This planning firm gets strength from being a family enterprise.
Joset Wright was recently divorced while she was
taking a buyout for senior executives offered by her employer after it
was acquired. For almost anyone, those events would be stressful
enough. Then she was diagnosed with cancer.
She credits advisors Cicily Carson Maton and
Michelle Maton of Chicago-based Aequus Wealth Management Resources with
"turning a really bad situation into something manageable."
Today the firm, owned 50-50 by the mother and daughter, has about $75
million under management and more than 100 clients. Aequus became
fee-only in 1990 and employs six people, three full time.
Cicily Maton, who initially focused on helping
divorcees with financial planning when she founded the firm in 1985,
was recommended to Wright, who sought the planner's help in 1998
shortly after her divorce. Wright's priority was setting up a funding
vehicle for her children to go to college. The money she had to work
with increased after the buyout, which provided her with a lot of stock
options and the equivalent of two years' severance. When she learned
she had cancer, a major priority also became having a plan that
considered how she would take care of herself financially while she was
recovering and if her health deteriorated.
"They really helped me keep myself together
emotionally. When you have some sort of a serious illness, you don't
have the time or energy to worry about a lot of stuff," says the
Chicago-area resident. "They were very helpful, and that allowed me to
take take time off. I didn't work for four years, so I had a lot of
time to get well. I would have been too afraid to do that if I hadn't
had that type of advice. It was one of the few times when you could
make lemonade out of lemons."
The good news is that Wright is now fully recovered
from cancer-and she achieved her goal of saving enough money for her
two children to go to college. The former attorney, who later ran
a business line of a large financial services firm, now works as
an executive recruiter, a job she loves.
In addition to the emotional support and financial
guidance they provided during her illness, Wright praises the Matons
for helping her invest with a minority-owned money management firm,
Ariel Capital Management in Chicago. As an African-American, Wright
felt it was important to support such a firm if she had the
opportunity. She also knew the owner, John Rogers, and strongly wanted
to participate. Surprisingly, other advisors she consulted didn't offer
her a way to do it, even though Ariel's funds have enjoyed solid
performance.
Aequus was much more flexible. "They gave me the options to use the money the way I wanted," she says.
Taking a holistic approach to clients' needs has
long been a priority at Aequus. Life planning was something the firm
did early on, Cicily Maton says, but it wasn't until they attended a
1994 FPA conference and heard a presentation by advisors George Kinder
and Richard Wagner that they realized others were taking that approach
to planning, too.
One way the firm made an ongoing commitment to
finding the best ways to deal with client needs and enhancing internal
communication was by hiring consultant Ed Jacobson, who helps conduct
monthly employee meetings. Jacobson, who has a doctorate in clinical
psychology and a master's in business administration from The Wharton
School, is a consultant for Money Quotient, a nonprofit organization
based in Poulsbo, Wash., that helps financial advisors and others
deliver advice aligned with clients' specific values, priorities and
circumstances.
Michelle Maton says during those meetings Jacobson
helps them talk out client issues and offers helpful suggestions.
She describes him not so much as a coach but as someone who is
collaborating with them on various matters. "There's always a lot of
change in this industry. It can be hard on employees and on us, too,
when things change. I think it makes the changes easier to live through
and people aren't so stressed," she says.
Client Tom Jones, a tax attorney based in Chicago,
agrees that the firm works hard to be in tune with client needs. "It's
their standard office practice to have quarterly meetings with clients,
which affords us the opportunity to talk every three months. They and I
prefer that. A lot of people hear from their advisor once a year.
There's also more dialogue about investments," says Jones, who
previously worked with other advisors.
Aequus focuses on asset allocation, the benefits of
diversification and where a client can pick up yield without additional
risk, he adds. "Everything gets put in one master account, so I get
more comprehensive reports on a monthly basis. They also have a pretty
sophisticated Web site that's password protected, and I can get ready
access to it electronically," he notes.
