Allgen Financial Services, Inc. Company News

Allgen Newsletter - 1st Quarter 2008

2008-03-27T19:47:00.001-04:00

Market Condition & Financial-Services Sector

Overall Market Condition:
There is much concern about the direction of the current market these days. A key element to consider when investing in the market is to put any moment in time into a bigger context. For example, the years 2000, 2001, 2002, were historically some of the toughest years the market endured. Some investors in the market lost upwards of 60% of their portfolio value. It was only the 3rd time in history the market saw a negative return for 3 consecutive years. Despite those tough times the resilient US market came back to reach all time highs the following years. The year 2007 was a positive year for the market; however, we are now seeing the convergence of a few negative months in the market coupled with the ongoing residential real estate crisis, political attacks, and higher oil prices. These various factors are creating a substantial negative sentiment overall with regards to market conditions. While no one knows exactly where we will end in 2008, historically speaking, election years have resulted in positive returns for the market.

How low will the market go?
Of course no one knows for certain; but, here are some indicators that guide Allgen's investment approach.

1) Even after the Bear Stearns news, the market had strong positive performance last week. (March 17th -21st, 2008)

2) Historically speaking, the market bottoms when the public and media sentiment reaches heightened levels of fear.

3) The S&P is down approximately 15% from its high in October 2007. The last 12 times this occurred the market rebounded strongly. (see chart below)

Overtime, the U.S. economy and stock market have proved fiercely resilient in spite of the numerous obstacles that they have encountered. From the ’87 crash, to the Asian crisis and Long-term Capital meltdown in the 90’s, to the bursting of the tech bubble and the September 11 attacks, the market has generally found a way to eventually overcome adversity. Although it may be difficult, we do not believe longer-term investors should let fear override a sound investment strategy.

About Charles Schwab's Financial Condition:
Many financial institutions in the financial-services sector have recently been hit hard by the subprime market. Therefore, we want to provide you some insight on how this has affected our custodian Charles Schwab & Co. Please read a recent article published in CFO Magazine by going to: http://www.cfo.com/article.cfm/10754978.

Disclaimer
Information on this site is based on data gathered from what we believe are reliable sources. It is not guaranteed as to accuracy, does not purport to be complete and is not intended to be used as a primary basis for investment decisions. It should also not be construed as advice meeting the particular investment needs of any investor. The identification of specific funds and model portfolios is being made on the assumption that an investor would participate in that investment on a long-term basis (in excess of four years). With respect to any such identification, there can be no assurance that the fund or group of funds will in fact perform in the manner suggested by the investment profile provided with that fund or group. Opinions expressed on this newsletter or Allgen’s Website is subject to change without notice and, due to the rapidly changing nature of the security markets, may quickly become outdated.

Charles Schwab's Financial Strength

2008-03-19T21:34:00.002-04:00

Orlando, Florida, -- July 10, 2007 -- Many financial institutions in the financial-services sector have recently been hit hard by the subprime market. However, Charles Schwab & Co is not one of them.

A recent article published in CFO Magazine paints the picture well for where Charles Schwab stands in the financial services sector. To read the full article, visit CFO Magazine at http://www.cfo.com/article.cfm/10754978.

Jason Martin, Senior Partner and Chief Investment Officer at Allgen Financial Services, Inc. said, "We are so glad the custodian of our client's accounts is Charles Schwab Institutional. They continue to give us and our clients the confidence needed to provide professional investment advisory services."

About Allgen
Allgen Financial Services, Inc. is a fee-only Registered Investment Advisory (RIA) firm assisting individuals and organizations better manager their retirement investments. Allgen's service offerings include: personal retirement planning and investing, active asset management for high-net-worth individuals, and company retirement benefits.

For additional information: http://www.allgenfinancial.com
Contact: James Zimbardi at zimbardi@allgenfinancial.com
Phone: (407) 210-3888

Balancing Work and Life

2007-10-21T22:15:00.000-04:00

October 16, 2007

By Colleen DeBaise
WHEN AMANDA RAAB started online jewelry business PurePearls.com in 2004, she was excited, motivated and energetic. Less than two years later, she was just plain exhausted.

