One of my earliest experiences with investing took place in the midst of the Great Financial Crisis. Lehman Brothers was on the brink of collapse and the federal government was taking over Freddie Mac and Fannie Mae.
A close friend encouraged me to open a brokerage account. I did. I entered a few speculative positions without a true understanding of what I was investing in.
Needless to say, that did not turn out too well. I ended up exiting with significant losses. Although it felt significant at the time, it was fortunately a token amount. My close friend went through a more difficult time. He was more comfortable with risk and had leveraged his positions with margin. He ended up owing more money — significantly more money — than he originally committed.
As years passed, I became more interested in wealth creation. I wanted to become familiar with — and eventually become an expert in — the topic.
I started by studying people who had successfully built wealth. I found most wealth was created through investing, either in equities or real estate. Approaching this from first principles, I believe companies drive value creation. Real estate value is derived from the value companies create. Hence, I chose to focus on companies. The most accessible way to invest in companies is through the stock market.
That early experience from 2008 stuck with me. If I was going to do this, I wanted to truly understand how things work — how the world works, how markets work, how individual companies work, how they are valued, etc.
I read through a long list of books on investing. I read everything I could get my hands on, from articles & critiques to investor presentations & SEC filings. This is a process I enjoy. I don’t think of this as work in the traditional sense.
At the onset, I did it for myself. I wanted to figure this out. These concepts of finance and investing are fundamental. They have significant effects on all of us. I believe everyone should understand how they work. If it were up to me, these would be required courses in high school and college. This knowledge will be forever valuable. The earlier we understand these concepts, the earlier we make more informed decisions on things that will have a significant impact on the rest of our lives.
As I started talking about these ideas with others, I realized I wasn’t the only one with this knowledge gap. In an effort to share my findings, I started writing blog posts and having deeper conversations with those close to me.
While I was more than content sharing my learnings and encouraging others to take on this journey for themselves, I found that people have different interests. Apparently not everyone enjoys parsing through 100’s of pages of SEC filings.
In an effort to more actively share my findings and empower others, I started Torre Financial.
I wanted to create an investment management firm that I would be comfortable investing my own money in. In that light, I try to keep things as transparent and low-cost as possible.
I chose Interactive Brokers, a professional technology-focused platform, as our custodian. Torre Financial has a financial advisor master account. Client accounts are opened individually and linked to Torre Financial's advisory account, giving me discretionary authority over the account. Each account is maintained and managed individually. There are certain things I can do as an advisor, including trade securities and help with transfers.
Each client maintains complete ownership of, and has full access to, their account at all times.
Each portfolio is personalized to the needs the client. Before opening your account, I will work with you to understand your needs and objectives. A portfolio will be constructed to meet your goals.
Interactive Brokers does not charge any trading fees or account maintenance fees.
Torre Financial charges a management fee based on assets under management.
As an independent advisory firm, I do not receive any compensation or fees for recommending financial products or executing trades.