Hartford Business Journal

26 HARTFORDBUSINESS.COM | JUNE 28, 2021 107 Old Windsor Road, Bloomfield, CT 06002 | 860.242.8586 | pdsec.com TOTAL PROJECT SIZE: 10,740 SF Another Successful Project by PDS WALLINGFORD TRUCK STORAGE FACILITY | WALLINGORD, CT The new DPW facility for the Town of Wallingford is a 10,740 square foot pre- engineered metal building. The project included 10 truck bays with overhead doors, 4' high concrete kicker wall, clear span, office space, lockers, restrooms, training room, mechanical room, tool storage, wash bay and a mezzanine. SPOTLIGHT ON: MUNICIPAL THINK • PLAN • BUILD Another issue with federal tax hikes, of course, is how they might impact the Nutmeg State. There's a lot to like about living in Connecticut, but state taxes aren't among them. And a jump in the federal tax rate could help nudge some on-the-fence residents to pull up stakes for a friendlier location, Monaghan said. "One large manufacturing client is seriously looking at moving their headquarters to Texas," she said. "A lot of their operations are already out of state, so this would cap the exodus. Unfortunately, moves like this are nothing new. Connecticut's property taxes are fairly outrageous, and the state's individual income taxes are pretty high. It's a chronic problem." Turbulent times require sound investment and tax strategies, experts say By Martin Daks Special to the Hartford Business Journal C onnecticut's got its share of residents in the high-net-worth ranks — generally defined as an individual with at least $1 million in cash and similar liquid assets — but once you've made it, there's another challenge: keeping it and growing your wealth. We spoke with some investment and tax experts about best practices and strategies to increase a nest egg, while legally shielding more of it from the tax collector. Taken individually, events like a significant change in administration, a pandemic and the resulting body blows to the economy would be enough to challenge just about anyone. But when they strike simultaneously — and when a new U.S. president and most of Congress also call for a series of tax increases on wealthy individuals and families — you've got a perfect storm that drives people to reexamine their portfolios, estate planning and other issues. Financial planners and CPAs have some advice. To begin with, we asked some professionals for three pieces of investing advice during topsy-turvy times where — at least in the U.S. — fears of a possible inflationary spike have replaced concerns of a deflationary spiral. Here are their words of wisdom: Kevin C. Leahy, President and CEO, Connecticut Wealth Management in Farmington 1. Understand the return required from your portfolio to meet your needs now and into the future by building a plan. You might be surprised to learn that you can take on less risk in the form of stock exposure and still meet your goals. 2. Set appropriate expectations for bond returns and examine a more dynamic approach to fixed income in this low interest rate environment. 3. Consider establishing a private equity allocation (investments in companies that are not listed on public exchanges) to further diversify portfolios if appropriate. Be sure you fully understand liquidity constraints and other risks with private market investments. Justin Bernier, Founding Partner, Hartford-based All Source Investment Management 1. Work with advisers who know how to use private investments that can help you get off the stock market's roller coaster ride. 2. Don't rely on traditional bonds and CDs for income because the interest is unlikely to keep up with rising rates and inflation. Look to private credit and private real estate for higher income opportunities. 3. Avoiding large drawdowns is the key to long- term wealth creation, so don't cut corners when it comes to your money. Be willing to pay advisers who have a real, defined risk management process; let the other ones go. FOCUS: WEALTHIEST PEOPLE

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