"I was spending all my waking hours on this company," says Raab, who had just finished graduate school when she decided to parlay her passion for pearls into a thriving retail business. But as she gave up her weekends, vacations and sleep — and spent many hours practically tethered to her BlackBerry — she came to the conclusion "it's not fun anymore; I don't want to do it." Once so driven, she had reached the point where "you get so exhausted and so burned out, that you get uninspired and run out of ideas."

Like many entrepreneurs, Raab learned the hard way that she needed to maintain a more healthy balance between the work she loved and the personal life she neglected. Many business owners say they get "consumed" by their work, to the point where their relationships, family life and even health are compromised. And ultimately, the business begins to suffer too, as enthusiasm is replaced with fatigue and creativity is deadened by a work ethic in overdrive.

"We live in a 24/7 high-technology global work reality, where no one is going to shut it off except us," says Cali Yost, author of "Work+Life: Finding the Fit That's Right for You," and a consultant on work-life strategies in Madison, N.J. But the trouble is that many entrepreneurs aren't taught how to manage workloads while paying attention to personal needs — and don't appreciate the necessity to do so until overload happens, she says.

That was the case with Teri Hansen, who started Priority Marketing, a full-service advertising and public-relations firm, in 1992 out of her Fort Myers, Fla., home. As the business grew, it literally "took over my house," she says. By 2001, she had moved into office space and hired staff, but still hadn't taken a vacation and had nearly reached "the point of physical and emotional burnout." And then her health failed: A diagnosis of breast cancer, which she largely attributes to work-related stress, "made me completely re-evaluate my life," she says.

Now, Hansen has set numerous rules for herself. She starts each day with 30 minutes to an hour of "quiet time," where she reads, prays and gets "my heart and mind in focus." She refuses to miss out on her 15-year-old daughter's volleyball games or cheerleading competitions, even if they're in the middle of the day. And she makes sure to leave work early enough to unwind with regular ballroom-dancing sessions.

Hansen, who is now cancer-free, sees the near burnout "as a moment in my life where my perspective was put into the proper focus, and for that I am thankful." And she's found that distancing herself from work recharges her battery and ultimately helps the company's bottom line. Since she's incorporated the rules, the business has grown to 24 employees and about 50 clients.

James Zimbardi, an entrepreneur in Orlando, Fla., says he "did not know any better" when he started his first company, and worked "as hard as possible, for as long as possible" until he reached the burnout phase. "I was broken," he says. "The business took a big downturn, and my personal life took a big downturn." Five years later, he's at work on his second company, Allgen Financial Services, and this time, he's adhering to strict rules, such as not working on Sundays and making time for two new hobbies, sailing and salsa dancing.

"You're an extremist as an entrepreneur," he says. "You want to do this 24/7 — you want to eat and breathe it — because you are so passionate about it. But if you don't do these things, you see how these other plates start to fall."

Amanda Raab of PurePearls.com kicked long hours to the curb.
Zimbardi recommends that business owners take on partners, hire managers and assemble an advisory board to avoid "constantly feeling you're the only one who has all the responsibility and pressure." After burnout, he also attended a faith-based business program called "LifeWork Leadership," where he met other businesspeople with similar struggles. A support network, he says, can provide guidance through rough patches.

Social networks are an important — and overlooked — method for business owners to maintain a healthy balance, says Jeanne Hurlbert, a sociology professor at Louisiana State University who also runs OptinetResources.com, a Baton Rouge, La., firm that helps entrepreneurs build social-support systems.

While most business owners rely on professional networking to get sales leads or referrals, many neglect "social networking," or building close personal ties with people who can help them deal with stress, cope with illness or take care of family. "Networks don't just help us get ahead; they also help us get through," she says.

It's also important for entrepreneurs — especially those running start-ups — to keep evaluating their situations. Most business owners need to make "a large investment of time and energy" to get a business off the ground, and "that's OK, as long as you're consciously choosing this," says Yost, the work-life author. However, check in with yourself every few weeks or months, "and see if it's still working for you," she says. "If it's not, then you need to make some new rules."

That's what Raab of PurePearls did, after what she now calls "the big burnout." The new rules, which she believes has helped her company achieve revenue growth of 20% over last year, include a strict 9-to-5 schedule, work-free weekends, and vacations where staff must deal with any problems in her absence. Her BlackBerry is limited to emails (no Internet access) and her home computer is only for personal stuff, like online shopping. "It really does free up your mind a ton," she says.

