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THE EVOLUTION OF FINANCIAL INTELLIGENCE
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G E N E R AT I O N S
36
WORTH.COM
VOLUME 24
|
EDITION 03
Dallas, TX
Leading Wealth Advisor
The Moore Group at Morgan Stanley
Marie A. Moore, CPM®, Managing Director–Wealth Management, Financial Advisor
Shawn D. Moore, CFP®, Financial Advisor
When might borrowing make sense?
By Marie A. Moore
Saving and planning are the obvious
strategies for addressing significant
financial goals and large expenses.
Liquidating an investment account
can be part of that plan, but, doing
so may incur hidden costs, such as:
taxes on capital gains, the potential
loss of future growth or an imbalance
in your portfolio’s overall asset allocation. When the time comes, or when an
opportunity arises, an alternate financing strategy may be more practical.
A borrowing strategy can be an
important factor for maintaining wealth
and achieving goals—equal, possibly,
to the role played by investments.
Knowing your options is important.
In certain instances, if you have significant assets invested in securities, a
securities-based loan or line of credit is
worth a serious look.
Securities-based lending allows you
to take advantage of the underlying
value in your securities portfolio without
disrupting your investment strategy, as
long as the required level of collateral is
maintained. Although this sounds like
margin lending, it is actually in a category called nonpurpose loans. Funds
may be used for many purposes, except
to purchase, carry or trade eligible securities or to repay margin debt used to purchase, carry or trade eligible securities.
Securities-based lending can be a
convenient alternative to costly and
restrictive financing platforms. You
may also be surprised by its simple
application process and potentially
competitive rates. Common scenarios for establishing securities-based
lending in advance include: (1) preparation for a unique opportunity or
large expense; (2) payment of tax obligations to avoid penalties or additional
interest; (3) real-estate objectives, such
as an investment in a commercial
property, a home purchase or home
improvements; (4) business objectives,
including the management of working
capital and inventory, the purchase of
equipment, the expansion or even the
purchase of a controlling interest; and
(5) luxury purchases (boats, planes, etc.).
Borrowing can be an important part
of your holistic wealth strategy, but
there are risks associated with using
your assets as collateral, including possible margin calls on short notice. Sufficient collateral must be maintained,
and you may need to deposit additional
eligible securities on short notice.
It is important to speak with a financial advisor to learn more about the risks
of this strategy and to find out whether
securities-based lending may be a suitable solution for you. For details, please
see the important disclosures below.
We can work with you by employing
an approach that provides access to a
private banker and underwriters, who
will determine which liquidity strategies
may be appropriate for your goals.
Borrowing against securities may not be suitable for everyone. You should be aware that securities-based loans involve a high degree of risk and that market
conditions can magnify any potential for loss. Most importantly, you need to understand that: (1) Sufficient collateral must be maintained to support your
loan(s) and to take future advances; (2) You may have to deposit additional cash or eligible securities on short notice; (3) Some or all of your securities may be
sold without prior notice in order to maintain account equity at required maintenance levels. You will not be entitled to choose the securities that will be sold.
These actions may interrupt your long-term investment strategy and may result in adverse tax consequences or in additional fees being assessed; (4) Morgan
Stanley Bank, N.A., Morgan Stanley Private Bank, National Association or Morgan Stanley Smith Barney LLC (collectively referred to as “Morgan Stanley”)
reserves the right not to fund any advance request due to insufficient collateral or for any other reason except for any portion of a securities-based loan that
is identified as a committed facility; (5) Morgan Stanley reserves the right to increase your collateral maintenance requirements at any time without notice;
and (6) Morgan Stanley reserves the right to call securities-based loans at any time and for any reason.With the exception of a margin loan, the proceeds from
securities based loan products may not be used to purchase, trade, or carry margin stock (or securities, with respect to Express CreditLine); repay margin debt
that was used to purchase, trade or carry margin stock (or securities, with respect to Express CreditLine); and cannot be deposited into a Morgan Stanley Smith
Barney LLC or other brokerage account. To be eligible for a securities based loan, a client must have a brokerage account at Morgan Stanley Smith Barney
LLC that contains eligible securities, which shall serve as collateral for the securities based loan. Private Bankers are employees of Morgan Stanley Private
Bank, National Association. Morgan Stanley Smith Barney LLC is a registered Broker/Dealer, Member SIPC, and not a bank. Where appropriate, Morgan
Stanley Smith Barney LLC has entered into arrangements with banks and other third parties to assist in offering certain banking related products and services.
