Morgan Stanley Our Process The Bjorklund Group at Morgan Stanley 1
Our Team Overview Brian Bjorklund Vice President, Wealth Advisor 952.921.1906 direct brian.bjorklund@morganstanley.com Kris Bjorklund Portfolio Manager, Financial Advisor, Financial Planning Specialist 952.921.1975 direct 612.424.8999 direct fax kris.bjorklund@morganstanley.com Our mission is to provide clients with a professional investment team that has a reputation for integrity, trust and superior service. We always consider our clients needs first; reviewing, educating and recommending courses of action that are appropriate to each situation and individual goals and objectives. The Bjorklund Group Branch Office and Mailing Address Morgan Stanley Wealth Management 8300 Norman Center Drive, 11 th Floor Bloomington, MN 55437 Greg Hynes Client Service Associate 952.841-6448 direct Greg.hynes@morganstanley.com 952.921.1900 main number 800.927.1990 toll-free Team Website: http://www.morganstanleyfa.com/thebjorklundgroup 2
Our Team Background Brian and Kris have prided themselves in crafting a practice that emphasizes families and their constantly evolving needs. Their focus is on helping clients through each stage of their lives, recognizing the changing needs of wealth accumulation, distribution in retirement and preservation for future generations. Since 1998, Brian s passion has always been to work with families and small businesses to help develop asset allocation strategies to enable them to reach their financial goals. Brian and his wife Patricia have lived in Prior Lake, MN since 1983 where they raised their three children: Kristopher, Katie, and Stephanie; along with their two black labs. Away from work, he enjoys the outdoors and finds the most relaxation in game hunting, sporting clays, fishing and golf. Brian s dedication to the wild is further shown in his involvement in Ducks Unlimited and Pheasants Forever. Kris works in portfolio reviews and construction, the creation of financial plans and the administration of clients' accounts. Having started in the financial services industry in 2000, Kris has had a wide-ranging career inside Morgan Stanley giving him the intimate knowledge to serve clients with a high level of service. Originally from Prior Lake, MN, Kris enjoys a variety of outdoor activities with his wife, April, and their two sons Elliott and Samuel. Kris and April regularly visit the north woods of Minnesota for hiking and canoeing trips. Also an avid cook, Kris takes pleasure in creating new recipes for he and his family to share. 3
Our Firm: Morgan Stanley Wealth Management Morgan Stanley Wealth Management is one of the largest, most established wealth management businesses in the industry. With many years of wealth management experience, Morgan Stanley's CEO and senior management team are committed to the ongoing development of highly trained professionals and continued expansion of an outstanding platform of products and services covering a wide array of needs. There are three main business segments which make up Morgan Stanley: Morgan Stanley Investment Management Offers investment expertise and products across a broad spectrum of global equities, fixed income, liquidity, alternatives and private markets. Morgan Stanley Wealth Management Recognized as one of the industry s premier global wealth management firms, built of three segments: US, private, and international wealth management businesses. Institutional Securities Group Global leader in investment banking: consistently ranked among the top firms in M&A, equity underwriting and debt financings. Wealth Management at a glance Nearly 80 years of experience Approximately 60,000 employees world-wide with over 16,000 Financial Advisors $2.0 trillion in client assets $139 billion in bank deposits 1 1 Unaudited. Citibank, Morgan Stanley Bank NA, Morgan Stanley Private Bank National Association Investments and services offered through Morgan Stanley Smith Barney LLC. Member SIPC 4
Our Investment Process From our first meeting, we will work closely with you to develop an investment strategy tailored to your personal circumstances, needs and priorities. You can count us for: 1Comprehensive Financial Planning 2Portfolio Management 3Coordinated, Well-Considered Decisions 4Exceptional Service We begin by listening to you and understanding your goals as well as your finances. We capably serve as your advocate, enlisting the vast resources of Morgan Stanley to develop solutions for the various aspects of your financial life. Your goals to grow, preserve and transition your wealth are always tempered with prudent levels of risk. We focus on balance in tandem with performance. The result ensures you are moving forward within a framework that s comfortable for you. We welcome an introduction to your tax specialist and estate attorney. This can aid our development of investment strategies that serve your interests in all ways. Our team prides itself on timely, thoughtful responses to your inquiries. We take the initiative to communicate regularly and enjoy the relationship that comes with meeting your needs. 5