The firm provides excellent technical expertise
that's balanced by an ability to deal with clients' personal concerns,
Jones says. "They are good at dealing with family situations, whether
it's divorce, death or whatever; they are very empathetic."
He believes the fact that the firm is a family
enterprise reinforces its strengths. "Everyone works well and works
well together. It's a very upbeat type of organization, and Cicily sort
of sets the tone," Jones says.
In fact, the Matons, both CFP licensees, might be
one of the longest-running mother-daughter teams in the financial
planning business. They joined forces in 1990 and have been working
together in Aequus ever since.
And it's not just the Matons who make the business a
family affair. Also working in the firm are another mother and
daughter, Lois Carlson and Fran Evans. Carlson works part time as a
certified divorce analyst and Fran, a CFP licensee, works full time
with clients on financial plans. Also working part time are
Cicily Maton's husband, Sheldon Lee, who does internal accounting, and
office manager Nancy Caldie.
Cicily Maton chose divorce as her marketing niche
when she started the firm for a specific reason. "Divorce was a
tremendously underserved market which I had emotional empathy for,
since I was divorced myself. Convincing someone 20 years ago that they
needed financial planning was a tough sell, but people didn't need
convincing that they needed help with divorce," comments the
60-something founder. Eventually, however, the firm got so many
referrals that its base broadened to the point where clients with
divorce issues became a smaller percentage than those with other
planning concerns.
The opportunity for Michelle Maton to work at Aequus
came after her husband got a job in the Chicago area. They had been
living in California, where she worked as a pension consultant doing
401(k) administration. "I was spending all my vacations coming back to
Chicago to see my family," recalls Michelle Maton, who is in her
forties. "I thought I should just move back and go into business with
my mom."
Cicily Maton was thrilled. "I tried to be a parent
that didn't put expectations on my children," she says. "I wanted them
to find their own way-and in their own way. I never talked about her
coming and joining me. Obviously I wanted her back in Chicago after
college, but she chose to stay in California. When her husband was
offered a job here, I was ecstatic."
Her daughter was confident in dealing in other areas
of financial planning, pensions for one, and that benefited the firm's
client base, says Cicily Maton. Since joining the firm Michelle Maton
also has become a certified life planner, another plus, her mother says.
Also making for a good team was the fact that both
women had some important similarities. "First, our ethics. If someone
comes from the outside you don't really know how they'll be, but with
your child, you know," Cicily Maton says. "The other thing is our sense
of organization. Both of us are very organized, and we tend to think
about things in the same logical, stepped way." Cicily Maton adds that
they also complement each other: She is more intuitive and her daughter
is more analytical, so they don't step on each other's toes in planning
sessions.
Although the two have been business partners for
many years, the Matons haven't forgotten others in the firm. Recently
they offered a minority ownership interest to Evans, who started as a
paraplanner before becoming a CFP licensee. "She's been with us six
years, and we want to make sure she stays around," says Cicily Maton.
"It feels good to be a part of the firm," Evan says.
"It feels good to be thought of that way and be part of the firm as it
grows and continues."
Carlson, who joined the firm a couple of years
before her daughter, says she appreciates the openness and
inclusiveness that the Matons have created. Carlson, who works for
Aequus three days a week, didn't have experience working with divorce
issues when she came to the firm, but they encouraged her to learn.
They also supported her decision to start a
cash-flow management business where she visits people at their homes to
help them pay bills and clean out files. She also educates them on
tools to help them take care of their finances. That work might seem
like it overlaps with what the firm does, but Carlson says that
when someone has such a need she and Aequus evaluate whether it would
be better for her or the firm to handle it.
Creating harmony and cooperation in any firm
involves effort, but Carlson thinks Aequus has met that test. "What's
interesting here, and one of the challenges, is that we have mothers
and daughters working together," Carlson says. "It's a balancing game,
with two moms and two daughters, how they react, how co-workers react.
I think we do that really well."