Engineering Asset Management

                                                                      A service provided by D.R. Harris and Co. 

Efficient Portfolios.  Sensible Fees.

                                                                        

 

Engineering Asset Management is a flat fee only service providing tax efficient and cost effective portfolio management and financial advice.  It is a service provided by D.R. Harris & Co, a Registered Investment Advisory firm based in the UTC area of San Diego, CA.  

 

Engineering Asset Management's philosophy is centered around low costs, including passive (index) investments, tax management, and equitable and transparent dealings with clients, as reflected in our flat fee retainer structure.  We are committed to the financial planning process as a precursor to asset management. Investment policy for each client is an important process and should be integrated around specific and personal financial goals. 

 

Who are we?

 

Daniel Harris is the owner of D.R. Harris & Co. and provides financial planning, investment advice and asset management for Engineering Asset Management.  He has worked closely with engineers in their 20’s and 30’s since starting D.R. Harris & Co. in 2009.

 

Daniel received his undergraduate and graduate degrees at Stanford University and the University of California, Berkeley. His past experience includes working with clients on a $500 million team at Merrill Lynch Pierce Fenner and Smith. 

 

A California native, passionate Stanford sports fan, avid traveler and fan of ethnic food, Daniel lives in San Diego, CA with his wife (who is UCSD alum and an engineer) and newborn son.

 

Our Philosophy

 

D.R. Harris & Co. believes that efficiency and precision in your planning, investments and tax minimization strategies are key in reaching your long term goals.  We often recommend index funds because they efficiently provide broad exposure to a variety of assets and often create instant diversification for investors.  They can do this at a surprisingly low cost, which can efficiently deliver to investors their share of the returns of the capital markets.

 

However, many investors falsely see index funds as a one size fits all solution – but sophisticated investors know this is an inaccurate view.  Index funds carry significant risks that are usually at least partially avoidable if you pay attention to the cost and the composition of the underlying assets.  There are multiple indexes that you can choose from and buying one with really expensive assets in it will reduce your likelihood of a good outcome and increase your risk of loss.  Markets are sometimes portrayed as static but the evidence overwhelmingly shows that they are actually extremely dynamic and constantly changing.

 

Instead of charging a percent of assets under management where clients may be overpaying for services rendered, we operate on a flat annual retainer fee.

 

What is included in the retainer fee? 

 

We provide comprehensive financial planning, tax planning, investment advice and investment management for the annual retainer fee.  

 

Our Financial Planning Services Included in the retainer fee are:

 

  • Retirement Income Planning (how to invest your 401(k) and IRA)

  • Education Savings Planning (which 529 to use, whether the use the ESA)

  • Life, disability, and insurance review (Why disability and life insurance are critical to protecting your biggest asset (your career).  How much insurance you need, where to get the best deals based off your specific situation and which insurers and professional organizations cater to clients like you)

  • Long Term Tax Minimization Planning

  • Major Purchase Planning (what to put your money in and how much to save if you want to buy a house, a car, or go to grad school in the next x number of years)

 

Our Investment Advisory Services Included in the retainer fee are:

 

  • Development and Review of Investment Policy Statement for discretionary accounts (accounts where we place trades for you).

  • A written quarterly performance monitor for discretionary accounts

  • Discretionary asset management of index fund investments or investment advice and guidance for nondiscretionary accounts (in a nondiscretionary account you place your own trades - most clients select this option).

  • Tax minimization advice and tax loss harvesting where we believe it is appropriate

 

Our Fee Structure

 

We charge a flat fee that is fixed for your first five years in the work force.  After you've been in the full time work force for more than 5 years we charge a fixed fee in the your first year as a client and a negotiated fee in subsequent years.  Our fees are proposed in advance and after you 5th year in the workforce you may not have a fee every year.  Our asset requirements are typically waived for clients who save at a high rate (16% or more of their pretax income) and can be waived in other situations at our discretion.

 

Our fee table is listed below:

 

          Years in the full time                                 Savers Rate*                   Preferred Organizations Rate**            Standard Rate

workforce since you graduated

                      0-1 Year                                                 $45/quarter                                     $50/quarter                                  $65/quarter

                      1-2 Years                                               $50/quarter                                     $55/quarter                                  $70/quarter

                      2-3 Years                                               $55/quarter                                     $60/quarter                                  $80/quarter

                      3-4 Years                                               $60/quarter                                     $65/quarter                                  $85/quarter

                      5 Years+                                                $65/quarter in year 1                     $70 a quarter in year 1               $90/quarter in year 1                                                        

 

 

*Our savers rate is for those who save 16% or more of their pretax income in retirement accounts or other financial accounts.  

**Preferred organizations: This rate is currently available to members of ASHRAE and the Association of IT Professionals

Because we cap our fees, we reserve the right to limit in person meeting times for clients.  We offer unlimited meeting time over the phone, via facetime or Skype.

 

 

 

 

             Years in the fulltime workforce                              Minimum assets in 401(k), IRA’s, and brokerage accounts to be a client of EAM                                  0-3 Years                                                                                                                 $0

                        4-5 Years                                                                                                            $15,000

                        6 Years                                                                                                               $35,000

                        7 Years+                                                                                                             $50,000

 

We reserve the right to waive our minimums at our own discretion.

 

 

 

Contact

daniel@drharrisandco.com

Phone: 858-210-6470