MoneyMorality™
We help individuals and families grow their wealth in a prudent and moral way.
MoneyMorality™
MoneyMorality is the foundation of our firm, our investment approach, and our client relationships. It is a disciplined, low-cost, and moral approach to investing where performance results can be outstanding.
Our firm specializes in investment management. We also provide free financial planning services and can help our clients with their life insurance needs. In all areas, we strive to perform with excellence and a personal touch.
Objective
Our world is full of many excellent investment opportunities. We live in a country where we can own shares of the great companies from which we buy goods and services every day. The truly valuable companies have a long-term track record of creating value for their shareholders and providing a significant, quantifiable benefit to society. They create good jobs, provide necessary products and services, innovate, and improve our way of life. They demonstrate respect for human life. A moral company’s job is not just “to make money,” but to create true wealth. They concern themselves with how the money is made and the effect that their actions have on investors and non-investors alike.
Our Approach
As investors and advisers, it is up to us to decide which companies are appropriate long-term investments, both financially and morally. At Kondracki Advisory, we utilize a rigorous financial and a moral screening process to make our company selections. We will not invest in any company which has business or financial practices we find morally objectionable.
The great news is there are many wonderful investment opportunities in companies that are trying to do the right thing by their shareholders and society every day.
Through our rigorous financial and moral screening process, these are the companies that we try to own. We invest for and alongside our clients for value, prudent growth, and peace of mind, and want to be proud of all the companies in which we are invested.
Investing with our firm is accomplished through our management of a client’s individual investment accounts established for them at the custodian, Charles Schwab & Co., Inc. We are investment managers and advisers for our clients. Kondracki Advisory does not hold or maintain custody of any client assets.
Schedule a time to speak with us to learn more and to get started investing through our firm.
How We are Compensated
As a fee-only Registered Investment Adviser, we do not receive any commissions or sales bonuses for our work. We invest directly in individual common stocks and U.S. Treasuries for our clients’ accounts. There are no additional mutual fund fees, wrap fees, or third-party management fees that can erode investor returns. It is our belief that the lower the cost to invest, the more money you will keep in your account.
At Kondracki Advisory, our compensation comes directly from our clients in the form of an annual management fee. This fee is currently 75 basis points annually (.0075 of assets managed), paid quarterly (.001875) and automatically deducted from investment accounts. As an example, on a $100,000 investment, we will earn approximately $750.00 per year for our work. As investments appreciate, we earn more. If investments were to lose value, we would earn less. For total household assets under our investment management below $500,000, the management fee is 85 basis points annually.
For investment accounts where total household assets under our investment management exceed $1 million, the management fee is negotiable and can be further reduced to less than .75%.
OUR PORTFOLIOS
Through our rigorous financial and moral screening process, we have been able to achieve superior risk-adjusted returns through portfolios exclusively comprised of companies that provide significant and quantifiable benefits to society.
Our composite total return has averaged a positive 10.47%1 per year, after fees, since the inception of our firm in 2012. Our excellent total returns have been achieved with nearly half of the volatility2 of the stock market and with reduced risk to principal. We have generated superior risk-adjusted returns3 over every measured time frame since the inception of our firm.
1 Composite Total Return through 9/30/2024
1 The Composite is comprised of 100% of the investment accounts managed by Kondracki Advisory, LLC meeting the minimum initial investment requirement and fully invested in our Value and Prudent Growth Model Portfolio Strategy over the measured timeframe. 2 Volatility is measured by Composite Portfolio Beta. 3 Risk-adjusted returns measured by Composite Portfolio Alpha over 3 years, 5 years, and since inception. The performance calculations have not been audited by any third party. Actual performance of client portfolios may differ materially due to the timing related to additional client deposits or withdrawals and the actual deployment and investment of a client portfolio, the length of time various positions are held, the client’s objective and restrictions, and fees and expenses incurred by any specific individual portfolio. PAST PERFORMANCE IS NO GUARANTEE OF FUTURE RESULTS.