ABOUT

 

Who We Are

We are a fee-only, fiduciary and independent financial planning and investment advisory firm with offices in Fairfax, Virginia. As a CPA (Certified Public Accountant) and PFS (Personal Financial Specialist) professional we have the experience, ethics and expertise to get the job done right. 

Who We Serve

We serve a variety of clients including those who are planning for retirement or already in retirement, business owners, executives, growing families and experienced investors.

What We Do

We provide comprehensive financial planning solutions to help our clients organize, grow and protect their assets. Our services include retirement, investment, estate, insurance and tax planning. 

Why Work With Us

We help our clients to simplify their financial goals, decisions and plans to achieve financial peace of mind so they feel confident in their future. Our clients are busy and work with us because they want to simplify and organize their financial lives. 

How to Get Started

We enjoy working with new families to learn more about their most important goals, needs, wants and wishes and discuss how we may be able to help. 

Charles Schwab & Co., Inc.

We use Charles Schwab & Co., Inc. as the primary custodian for your accounts. They provide innovative technology for custody & trading and are dedicated to protecting your accounts with SchwabSafe

Morningstar

We use Morningstar Office to provide you best-in-class performance reporting. Their cloud-based platform provides you access to our Client Web Portal to view your accounts, performance and analytics in "plain-language" reports. 

Dimensional

We are proud to offer you institutional investment strategies through Dimensional. Their goal is to add incremental value compared to benchmarks and peers through a robust process that focuses on keeping your costs low and reducing your tax exposure.

MoneyGuidePro

We use MoneyGuidePro to provide you collaborative cloud-based financial planning software. Their goal based planning approach helps you define and prioritize your goals, needs, wants and wishes.

Riskalyze

We use Riskalyze to help us better understand your risk profile. As your financial advisor we believe setting clear expectations in understanding your risk is one of the most important things we do.

Financial Planning

We create a thoughtful financial plan that gives you the best odds of realizing your most important goals, needs, wants and wishes. Our approach helps you focus on the things that matter most to you so you can enjoy your life more.  

Our Initial Meeting

We meet with you and take the time to get to know you and your family. We discuss your current financial situation, expectations and concerns, before and after retirement.

Build Your Plan

We build you a financial plan, based on your information and input, and our expertise, to help you make the right decisions about your future.

Review Your Plan

We meet with you to review your plan and together we agree on how you would like to proceed. We provide you an appropriate portfolio recommendation, taking into consideration your time horizon, investment objectives and risk tolerance.

Implement Your Plan 

We take care of the paperwork after your financial plan is finalized. We may set-up meetings with specialists including an estate planning attorney or an insurance professional. 

Track Your Progress

We have regular calls and meetings with you to review the progress of your plan and discuss any life changes. We make ourselves available whenever needed to review what’s on your mind and talk through how we can continue to best help you stay on track.  

Retirement Planning

Retirement Planning

If you are planning for retirement we'll provide you with a personalized financial plan and an appropriate portfolio, and advise you on the most prudent wealth accumulation strategies. If you are already in retirement we'll provide you with a personalized plan and an appropriate portfolio, and advise you on the most tax-efficient distribution strategies.

Estate Planning

Estate Planning

We review your wills & trusts and your trustees, executors & beneficiaries to make sure your estate planning documents are up to date to preserve your assets for the next generation.

Tax Planning

Tax Planning

All areas of financial planning have tax implications, and as a CPA/PFS we have the expertise to make sure you are taking advantage of tax planning opportunities.

Insurance Planning

Insurance Planning

We review your insurance policies and evaluate your asset protection, including how you own your assets, to help you protect you and your family against unforeseen events.

Business Planning

Business Planning

We review your business plan, integrate your business plan with your personal financial plan, and review your business succession plan to help you achieve your financial goals.   

Investment Advisory

It has been our experience that investment success is more likely achieved with clearly defined investment principles. Our investment principles highlight key decisions that help you effectively target long-term wealth in the capital markets. As your financial advisor we adhere to these principles and help you stay on course toward your goals. 

Our Investment Principles

 

Embrace Market Pricing

The market is an efficient information-processing machine. Each day, the world equity markets process billions of dollars in trades between buyers and sellers -- and the real-time information they bring helps set prices.   

 

Don't Try to Outguess the Market

The market's pricing power works against mutual fund managers who try to outperform the market through stock picking or market timing. As evidence, only a small percentage of US equity mutual fund and bond funds have survived and outperformed their benchmarks over the past two decades. 

 

Resist Chasing Past Performance

Some investors select mutual funds based on their past returns. Yet, past performance offers little insight into a fund's future returns. Most of the funds in the top quartile of previous five-year returns did not maintain a top quartile ranking in the following five years. 

 

Let Markets Work for You

The financial markets have rewarded long-term investors. Historically, the equity and bond markets have provided growth of wealth that has more than offset inflation. 

 

Consider the Driver of Returns

There is a wealth of academic research into what drives returns. Expected returns depend on current market prices and expected cash flows. Investors can use this information to pursue higher expected returns in their portfolios. 

 

Practice Smart Diversification

Holding securities across many market segments can help manage overall risk. But diversifying within your home market may not be enough. Global diversification can broaden your investment universe.  

Avoid Market Timing

You never know which market segments will outperform from year to year. By holding a globally diversified portfolio investors are well positioned to seek returns whenever they occur.