("Balancing Work & Life," a weekly column written by Colleen DeBaise for smSmallBiz.com, advises entrepreneurs on how to better balance their lives. Write to her at cdebaise@smartmoney.com.)

Revolutionizing the Financial Services Industry

2007-07-24T17:14:00.000-04:00

COMPANY PROFILE

Contact:
James Zimbardi
Senior Partner
Work: (407) 574-4581
Cell: (407) 361-5000
(407) 574-4584
zimbardi@allgenfinancial.com
http://www.allgenfinancial.com

Orlando, Florida, -- July 24, 2007 -- Most financial advisory institutions are primarily structured to service high net worth individuals (over $1 million in liquid assets to invest). Therefore, most financial advisors are instructed to only focus on attracting and retaining clients with very large amounts of assets. Why? For a good business reason, this segment of the market tends to be the most profitable for companies in the financial services industry. However, even these firms still have a difficult time planning, advising, actively monitoring, and properly implementing changes to client portfolios. In addition, a large portion of the population who truly needs quality financial services is completely underserved.

In order to tackle this industry wide epidemic, Allgen Financial Services, Inc. has taken a radical approach to ensure both high net worth individuals and those with less than $1 million in liquid assets to invest are equally served. There are five core parts to Allgen’s strategy in its effort to change a historic industry tradition. None of these approaches by themselves are extraordinary; but, by combining them a synergy is formed to provide an experience unlike any other financial institution.

Fee-Based Compensation - In order to ensure the firm is able to act in the best interest of its clients, Allgen has decided to become a fee-based firm. As a fee-based firm, Allgen Financial Services, Inc. does not receive any commissions for selling financial products or services. The company only charge is a small percentage of its clients’ total assets under management. Therefore, if our client’s portfolio increases in value, so does Allgen’s revenues. If a client’s portfolio decreases in value, so does Allgen’s revenues. “We have a vested interest in the performance of our clients’ investments,” said Paul Roldan, a Senior Partner and Chief Executive Officer of Allgen Financial Services, Inc.

Many people only hear from their financial advisor when it is time to buy and sell financial products such as stocks, bonds, or mutual funds. There is an important self serving reason for why this occurs. Most likely, the advisor is selling commission-based products. For example, life insurance and annuities tends to yield a large amount of revenue and profit for a financial services company. This does not negate the fact these financial products can be valuable to a client’s portfolio. Commission-based advisors make money when they are conducting transactions. It is considered wasted time in the financial services industry if the advisor is not conducting transactions. However, this experience may be different for those who are in the top 10% of an advisor’s book of business. Also, in all fairness there are situations and circumstances when commission-based advising and products are necessary.

Flat Rate Fee Schedule – A core belief at Allgen Financial Services, Inc., is to treat all clients equally by not presenting different charges for different size accounts. Most fee-based firms have a sliding scale for how they charge clients. The more money a client has, the less of a percentage they pay. Instead, Allgen provides a very competitive flat rate regardless the size of the account. “On average, we charge our clients 1% of their assets. This fee structure allows us to serve all our clients exceptionally well whether they have several million in assets or several thousand” said Jason Martin Senior Partner & Chief Investment Officer of Allgen Financial Services, Inc.

Cross-Functional Financial Team Approach – At Allgen Financial Services, Inc. every client has a dedicated team of financial experts to help plan, consult, monitor, and implement their investment portfolio. Each client has an accountant, portfolio manager, financial advisor, and a client service representative assigned to them. Most financial institutions provide only one person to handle all the needs of a client. Usually, only if a client invests over $10 million dollars will most companies begin to consider additional resources.

Concentration on Retirement Investing – Most financial institutions offer an array of financial products and services to capture as many business opportunities as possible. However, even though this approach would benefit those who are looking for a one stop shop for all there financial needs, it is very difficult for any financial institution to effectively offer the overwhelming amount of options available. Typically, a sacrifice has to be made somewhere. Allgen Financial Services, Inc. has decided to dedicate its resources to offering financial services as it pertains to retirement and estate planning. Allgen’s primary purpose is to make a significant impact on the -1% savings rate in the United States according to the 2006 report by the US Department of Commerce. As of May 1st, 2007, the United States is currently on pace for even a lower savings rate in 2007 compared to 2006. Allgen is accomplishing this by encouraging its clients to properly save for retirement purposes.

