This newsletter contains some of the most important and exciting news regarding 5T since we founded the company in 1998.
We are pleased to announce a merger between 5T Wealth Management, LLC (5T) and Quish & Co LLC (QCo), which will take effect on July 1, 2016. QCo is merging into 5T and the combined companies will be known as 5TQ Capital, LLC. (5TQ Capital).
This merger represents a pooling of the expertise of two highly regarded private wealth management firms. They serve high net worth and ultra-high net worth families through the day to day administration and management of family affairs as well as sophisticated, comprehensive wealth management and problem solving for multiple generations of families.
The merger of 5T and QCo will bring additional financial, retirement, business and succession planning expertise to the combined firm (5TQ Capital). It will also allow us to enhance current wealth management strategies and introduce new strategies for all of our clients.
5T is based in Napa, Ca. and operates as an independent Registered Investment Advisor (RIA), founded in 1998, and regulated by the Securities Exchange Commission (SEC).
QCo is a Boulder, CO based RIA which was founded in 2008.
The headquarters of 5TQ Capital will remain at 595 Coombs Street, Napa, CA, 94559, 707-224-1340.
5TQ Capital will also continue to operate the office at 1123 Spruce Street, Suite 303, Boulder, CO, 90302, 303-589-8475.
It is not an overstatement to say that we see this as a "golden opportunity" for our clients and the the future of 5TQ. Jeff Roush and I were discussing the merger Tuesday morning and agreed that we now have the deepest, most experienced, most committed team that 5T (soon to be 5TQ Capital) has ever experienced. All of the partners are industry veterans, blessed to have made our careers doing what we love, which is working to help our clients achieve their life goals.
We share common values both professionally and personally. We have come to value each other and just as importantly, we enjoy each other's company. Taking in a new business partner is just as serious a commitment as getting married. It should not be done lightly and only when you are certain it will last a lifetime.
We are now working with up to four generations in particular families. That means we may have clients in a family that are 88, 68, 48, 21, and 18, all within the same family. With the age range of the partners in 5TQ, we are building a firm that will be here to serve generations for decades to come.
Paul Krsek is not retiring
Recently we have begun to introduce the concept of the merger to clients as we had the opportunity to meet with them personally. These meetings have also been an opportunity to introduce Govinda Quish, one of the founders of QCo. The impressions have been extremely positive and we look forward to the time when every one of you has the opportunity to meet both Govinda and Mariah Quish as we move forward together in serving you.
Govinda will be taking over as Chief Investment Officer of 5TQ. Upon hearing that there has been some inclination from a few of 5T's clients to suspect I am planning to retire, that is not the case. If anything my personal energy, spirit and commitment has been boosted even further by events of the past couple of years and I intend to continue to serve all of our clients for years to come.
Bringing Jeffrey Roush into 5T as a partner has been a total blessing. He is so experienced in many facets of our industry that he brings enormous assets to our clients and the team. We quickly found a kinship which has deepened through the process of building the firm together.
We have also brought some wonderful young talent to 5T in the past year. We have staff in their 20's and 30's who are not yet partners, but could easily be in the future.
This year Hien Scozzafava became a partner because she is invaluable to our clients and to us. She is intensely devoted to serving our clients. She has a caring and joyful style that everyone values and enjoys.
I have been blessed to work with my wonderful wife since we started 5T. That is rare and it inspires me every day.
I am looking forward to my role evolving as I take the title of CEO at 5TQ. I will not have to spend all day, every day dealing with investment decisions because of this new experienced team. Therefore, I will have a lot more time to spend with all of you, our clients.
Our continued mission is to enhance and deepen our relationship with each one of you as we advise and guide you in achieving your family goals.
We look forward to continuing to provide you with further details as we progress on this path together. We welcome all your communications, questions and inquiries, should you have any on this announcement.
How will 5T and QCo Clients Benefit from the Merger?
By combining 5T and QCo clients of both firms instantly have access to more talent, expertise and depth in the management team of 5TQ Capital. This is true in every discipline including investment strategy, financial, retirement, business and succession planning; as well as client service and care and compliance.
All clients will be seeing much more emphasis on customized long term planning for each family we work with. This will include stronger collaborations between 5TQ and all of your other trusted advisors including legal, accounting and insurance. The combined 5TQ staffs are already hard at work improving and expanding services and results in every discipline.
Another benefit is that each firm will have a more impactful "succession strategy" in place, should something unforeseen happen to the principals of either firm. However, let's be clear that no one is planning to retire any time soon. That includes Paul Krsek who will be the CEO of 5TQ Capital.
Govinda Quish and Paul Krsek are working hand in hand to expand the investment strategies of the combined firms. By the end of Q1 of 2016, the goal is to introduce at least three new strategies that are rooted in their combined vision of global market conditions over the next 12 to 24 months.
All of the new strategies will feature expert managers, well known to Govinda, from outside 5TQ. In each case 5TQ will enter into agreements with the managers to provide specific expertise within the proposed strategies.
The new strategies are all designed to enhance returns and reduce risk over time. 5T and QCo will be publishing their combined "Investment & Economic Outlook for 2016" in January. It will reveal further details of the new strategies and our outlook for the coming year.
The Principals of 5TQ Capital and their roles
The founders of 5T are Paul and Meghan Krsek, age 67 and 51, husband and wife.
The founders of QCo are Mariah and Govinda Quish, age 43 and age 42, sister and brother.
Jeffrey Roush, age 59, joined 5T as a member (partner) in 2014.
