Advice from your Local Financial Professionals James R. Wallisch, CFP® | LPL Financial Advisor | james.wallisch@lpl.com Andrew J. Wallisch | LPL Financial Advisor | andrew.wallisch@lpl.com FOR INVESTORS, ASSET LOCATION, NOT JUST ALLOCATION, IS KEY You've probably heard a realtor tell you that the three most important factors in determining a property's value are location, location, and location. There's a similar rule for investments and financial planning. Asset allocation refers to how an investor divides their portfolio among different asset classes, such as stocks, bonds, and cash. This is a crucial aspect of portfolio management, as it helps in balancing risk and reward based on an individual's financial goals and risk tolerance. However, there is another equally important but often overlooked aspect: asset location. Once you have determined the best asset allocation and diversification strategy for your portfolio, the next step is determining asset location. Asset location involves strategically placing investments in accounts that optimize tax efficiency, and allows you to decide which account types work best from a tax standpoint with the assets that they hold. Simply put, it determines the proper account to place investments, whether they are stocks, bonds, REITs, mutual funds, or ETFs for the most favorable overall tax treatment. The best location for a particular security depends on an investor's financial profile, prevailing tax laws, investment holding periods, and the tax and return characteristics of the underlying securities. It is easy to disregard, but can make a big difference in the long run. If you have any questions regarding this information or would like to learn more, please give us a call. There is NEVER a fee for a second opinion or initial consultation! Tax-Free Tax- Deferred 1090 Freeport Road, Suite 150, Pittsburgh, PA 15238 | (412) 967-9272 | foxchapelfinancialservices.com FC FINANCIAL SERVICES The views expressed represent the opinion of Fox Chapel Financial Services and are for informational purposes only. Asset allocation and location does not guarantee investment returns and does not eliminate the risk of loss Securities offered through LPL Financial, a registered investment advisor, Member FINRA/SIPC. LPL Financial Advice from your Local Financial Professionals James R. Wallisch , CFP® | LPL Financial Advisor | james.wallisch@lpl.com Andrew J. Wallisch | LPL Financial Advisor | andrew.wallisch@lpl.com FOR INVESTORS , ASSET LOCATION , NOT JUST ALLOCATION , IS KEY You've probably heard a realtor tell you that the three most important factors in determining a property's value are location , location , and location . There's a similar rule for investments and financial planning . Asset allocation refers to how an investor divides their portfolio among different asset classes , such as stocks , bonds , and cash . This is a crucial aspect of portfolio management , as it helps in balancing risk and reward based on an individual's financial goals and risk tolerance . However , there is another equally important but often overlooked aspect : asset location . Once you have determined the best asset allocation and diversification strategy for your portfolio , the next step is determining asset location . Asset location involves strategically placing investments in accounts that optimize tax efficiency , and allows you to decide which account types work best from a tax standpoint with the assets that they hold . Simply put , it determines the proper account to place investments , whether they are stocks , bonds , REITs , mutual funds , or ETFs for the most favorable overall tax treatment . The best location for a particular security depends on an investor's financial profile , prevailing tax laws , investment holding periods , and the tax and return characteristics of the underlying securities . It is easy to disregard , but can make a big difference in the long run . If you have any questions regarding this information or would like to learn more , please give us a call . There is NEVER a fee for a second opinion or initial consultation ! Tax - Free Tax- Deferred 1090 Freeport Road , Suite 150 , Pittsburgh , PA 15238 | ( 412 ) 967-9272 | foxchapelfinancialservices.com FC FINANCIAL SERVICES The views expressed represent the opinion of Fox Chapel Financial Services and are for informational purposes only . Asset allocation and location does not guarantee investment returns and does not eliminate the risk of loss Securities offered through LPL Financial , a registered investment advisor , Member FINRA / SIPC . LPL Financial