Credo Wealth Management
Founding Principal and Financial Advisor
Credo means “I believe”. We believe in supporting your heritage by empowering your legacy. We are your personal advocate with fee-only management and advice, Proverbs-based principles, proven strategies, leading technology, human expertise, and historically better performance than the average investor. Credo Wealth Management was born from a passion to help people manage their finances and enjoy a fulfilling life while creating a legacy.
Daniel Schutte founded our firm upon earning his Series 7, Series 66, and Health & Life licenses. After training to be a financial advisor with a large company, he chose to become an independent Registered Investment Advisor in order to serve clients without pressure from commissions, quotas, or restricted investment and insurance options. While Dan has been conducting market research and studying wealth management for over 15 years, he now enjoys providing this service to our valued clients with both competence and care.
Dan is currently managing budgets up to $10 million for Visa, Inc. and previously served as a Marine Corps Intelligence & Operations Officer where he managed over $50 million in assets with the First Marine Headquarters Group. As a resident of Denver, Colorado, Dan is married to his wife, Sarah, and enjoys spending time making memories as a family.
MBA, American Military University
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Welcome to Credo
Great job on maxing out your Roth IRA! You are already a step ahead of most investors your age.
If sounds like you would like some decent growth without putting too much risk into the investment.
- Ensure you are properly diversified (low-cost ETF funds are recommended)
- Get advice on a moderately allocated portfolio (debt/bond vs. equity/stock funds)
A properly balanced portfolio can include global markets but should also include a core domestic index holding.
Congrats on the sale!
If you refrain from early or unqualified withdrawals and excess contributions, you should not have to pay taxes twice.
Should your income be lower than the annual limit, you can contribute $5,500 ($6,500 over age 50) to either a traditional or Roth IRA. However, you can contribute $18,000 per year to your 401(k), which can be rolled over to a traditional IRA then back doored into a Roth IRA.
After these contributions, you could also open an individual non-retirement account to target growth and more flexibility. I would recommend a balanced ETF portfolio.
A Roth IRA with diversified ETF funds would be a great way to go. Many advisors/brokers require a larger initial investment than $1,500 to start though (Credo Wealth Management has no minimum for a managed portfolio).
After you max out your Roth IRA ($5,500 per year), you could look into some "fun"/high risk investing such as options or foreign exchange.
Remember, a good rule of thumb for "learning" venues is to only invest what you can afford to lose.
Another option is to contribute to an individual non-retirement account with a balanced ETF portfolio. This can be adjusted to a moderate allocation that appropriately mixes risk with a higher growth potential. Since the account would be non-retirement, you would not be penalized for an early withdrawal should you need additional funds for deductibles. Note that a low premium Accident (health care gap) policy can also significantly reduce your out-of-pocket costs.
Fractional shares are a great way to participate in a high priced stock without having to buy the whole share. Consider it a reduced percentage of growth, risk, and price. Another option is to invest in an ETF portfolio that incorporates fractional shares to conduct automatic rebalancing and diversification based on your goals.