Our Client s Story Below is a case-study: The Details Married, Minnesota couple in their 60 s Husband newly retired, taking social security early at 64 Primary goal to have wife fully retire in 2-5 years and be able to travel the US together The Recommendations Begin by working with us to create a detailed financial plan Consolidate all accounts into Morgan Stanley Wealth Management Stop current social security payments and pay back payments already received, wait until age 70 Consider investments that protect principal and create future income The Results Clients gained control and have a better understanding of their accounts through consolidation The clients were able to maximize social security by utilizing a file and suspend strategy Invested their assets in a way that will allow them the income they need to live comfortably in retirement 6
Our Services Non-Financial Services Planning Services: Retirement/Income Planning College Planning Estate Planning Multi-Generational Planning Wealth Transfer Strategies Personal & Family Corporate Trust Services Banking/Online Services: Online Account Access/Trading Online BillPay Checks / Debit Card / Amex Credit Card Remote Deposit Electronic Funds Transfer Services Direct Deposit (e.g. Payroll, Social Security) Cash Wire & Certified Check Services Mortgages / HELOC / Portfolio Loans Other Financial Services Investment Accounts and Vehicles Business Retirement Plans (e.g. 401(k), SIMPLE) Equities Investing (Stock, Mutual Funds, ETF, Options) Fixed Income (CDs, Taxable & Municipal Bonds) Insurance (Life, Annuities, Long Term Care) Stock Options Strategies Physical Metals Storage & Delivery (Gold, Silver) World Currency Purchase & Home Delivery Tools to keep you informed: Monthly investment e-newsletter Specific investment research available upon request Regular portfolio review meeting schedule Beneficiary reviews (IRAs, work plan, life insurance) Insurance coverage review Financial & Estate Plans reviewed & updated Coordinate actions recommended by attorneys or CPAs 7
Our Required Disclaimers Under the Bank Deposit Program, cash balances are automatically deposited into interest bearing FDIC insured deposit accounts at Morgan Stanley Bank, N.A. and/or Morgan Stanley Private Bank, National Association. Detailed information on federal deposit insurance coverage is available on the FDIC s website (http://www.fdic.gov/). Morgan Stanley Smith Barney LLC offers insurance products in conjunction with its licensed insurance agency affiliates. 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. Since life insurance and long term care insurance are medically underwritten, you should not cancel your current policy until your new policy is in force. A change to your current policy may incur charges, fees and costs. A new policy will require a medical exam. Surrender charges may be imposed and the period of time for which the surrender charges apply may increase with a new policy. You should consult with your own tax advisors regarding your potential tax liability on surrenders. The views expressed herein are those of the author and do not necessarily reflect the views of Morgan Stanley Wealth Management or its affiliates. All opinions are subject to change without notice. Neither the information provided nor any opinion expressed constitutes a solicitation for the purchase or sale of any security. Past performance is no guarantee of future results. While a Financial Plan may consider assets held in your brokerage accounts at MSSB (if any), those accounts will continue to be brokerage accounts, and not advisory accounts. Moreover, you have sole responsibility for determining whether, when and how to implement any part of a Financial Plan, whether through MSSB or otherwise, and you have no obligation to implement any part of the Financial Plan through MSSB. If you do choose to implement a Financial Plan through MSSB, unless you expressly engage MSSB in writing to act as an investment adviser in one or more advisory accounts, MSSB will implement solely in its capacity as broker, and not as an investment adviser. In a brokerage account, you retain the sole responsibility for making all investment decisions with respect to the account and for monitoring account performance To understand the differences between brokerage and advisory relationships, you should consult your Financial Advisor or review our Understanding Your Relationship with Morgan Stanley brochure available at http://www. morganstanley.com/ourcommitment. Residential mortgage loans/home equity lines of credit are offered by Morgan Stanley Private Bank, National Association, an affiliate of Morgan Stanley Smith Barney LLC. With the exception of the pledged-asset feature, an investment relationship with Morgan Stanley Smith Barney LLC does not have to be established or maintained to obtain the residential mortgage products offered by Morgan Stanley Private Bank, National Association. All residential mortgage loans/home equity lines of credit are subject to the underwriting standards and independent approval of Morgan Stanley Private Bank, National