Hien Scozzafava, age 47, joined 5T in 2010 and became a member (partner) in 2015.
The Krseks, Quishs, Roush and Scozzafava will all be members (partners) in 5TQ Capital.
Paul Krsek will be Chief Executive Officer, (CEO) and Managing Member.
Meghan Krsek will be Chief Financial Officer (CFO) and Director of Family Office Services.
Govinda Quish will be Chief Investment Officer (CIO) and Chair of the Investment Policy Committee.
Mariah Quish, CFP, will be Director of Financial Planning Services, Portfolio Manager and Director of the Boulder office.
Jeffrey Roush will be Chief Operating Officer and Chief Compliance Officer.
Hien Scozzafava will be Manager of Family Office Services and Wealth Management Client Services.
The Krseks, Govinda Quish, Jeffrey Roush and Hien Scozzafava will all continue to work primarily from the Napa office.
Mariah Quish will maintain the operations of the Boulder office.
Govinda Quish, Paul Krsek, Mariah Quish and Jeffrey Roush will serve as members of the Investment Policy Committee.
Phillip Lampe, age 28, joined 5T in 2014. He will also serve as a member of the Investment Policy Committee.
2016 is going to be a really good year!
All the best,
Disclosure and Disclaimer - Updated last on July 23, 2012 by Paul Krsek:
ELLUMINATION is the proprietary newsletter written for clients, friends, and affiliates of 5T WEALTH MANAGEMENT .
Paul Krsek is the sole author of ELLUMINATION. While the views and representations found in the newsletter generally reflect the attitudes and opinions of the 5T WEALTH MANAGEMENT members and staff, Krsek writes without editing and therefore is solely responsible for the content and opinions contained in ELLUMINATION.
ELLUMINATION does not represent the opinions of Fidelity, Fidelity Institutional Brokerage Group, NFS or anyone employed by Fidelity in any capacity. Neither Fidelity, Fidelity Institutional Brokerage Group, nor NFS, nor anyone employed by Fidelity in any capacity has participated in the creation of ELLUMINATION and they are not responsible for the contents or distribution of ELLUMINATION.
ELLUMINATION is written to provide general information to clients, friends, and affiliates. The contents of ELLUMINATION are not to be taken as individual investment advice. No investment decisions should be made based on the opinions or information offered in ELLUMINATION.
5T WEALTH MANAGEMENT does not represent that the information in ELLUMINATION is accurate or complete and it should not be relied upon as such. Opinions expressed herein are subject to change or modification without notice.
The investment portfolio models or management services mentioned in ELLUMINATION may or may not be available in some states, and they may not be suitable for all types of investors.
5T WEALTH MANAGEMENT manages accounts with various histories and investment objectives. Various accounts may be managed differently from time to time.
Krsek makes frequent reference to the model portfolios called Hatteras, Mendocino, Point Reyes, Diamond Head, Cape Lookout and Dividend Diamonds as well as our Fund of Funds Portfolio. During 2005 Paul Krsek was appointed Chief Investment Officer of 5T WEALTH MANAGEMENT, and as such is responsible to make all trading and management decisions for all client accounts which are being managed according to a specific portfolio model. A description of each of our models can be found on our website at http://www.5twealth.com/prd_port_signup.cfm.
Not all accounts managed by 5T WEALTH MANAGEMENT are "modeled" accounts. We strongly urge our clients to understand which model, if any, are being used to manage their accounts.
From time to time 5T WEALTH MANAGEMENT receives requests from clients to purchase securities that are not included in the model portfolio to which they are assigned. Effective May 24, 2006, 5T WEALTH MANAGEMENT has encouraged clients to hold such securities in a separate account for the client. Because 5T WEALTH MANAGEMENT is a "fee only" registered investment advisor" it charges its normal management fee for monitoring such securities in the separate accounts in which they are held.
5T WEALTH MANAGEMENT makes every effort to exclude securities that are 'requested by the client' from the modeled portfolio accounts.
The investment objectives of various accounts and models may be substantially different from one another. Therefore topics or investments mentioned in E-Ellumination may or may not apply to specific managed accounts and/or models.
Trades or adjustments to accounts mentioned in ELLUMINATION may or may not happen in every account managed by portfolio managers at 5T WEALTH MANAGEMENT.
If you are not satisfied with the investment results in your account it is your responsibility to inform Krsek to discuss possible changes that can be made to the account to accommodate and satisfy your needs.
The assets held in managed accounts at 5T WEALTH MANAGEMENT may include stocks, bonds, cash, commodities, foreign exchange or mutual funds or exchange traded funds (ETF's), money market accounts or limited partnerships that represent the same. They are subject to market fluctuation and the potential for losses. The assets are not insured. The value and income produced by these investment products may fluctuate, so that an investor may get back less than they initially invested.
The portfolio managers at 5T WEALTH MANAGEMENT do not guarantee results.
Past performance should not be considered an indicator of potential future performance. If you do not consider yourself suitable, either emotionally or financially, to experience volatility and/or losses in financial markets, you should not invest.
From time to time Krsek lists the simple annual returns of the six model accounts in this newsletter. These accounts are "models" and do not represent the actual results accruing to individual accounts. Simple annual return does not represent "time weighted return" as reported individually to clients in their quarterly reports prepared using Centerpiece.
This document is for information purposes only and it should not be regarded as an offer to sell or as a solicitation of an offer to buy any securities or other instruments mentioned in it.