Business Administration & Management Mr. Bernstein Financial Advisors and Financial Planners June 1, 2015

Business Admin & Management Mr. Bernstein Financial Advisors and Planners Advise clients on how best to save, invest, and grow their money May specialize in one aspect of clients’ financial lives, such as retirement or estate planning, or may provide lifelong general advice May work in teams or as individuals 2

Business Admin & Management Mr. Bernstein Financial Advisors and Planners No longer “stockbrokers” but may have some expertise in selecting securities, ETFs, mutual funds or other investment vehicles Should have strong ability to advise clients on appropriate asset allocation and risk management practices for their goals and life situation Are usually not: Accountants or tax advisors Insurance agents Mortgage brokers …but often have some expertise or contacts in that area 3

Business Admin & Management Mr. Bernstein Financial Advisors and Planners May be paid a commission when you purchase products May be fee-based – charge a percent of assets regardless of activity or assets owned Both methods of compensation have conflicts of interest Can accept fiduciary responsibility 4

Business Admin & Management Mr. Bernstein Financial Advisors and Planners Help busy clients focus on non-financial aspects of their lives Help clients stay disciplined in their financial management and avoid undue risks 5

Business Admin & Management Mr. Bernstein Financial Advisors and Planners “DB” (Defined Benefit) plan members will receive set amount of money from their employers when they get to retirement age “DC” (Defined Contribution) plan members select investment alternatives individually, and at retirement the amount of money available is dependent on investment performance over the years Most corporations have discontinued DB plans The large majority of Americans in high school today will need to manage their own retirement assets…or… 6