Aventail Wealth Management
Senior Portfolio Manager
Brian Ulch earned his Bachelors of Science in Accounting degree from the University of Central Florida. After working at the CPA firm, Britton and Mendez, he returned to UCF and earned his Master's in Business Administration. Brian completed Florida Graduate Trust School in 2000 and earned the designation of Certified Trust and Estate Specialist from the Institute of Business and Finance. Brian was a commercial analyst specializing in spreading financials for the citrus industry with SunTrust Bank. Over 16 years ago he moved over to the trust department at SunTrust Bank as a portfolio manager.
Prior to establishing Aventail Wealth Management he spent six years as Vice President and Trust Portfolio Manager with Citizens Bank & Trust. Brian served as the President of the Estate Planning Council of Polk County, in 2013-2014. Brian can often be heard advising to do the opposite of the masses. His number one goal is to help individuals find and maintain financial comfort.
Brian and his team seek to first understand their clients' unique goals and circumstances, and then find the solutions that meet those needs. They are local professionals that want to meet with clients face to face. They want to partner with clients and their families and help them every step of the way. Brian has extensive knowledge of trust administration, portfolio management, and estate settlement. His focus is on educating his clients and the community so together they can all make empowered financial decisions.
BS, Accounting, University of Central Florida
MBA, University of Central Florida
Yes, a lifetime annuity could definitely provide a hedge against running out of money. However, I'm quite confident just placing your entire nest egg into an annuity and immediately drawing a lifetime income would not be the most prudent route. Without knowing details it's tough to say; however, a comprehensive plan that considers aspects such as your true total expenses, possible future social security benefits, and long-term care considerations would be the wise road to take. I could see the final plan looking something like this. Set aside 20% of your investment in a liquid managed fund that you know you will exhaust over the next 6 -7 years. Invest 70% into an annuity with an attractive lifetime guaranteed income increases (there are many that are quite attractive). The remaining 10% will be placed in asset based long term care. Long term care is one of the true killers of many great financial plans. It is likely that regarding income once you reach 70 and turn on your maximized social security you will be home free to a comfortable retirement so the plan could focus on “bridging” you to that age. In answering these questions, I find myself always recommending a solution that takes an overall analysis of one’s entire financial picture. I strongly feel a truly correct answer can’t be achieved in any other way. Thank you for asking this question and I hope my comments are helpful.
All the advisors who have already contributed with answers to this question are all correct and I have no further comments on the specific ground level question about bond funds. However, I feel my contribution can come from suggesting that great value can be achieved by looking at this question at a higher level. If we move away from the security specific level and go to the overall financial well-being level one aspect of this question jumps out at me and that is the concept of risk. The question asks to avoid “risk” and I am quite certain when clients use this word they are referring to market risk and/or security risk. If that is one’s only concern regarding bonds that type of risk can be mitigated by staying in short term high quality paper.
However, allow me to point to the fact that it is always wise to consider all possible risks. Being “overly conservative” exposes investors to increases in longevity risk. Thanks to technology and medical advantage most of us are all living much longer. Longevity risk is real and should be strongly considered in making investment decisions. An investment position of only cash and safe bonds won’t hedge against longevity risk. Most likely a visit to a well-respected financial advisor that can work with you to create an overall comprehensive plan that addresses all risks and seeks to help you achieve financial comfort would suit you the very best.
Your question is a great as it’s one we as advisors get quite often. I wish you the best of luck and I hope my answer has provided you value.