Client Focused Instead of Product Focused – Unlike many financial institutions, Allgen is not required to sell a specific fund family or financial products. As a Registered Investment Advisor (RIA), Allgen is able to research the best funds in the market and matches it with each client’s specific financial needs.

“As a management team we are dedicated to being change agents in the financial services industry. We are working diligently to be a completely different financial services firm from what anyone has seen or experienced in the past”, said James Zimbardi Senior Partner and Chief Operating Officer at Allgen Financial Services, Inc.

About Allgen
Allgen Financial Services, Inc. is a fee-based retirement and estate planning firm assisting individuals and organizations better manager their assets. Allgen services clients both domestically and internationally. Allgen’s service offerings include: personal retirement planning and investing, employee retirement benefits, estate planning for executives, estate planning for foreign investors, and business succession planning for entrepreneurs.

For additional information: http://www.allgenfinancial.com Contact: James Zimbardi at zimbardi@allgenfinancial.com
2006 MIT Sloan Fellow in Innovation & Global Leadership
Phone: (407) 574-4581

John N. Rallis II, CPA Joins Allgen Financial Services, Inc. as CFO

2007-07-11T07:26:00.000-04:00

FOR IMMEDIATE RELEASE

Contact:
James Zimbardi
Senior Partner
Work: (407) 574-4581
Cell: (407) 361-5000
(407) 574-4584
zimbardi@allgenfinancial.com
http://www.allgenfinancial.com

Orlando, Florida -- July 11, 2007 -- In an effort to provide a more holistic approach to retirement and estate planning, Allgen has chosen John Rallis II to become the 4th Senior Partner and the firm’s Chief Financial Officer. Mr. Rallis will take on this role effective immediately.

“In an effort to build a strong management team, we could not have asked for a better partner to help lead Allgen’s future. We are excited about the new opportunities presented with Mr. Rallis as a member of our team. His background in accounting and taxation will be a vital asset to the organization and our clients. Mr. Rallis will help manage the financial solvency of the organization and provide tax advice to our clients. He will lead our estate planning efforts as well,” said James Zimbardi, Senior Partner and Chief Operating Officer. “John has worked with Allgen’s team for many years; therefore, this is not a new relationship for us,” said Paul Roldan, a Senior Partner and Chief Executive Officer.

About John N. Rallis II
Mr. Rallis is the Managing Shareholder of RALLIS * SEGUNDO, P.A. He has served as Principal Consultant in the tax and legal services division of PricewaterhouseCoopers where he has been recognized twice as a “PricewaterhouseCoopers All-Star”. In addition, he was the Director of Taxation for a law firm in Orlando, Florida. His primary focus is taxation issues for business entities and their owners. He also has expertise in consulting with foreign nationals investing in the United States. Mr. Rallis is a Certified Public Accountant in the State of Florida. He holds a BBA from Emory University, an MBA from the University of Florida, and has done post-graduate work in taxation at the University of Central Florida. He has served on the Board of Directors for Hospice of Central Florida, the YMCA-Osceola, and Holy Trinity Greek Orthodox Church.

About Allgen
Allgen Financial Services, Inc. is a retirement and investment firm assisting individuals and organizations better manager their assets. Allgen’s service offerings include: personal retirement planning and investing, active asset management, company retirement benefits, estate planning for executives, estate planning for foreign investors, and tax management for entrepreneurs.

For additional information: http://www.allgenfinancial.com
Contact: James Zimbardi at zimbardi@allgenfinancial.com
Phone: (407) 574-4581

Allgen Financial Services, Inc. Acquires Good Risk Reward, Inc.

