Frequently Asked Questions

Got Questions About Working with JSA?
We’ve Got Answers!

Here are a few of our most frequently asked questions. Don’t see your question here or would like more explanation? We’d love to answer your questions one-on-one. 

Who is Jacobson and Schmitt Advisors (JSA)?

JSA is an SEC-registered, full-service financial advisory and investment management firm. Our proven, integrated approach to wealth management is equally applicable to high net worth individuals at any station in life, as well as public, private and non-profit institutions, endowments and foundations. Further, we work with small businesses’ 401(k) plans and other advisors.

Why do JSA advisors invest in many of the same securities their clients do?

We believe in investment alignment. That means we would never advise an investment to a client that we wouldn’t make ourselves. As a result, we own many of the same stocks that our clients own.

How does JSA get paid?

We are a fee-only advisor. In most cases, our fees are based on a percentage of the assets we manage. We make sure our pricing is completely transparent so our clients always know what they’re paying for.

How are income taxes factored into portfolio management?

We are vigilant in selecting portfolio investments and managing each client’s portfolio in a tax-sensitive way. With the prime objective of preserving capital, at times we will advise selling a security to take the capital gain (or loss) more for investment efficacy than tax planning.

How are investment portfolios implemented?

After a thorough and detailed analysis of the client’s specific circumstances, an investment policy is constructed for the client’s review, consideration and approval. JSA’s primary goal is to be thoughtful, detailed and consistent when dealing with each client’s wealth.

How has JSA managed portfolios historically performed?

Please contact us directly and we’ll happily share our performance record with you.

Why don’t you primarily invest in mutual funds as so many other firms do?

We rely on our own research and investment process. One advantage is that process seeks to minimize the additional (and often very costly) fees that investors pay with the average mutual fund (for more on this topic, we like this US News article).

Why do you ask for outside financial information and things like Social Security, Tax Returns, etc?

A household’s net worth isn’t solely determined by its investment assets – often there are other assets like property, future social security benefits, pensions, and more. We find that not only is it typically the most beneficial for clients when they can see how all those assets work together now and in the future, but we also can often find additional ways to create value with that same “view from the top.”

As I get older, I’m supposed to invest more conservatively, right?

As a rule of thumb, this concept isn’t wrong, however the details are much more nuanced. The truth is that everyone’s situation is a little bit different.

What trading costs exist? What affects them?

Our custodians currently charge $4.95 per online equity trades. Sometimes we trade outside the U.S. in which case the trading cost varies, but is usually higher. A client’s overall trading costs will be primarily affected by the number of accounts they have and whether they frequently move money into or out of their accounts.

What if I want to manage my portfolios myself?

The evidence on self-managed assets over the past 30 years suggests that investors, in mass, consistently make poor decisions and wind up with sub-par results. But, if you can stick to a disciplined plan, then you should do it yourself. We recommend that you write a contract with yourself, and pull out that contract when you may be in a time of stress so you don’t do anything rash.

What's so great about being independent?

We aren’t beholden to selling a particular company’s investment products, nor are we being told how to invest.

Why don't you try to time the market?

Simply put, nobody’s ever figured out how to do it consistently.

My quarterly report seems like a lot of information. Do you have a guide on what it all means?

Yes. Log into your portal. On the right-hand side you should see a “how to read your quarterly report” document. Otherwise, contact us and we’ll send it to you.

How do I proceed with becoming a JSA client?

We would love to meet you and take some time to get to know you and your financial goals. We offer each prospective client a no-obligation, detailed analysis of his or her current financial situation, as well as our recommendations. This way, you’ll understand your investment position and our suggestions before we proceed.

Please schedule a visit with us!