Investment services are offered through Morgan Stanley Smith Barney LLC. Unless specifically disclosed in writing, investments and services offered through
Morgan Stanley Smith Barney LLC are not insured by the FDIC, are not deposits or other obligations of, or guaranteed by, a bank and involve investment risks,
including possible loss of principal amount invested. Marie A. Moore is a Financial Advisor with the Wealth Management division of Morgan Stanley in Dallas,
Texas. The views expressed herein are those of the author and may not necessarily reflect the views of Morgan Stanley Smith Barney LLC. Member SIPC. www.
sipc.org. Morgan Stanley Financial Advisor(s) engage Worth to feature this profile. Marie A. Moore may only transact business in states where she is registered
or excluded or exempted from registration, www.morganstanleyfa.com/themooregroup. Transacting business, follow-up and individualized responses involving
either effecting or attempting to effect transactions in securities, or the rendering of personalized investment advice for compensation, will not be made to
persons in states where Marie A. Moore is not registered or excluded or exempt from registration. The strategies and/or investments referenced may not be
suitable for all investors. Morgan Stanley Smith Barney LLC, its affiliates and Morgan Stanley Financial Advisors or Private Wealth Advisors do not provide
tax or legal advice. Clients should consult their tax advisor for matters involving taxation and tax planning and their attorney for matters involving trust and
estate planning and other legal matters. Certified Financial Planner Board of Standards Inc. owns the certification marks CFP®, CERTIFIED FINANCIAL
PLANNER™ and federally registered CFP (with flame design) in the US. (CRC1165321 04/15)
LIVE
How to reach the Moore Group
Call 214.696.7175, text 214.600.9606 or email
[email protected].
GROW
MAKE
“A borrowing strategy can be an
important factor for maintaining
wealth and achieving goals—
equal, possibly, to the role
played by investments.”
—Marie A. Moore
T H E MOOR E GR OU P AT MORGAN S TANLEY
WHAT’S ON MY DESK…
Marie: Barron’s Top 100 Women
Financial Advisors award1
Shawn: Magazines, awards,
plans and research
Marie A. Moore
Shawn D. Moore
About the Moore Group at Morgan Stanley
ILLUSTRATION BY KEVIN SPROULS
Marie A. Moore is a family wealth director and senior portfolio management director at Morgan Stanley,
with more than 26 years of experience. Prior to joining the firm, she was manager of mergers, acquisitions
and divestitures with Texas Instruments, where she bought and sold corporations, divisions and product
lines to round out the company’s strategic plans. Working with her son, Shawn D. Moore, CFP®, financial
advisor, Ms. Moore ensures that the focus of the Moore Group is on the planning and investment needs
of families, from grandparents to grandchildren. Through its family wealth management practice, the
Moore Group helps families to not only preserve but also communicate their traditions, histories and
values to future generations.
Assets Under Management
$370 million (as of 4/2015)
Association Memberships Association of Professional Investment Consultants,
Association for Corporate Growth, National Association of Accountants
Minimum Net Worth Requirement
$5 million (planning services)
$2 million in assets (investment services)
Professional Services Provided Planning, investment advisory, corporate
and money management services, access to lending services, philanthropy
and business development
Minimum Fee for Initial Meeting
None required
Education Marie: CPM, Columbia University; MBA, University of Dallas;
M&A certification, Northwestern University, Kellogg School of Management;
BBA, finance and accounting, University of Texas at Arlington; Shawn: CFP®,
College for Financial Planning; BS, MIS, University of North Texas
Largest Client Net Worth $180 million
Financial Services Experience
Marie, 26 years; Shawn, 9 years
Primary Custodian for Investor Assets Morgan Stanley Smith Barney LLC
Compensation Method
Asset-based and fixed fees, commissions
(investment and insurance products)
1
Website www.morganstanleyfa.com/themooregroup
Email [email protected]
[email protected]
Please visit www.morganstanleyfa.com/themooregroup for more information on the Barron’s Top 100 Women Financial Advisors award
methodology and criteria.
The Moore Group at Morgan Stanley
8383 Preston Center Plaza Drive, Suite 400, Dallas, TX 75225
WORTH.COM
214.696.7175
J U N E - J U LY 2 0 1 5
085
Marie A. Moore, CPM®
Managing Director–Wealth Management and Financial Advisor
Shawn D. Moore, CFP®
Financial Advisor
The Moore Group at Morgan Stanley
8383 Preston Center Plaza Drive, Suite 400
Dallas, TX 75225
Tel. 214.696.7175
[email protected]
[email protected]
www.morganstanleyfa.com/themooregroup
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