October 2010

Dear Clients and Friends:

As we approach the midterm elections, please take a few moments to reflect on the important choices in front of you as your decisions and your vote will continue to shape our country. There’s no doubt it can be frustrating to try to hone in on the issues and measure the character of our candidates when we’re inundated by media sound bites and all the late night campaign commercials, slamming both Democrats and Republicans alike. And this year has been particularly distracting with accusations of witches, Aqua Buddhas, and grossly exaggerated military records.

First and foremost, I think party lines should have nothing to do with how we choose our elected officials. 1. Trustworthiness 2. Respect 3. Fairness 4. Responsibility 5. Caring 6. Citizenship, and 7. Integrity are the seven elements that form great character. I believe these elements should be critical in deciding who gets your vote.

My family came to this country as immigrants after WWII. Like many others before them, they did not come here because they wanted to be Democrats or Republicans. They came here seeking an opportunity to provide for themselves and their families. They left countries marked by prejudice, poor economic conditions, and corrupt governments that had come to believe that only they knew what was best for their citizens or subjects. These government bodies believed that individuals like you and me could not provide for ourselves and make decisions that were in our own best interest.

My family came to this country as immigrants after WWII. Like many others before them, they did not come here because they wanted to be Democrats or Republicans. They came here seeking an opportunity to provide for themselves and their families. They left countries marked by prejudice, poor economic conditions, and corrupt governments that had come to believe that only they knew what was best for their citizens or subjects. These government bodies believed that individuals like you and me could not provide for ourselves and make decisions that were in our own best interest.

To a certain extent, that is what we face in this country today. Think about our American forefathers who laid down their lives in defense of the freedoms we enjoy in this country today. Do you think that Benjamin Franklin, Thomas Jefferson, John Adams, George Washington or others would approve of our modern government? A government that thinks it knows what is best for us? A government that is more intrusive in our lives than ever before?

We cannot completely fault the politicians because many of us were willing to trade in responsbility and accountability to Washington so they could provide for us. The fact is, we like it when people do things for us, especially when it feel like it is done for free. I believe that is the catch. There is a price for freedom and maintaining control over our own lives and that comes with taking responsibility and accountability for ourselves and our actions.

All too often we ask our government to be responsible for us...to provide for our health care, retirement, or when some other injustices occur. This requires bigger government and more taxes. Remember - when you give up control, you have to pay for it not only in terms of costs, but in choices.

This election—more so than any election in recent history—is the proverbial fork in the road. We have to fundamentally believe that we want to be accountable and responsible to ourselves and thus take back the decision-making process along with the consequences of our decisions. There is no running to "Big Brother." Or do we say "I don’t want the responsibility?" If so, then we have to live with the decisions our government makes, as well as pay for that convenience.

As an entrepreneur I believe in free enterprise. Open competition and free markets have made our country the best place in the world to live. I fully accept the consequences of my decisions. That is part of my motivation to run the best wealth management company. Failure is not an option.

Fortunately, free enterprise does not belong to any political party. It works within a true free market system because laws of economics support free enterprise. Healthy competition (this does not apply to oligopolies where only a few companies control an industry) encourages innovation, rewards those who do their best, and provides consumers with the best and most affordable products. When our economy is healthy and free from interference from government bodies or businesses that control an entire industry, we all win.

Before you cast your vote, take some time to consider what kind of government you want. I have found that there is little compatibility between free enterprise and big government. They cannot coexist in a manner that benefits our society, economy, and markets. Europe is a testament to this failure.

Please get involved and please vote. It is your right - so use it and decide what you think is best.

We remain committed to keeping you informed on financial market activity and firm news so you can make better decisions as they relate to your family and your business. As always, please call Jeremy, Walt, Sarah, or me with any questions or concerns. We value your input, but most importantly, we value our relationship as your wealth advisor. If you know of someone who can benefit from our services or a second opinion, please let us know.

Thank you for your trust and confidence. We work hard to earn it every day.

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Respectfully, Frank Fantozzi, CPA, MT, PFS, CDFA, AIF President, Planned Financial Services