He oversees a team of regional sales and national accounts professionals that work with top registered investment advisors, financial advisors, and financial intermediaries. He and his team deliver industry-leading alternative investment education, research viewpoints, and investment capabilities across hedge funds, private equity, private credit, and real estate strategies. 

James brings more than 25 years of financial services experience and began working with alternative investment strategies in 1997. Over this time, he has held roles across sales, marketing, and product management at Citi / Smith Barney, Merrill Lynch and most recently, Morgan Stanley Investment Management. He graduated from Fordham University with a Bachelor of Science, holds FINRA Series 7, 24, and 66 licenses, and is a CAIA charter holder.

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