Association. Rates, terms, and programs are subject to change without notice. Residential mortgage loans/home equity lines of credit may not be available in all states; not available in Guam, Puerto Rico and the U.S. Virgin Islands. Other restrictions may apply. The information contained herein should not be construed as a commitment to lend. Morgan Stanley Private Bank, National Association is an Equal Housing Lender and Member FDIC that is primarily regulated by the Office of the Comptroller of the Currency. Nationwide Mortgage Licensing System Unique Identifier #663185. The proceeds from a residential mortgage loan (including draws and advances from a home equity line of credit) are not permitted to be used to purchase, trade or carry eligible margin stock; repay margin debt that was used to purchase, trade or carry margin stock; or to make payments on any amounts owed under the note, loan agreement, or loan security agreement; and cannot be deposited into a Morgan Stanley Smith Barney LLC or other brokerage account. The sole purpose of this material is to inform, and it in no way is intended to be an offer or solicitation to purchase or sell any security, other investment or service, or to attract any funds or deposits. Investments mentioned may not be suitable for all clients. Any product discussed herein may be purchased only after a client has carefully reviewed the offering memorandum and executed the subscription documents. Morgan Stanley Wealth Management has not considered the actual or desired investment objectives, goals, strategies, guidelines, or factual circumstances of any investor in any fund(s). Before making any investment, each investor should carefully consider the risks associated with the investment, as discussed in the applicable offering memorandum, and make a determination based upon their own particular circumstances, that the investment is consistent with their investment objectives and risk tolerance. 8
Our Required Disclaimers Alternative investments often are speculative and include a high degree of risk. Investors could lose all or a substantial amount of their investment. Alternative investments are suitable only for eligible, long-term investors who are willing to forgo liquidity and put capital at risk for an indefinite period of time. They may be highly illiquid and can engage in leverage and other speculative practices that may increase the volatility and risk of loss. Alternative Investments typically have higher fees than traditional investments. Investors should carefully review and consider potential risks before investing. Past performance is no guarantee of future results. Actual results may vary. Diversification does not assure a profit or protect against loss in a declining market. Alternative investments involve complex tax structures, tax inefficient investing, and delays in distributing important tax information. Individual funds have specific risks related to their investment programs that will vary from fund to fund. Clients should consult their own tax and legal advisors as Morgan Stanley Wealth Management does not provide tax or legal advice. Interests in alternative investment products are offered pursuant to the terms of the applicable offering memorandum, are distributed by Morgan Stanley Smith Barney LLC and certain of its affiliates, and (1) are not FDIC-insured, (2) are not deposits or other obligations of Morgan Stanley or any of its affiliates, (3) are not guaranteed by Morgan Stanley and its affiliates, and (4) involve investment risks, including possible loss of principal. Morgan Stanley Smith Barney LLC is a registered broker-dealer, not a bank Investments and services offered through Morgan Stanley Smith Barney LLC. Member SIPC. The investments listed may not be suitable for all investors. Morgan Stanley Smith Barney LLC recommends that investors independently evaluate particular investments, and encourages investors to seek the advice of a financial advisor. The appropriateness of a particular investment will depend upon an investor's individual circumstances and objectives. The views expressed herein are those of the author and do not necessarily reflect the views of Morgan Stanley Wealth Management or its affiliates. All opinions are subject to change without notice. Neither the information provided nor any opinion expressed constitutes a solicitation for the purchase or sale of any security. Past performance is no guarantee of future results. Tax laws are complex and subject to change. Morgan Stanley Smith Barney LLC ( Morgan Stanley ), its affiliates and Morgan Stanley Financial Advisors and Private Wealth Advisors do not provide tax or legal advice and are not fiduciaries (under ERISA, the Internal Revenue Code or otherwise) with respect to the services or activities described herein except as otherwise agreed to in writing by Morgan Stanley. Individuals are encouraged to consult their tax and legal advisors (a) before establishing a retirement plan or account, and (b) regarding any potential tax, ERISA and related consequences of any investments made under such plan or account. 9