Eric Dostal

J.D., CFP®
Personal Finance, Retirement, Taxes
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“Eric Dostal is an Advisor at Sontag Advisory an independent registered investment advisory firm that serves clients in over 30 states and acts as a wealth manager, investment adviser, consultant, and fiduciary.”
Firm:

Sontag Advisory

Job Title:

Advisor

Biography:

A believer in continuing professional development, Eric Dostal obtained the CERTIFIED FINANCIAL PLANNER™ Professional (CFP®) designation, and graduated with a JD from St. John’s University School of Law. Eric recognizes the challenges investors face when planning their retirement and therefore he helps clients retire when and how they would like. Eric focuses primarily on providing affluent and high net worth individuals with expert, comprehensive and impartial financial planning advice to help those individuals achieve their unique life goals.

After joining Sontag Advisory in 2013, Eric has worked extensively with clients over the past 4+ years to create and implement their unique financial plans. Eric has demonstrated a high degree of skill developing and overseeing the investment, insurance, retirement, tax and estate planning strategies of his clients.

Eric currently lives in Merrick, New York with his wife Jamie and daughter Madeline. When not in the office, you can often find him spending time with family and friends. He also recharges by sitting down with a good book and honing his culinary skills.

Education:

JD, St. John's University School of Law
B.A. - History, SUNY Geneseo

Fee Structure:

Fee only

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  • Eric Dostal
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April 2017
    Estate Planning
April 2017
    Debt, Real Estate, Tax Deductions / Credits
July 2016
    Financial Planning, Investing, Retirement Savings
July 2017
    Investing, Personal Finance, Starting Out
May 2017

All Answers
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    Investing, Bonds / Fixed Income, Stocks
Should I keep bonds in my portfolio if interest rates rise?
100% of people found this answer helpful

It is easy to get caught up in the daily media coverage about rising interest rates and bond returns and forget why you own bonds to begin with. Fixed income serves two equally important roles in a portfolio: 1) to provide return, and 2) to manage portfolio risk. With rates as low as they are, the expectations for short term future total-returns from fixed income are quite low. However, this is not a good reason to shift assets away from bonds and into riskier assets because it ignores the risk management and diversification benefits of bonds.

A portfolio holding a mix of high quality and diversified bonds plays a critical role in managing portfolio risk, regardless of the prospects of future returns. Predictions of interest rate movements are no better than stock market predictions. Investor's should implement a consistent, diversified, long-term allocation that can weather different types of interest rate environments and conforms to your ability and willingness to take on investment risk. If interest rates rise quickly, the value of a high quality bond portfolio will decline. However, monies are continually reinvested at the new, higher rates as coupons are paid and short-dated bonds mature. As a result of this, history has had very few multi-year holding periods of high quality bonds with negative total returns. Even during a historical period of skyrocketing rates, high quality bonds have still been far less risky than stocks.

The allocation of your portfolio will depend on your investment time horizon, financial goals, ability to take on risk, and willingness to take on risk. There is no one size fits all portfolio allocation. However, all but the most aggressively allocated portfolios have a place for a bond allocation.

March 2017
    IRAs, Taxes
How is a conversion to a Roth IRA taxed?
100% of people found this answer helpful
October 2016
    Financial Planning, Annuities, IRAs
Can I withdraw the cash value of my variable annuity and move the money to a traditional IRA?
100% of people found this answer helpful
March 2017
    Financial Planning, Taxes
How can I minimize taxes on a lump sum cash payment?
100% of people found this answer helpful
November 2016
    College Tuition, Debt, Taxes
What are the tax implications of my forgiven student loans?
100% of people found this answer helpful
September 2016