 

Manage Your Emotions

Many people struggle to separate their emotions from investing. Markets go up and down. Reacting to current market conditions may lead to making poor investment decisions. 

 

Look Beyond the Headlines

Daily market news and commentary can challenge your investment discipline. Some messages stir anxiety about the future, while others tempt you to chase the latest investment fad. When headlines unsettle you consider the source and maintain a long-term perspective.  

 

Focus on What We Can Control

As your financial advisor we provide expertise and guidance to help you focus on actions that add value -- which can lead to a better investment experience.

  • Create an investment plan to fit your needs and risk tolerance.
  • Structure a portfolio to pursue higher expected returns.
  • Diversify globally.
  • Manage expenses, turnover and taxes.
  • Stay disciplined through market dips and swings.

We focus on what we can control, which is to leverage the extensive body of academic research on the behavior of stocks and bonds. We believe that, in liquid markets, prices reflect all available information -- and we focus strategies on the dimensions of higher expected returns and seek to add value through portfolio design and implementation. 

Our Investment Methodology

Asset Allocation

Academic research has provided evidence that asset allocation, the selection of asset classes, which include US stocks, Non-US stocks, US bonds and Non-US bonds, and the portfolio percentage allocation to each, is the single most important element in a portfolio strategy -- and accounts for over 90% of a portfolio's performance.

Global Stock Diversification

We achieve broad stock diversification by investing in a wide range of asset classes using mutual funds and exchange traded funds, which include categories such as large company stocks, small company stocks, and real estate securities. We then follow the overall allocation of the global market by aiming for a world-market cap weighted portfolio of US and non-US stocks.

Dimensions of Expected Returns

It has been demonstrated that the size of a company influences it expected return, with the stocks of smaller companies offering higher returns than stocks of larger companies over the long run. A well diversified portfolio will have a significant allocation of smaller company stocks.

Value stocks are stocks with price-to-book ratios (the price of the stock divided by the assets of the company) that indicate they are underpriced. It has also been demonstrated that value stocks tend to outperform growth stocks in the long run. It is advantageous to overweight exposure to value stocks relative to the global market capitalization, as they are priced for higher returns.

Overweighting in small stocks and value stocks will enhance the expected return of a portfolio compared to the market. These risk premiums are not predictable over short periods of time and may persist or be absent or present during any given year.

Global Bond Diversification

Our bond allocation is designed to be the stable reserve within the portfolio. We work along several dimensions to minimize macroeconomic risks. We achieve stable optimization by investing in bonds with shorter maturities, that have a low correlation to stocks, are investment grade -- and utilize a global strategy, which includes US and non-US bonds, that hedges all currencies. 

Investing Your Money

Your money will be invested according to your Investment Policy Statement. We invest your money directly into the market if your money is currently invested. If your money is not currently invested, we utilize dollar cost averaging to reduce the risk of market volatility.

Opportunistic Rebalancing

Our rebalancing policies help to reduce risk and increase returns by capturing periodic buy-low/sell-high opportunities. It is through this disciplined approach to rebalancing we can capture the full benefits of diversification. 

Our Story

JimDavid

Jim David, CPA/PFS

Managing Member

 

Over 35 Years of Financial Experience

 

Education

Jim received his master’s degree in Taxation from Georgetown University, an MBA from the College of William & Mary, and a bachelor's degree from Cornell University.

Certifications

Jim is a Certified Public Accountant (CPA) and has also been awarded the Personal Financial Specialist (PFS) credential by the American Institute of Certified Public Accountants (AICPA).

Experience

For the last 20 years Jim has been practicing as an Investment Advisor, including most recently with David Wealth Management. Before that he was a practicing CPA for more than 15 years, specializing in individual taxation, with International CPA firms, including PwC, and with the CPA firm he founded, David & Samson.

Family

Jim and his wife, Maria Coakley David, have lived in Northern Virginia for over 35 years, where they have raised their four children, Kristin, Shannon, CJ and Michelle. Kristin and Shannon, their two oldest daughters, are married to Stephen Burch and Jacob Hampton, respectively. They are proud grandparents of Collin, Bennett & Ella Burch and James Hampton.  

Collin, Bennett & Ella Burch and James Hampton

Financial Planning & Ballroom Dancing

 

Ordinarily, financial planning and ballroom dancing aren't two disciplines you would couple together. But they are two of the most influential aspects in Jim and his wife Maria’s lives.

The pairing began when Jim gave Maria six ballroom dance lessons for Valentine's Day about 15 years ago. Jim knew Maria danced as a child and still enjoyed dancing so he thought it might be a nice way to spend some time together. Maria loved it and Jim found himself hooked as well.  

In 2014, they decided to combine their love of ballroom dancing and philanthropy and established DC's Dancing Stars Gala

DC’s Dancing Stars Gala is an annual fundraising event full of all the fun, glitz and glamour of the hit TV show Dancing with the Stars! Local DC Celebrities learn a polished choreographed routine and perform at the Gala with a professional dance partner in a competition mirroring the television show. A panel of celebrity judges along with the audience select the winner who will win the coveted mirror ball trophy.  

DC's Dancing Stars Gala has raised over $1,750,000 over the last six years for local and national charities. 

Office

(703) 560-8300

Email

JDavid@DavidWealth.com

Address

8315 Lee Highway, Suite 325 Fairfax, VA 22031