2007-07-10T19:00:00.000-04:00

FOR IMMEDIATE RELEASE

Contact:
James Zimbardi
Senior Partner
Work: (407) 574-4581
Cell: (407) 361-5000
(407) 574-4584
zimbardi@allgenfinancial.com
http://www.allgenfinancial.com

Orlando, Florida, -- July 10, 2007 -- In order to extend Allgen Financial Services, Inc’s ability to continuously improve its service offerings, it has acquired Good Risk Reward, Inc. Good Risk Reward, Inc. is a wealth management firm focused on active asset management and self investor training.

Jason Martin, the president of Good Risk Reward Inc., will now be a Senior Partner and Chief Investment Officer for Allgen Financial Services, Inc. Effective immediately, he will be responsible for managing all of Allgen’s client portfolios. Mr. Martin said, “This is the perfect partnership. I am able to continue managing the technical aspect of the financial services business while I can rely on a great team of other financial experts to assist with the other aspects of the business.”

“We are excited about this merger,” said Paul Roldan, Senior Partner and Chief Executive Officer of Allgen. He also said, “One of the most common scenarios we face are self investors with an out of sight out of mind approach to investing,” said Paul Roldan, Senior Partner and CEO. In many cases, this lack of monitoring and modifications to a portfolio in a timely fashion leads to major problems for the investor. There are two reasons why this problem typically occurs: 1) Self investors do not have enough time available to properly manage their own assets. 2) Many self investors have a lack of education or training. Being in unfamiliar territory usually results in bad experiences. People tend to run away from bad experiences so they don’t make any more mistakes. Mr. Martin will be a vital asset to helping self investors make better financial decisions with their retirement assets. We will be using goodriskreward.com to educate and train self investors on the technical and analytical skills necessary to become informed decision makers.”

About Jason Martin
Before becoming president of Good Risk Reward Inc., Mr. Martin was a Senior Broker for Charles Schwab, Inc. He is a Certified Financial Planner (CFP) and Chartered Market Technician (CMT). There are fewer then 100 people in the world with both of these designations.

About Allgen
Allgen Financial Services, Inc. is a retirement and investment firm assisting individuals and organizations better manager their assets. Allgen’s service offerings include: personal retirement planning and investing, active asset management, company retirement benefits, estate planning for executives, estate planning for foreign investors, and tax management for entrepreneurs.

For additional information: http://www.allgenfinancial.com
Contact: James Zimbardi at zimbardi@allgenfinancial.com
Phone: (407) 574-4581

Allgen has Chosen Charles Schwab to be Custodian of Client Assets

2007-06-15T07:42:00.000-04:00

FOR IMMEDIATE RELEASE

Contact:
James Zimbardi
Senior Partner
Work: (407) 574-4581
Cell: (407) 361-5000
(407) 574-4584
zimbardi@allgenfinancial.com
http://www.allgenfinancial.com

Orlando, Florida, -- June 15, 2007 – In an effort to align itself with a world-class financial institution, Allgen Financial Services, Inc. has chosen to be a Registered Investment Advisory (RIA) firm with Charles Schwab Corporation, an industry leader in asset management.

As of December 31, 2006, Schwab Institutional has been responsible for the custody of over $500 billion in assets. “The main reason we decided to place our future with Charles Schwab has everything to do with their commitment to service. We are well aware how important it is to align ourselves with a company that shares the same desire, to serve clients with excellence. In addition to the high quality product and service offerings, Charles Schwab has leading technology, research tools, and a great team of professionals to support our efforts,” said James Zimbardi Senior Partner and Chief Operating Officer at Allgen Financial Services, Inc.

About Charles Schwab
The Charles Schwab Corporation (Nasdaq: SCHW) is a leading provider of financial services, with more than 300 offices and 6.8 million client brokerage accounts, 1.1 million corporate retirement plan participants, 151,000 banking accounts, and $1.3 trillion in client assets. Through its operating subsidiaries, the company provides a full range of securities brokerage, banking, money management and financial advisory services to individual investors and independent investment advisors.

About Allgen
Allgen Financial Services, Inc. is a retirement and investment firm assisting individuals and organizations better manager their assets. Allgen’s service offerings include: personal retirement planning and investing, active asset management, company retirement benefits, estate planning for executives, estate planning for foreign investors, and tax management for entrepreneurs.

For additional information: http://www.allgenfinancial.com
Contact: James Zimbardi at zimbardi@allgenfinancial.com
Phone: (407) 574-4581