Savvly Advisor, LLC is an exempt reporting advisor. Information presented is for educational purposes only intended for a broad audience. The information does not intend to make an offer or solicitation for the sale or purchase of any specific securities, investments, or investment strategies. Investments involve risk and are not guaranteed. Savvly Advisor, LLC has reasonable belief that this marketing does not include any false or material misleading statements or omissions of facts regarding services, investment, or client experience. Savvly Advisor, LLC has reasonable belief that the content as a whole will not cause an untrue or misleading implication regarding the advisor’s services, investments, or client experiences.
Past performance of specific investment advice should not be relied upon without knowledge of certain circumstances of market events, nature and timing of the investments and relevant constraints of the investment. Savvly Advisor, LLC has presented information in a fair and balanced manner.
Past performance is not indicative of future performance. Principal value and investment return will fluctuate. There are no implied guarantees or assurances that the target returns will be achieved or objectives will be met. Future returns may differ significantly from past returns due to many different factors. Investments involve risk and the possibility of loss of principal. The values and performance numbers represented in this report reflect Savvly Advisor, LLC’s management fees.
The values used in this report were obtained from sources believed to be reliable. Performance numbers were calculated by Savvly Advisor, LLC using the data provided. Please consult your custodial statements for an official record of value.
Savvly Advisor, LLC is not giving tax, legal or accounting advice, consult a professional tax or legal representative if needed.
Savvly Advisor, LLC is an exempt reporting advisor and is the investment manager of Savvly Investment Fund 1, L.P., a 3(c)-7 fund and Savvly Investment Fund 2, L.P., a 3(c)-1 fund.
The case study examples assume a 4% per annum retirement portfolio withdrawal, 4% per annum retirement portfolio growth, and market returns of 6% per annum. Figures include reinvestment of capital gains and dividends, but do not reflect the effect of any applicable sales charges, advisor fees, or redemption fees, which would lower these figures. TThe case studies are not intended to imply any future performance of the fund.
Assumptions and Risks
These case studies are for illustrative purposes only, to help show possible performance for investors. These case studies are created based on various assumptions, and there is no guarantee that these same results will be achieved by investors. The use of hypothetical returns naturally entails inherent risks and limitations. These returns do not represent the performance of any particular investor, account, or portfolio. No representation is being made that any investor will, or is likely, to achieve gains or losses similar to those presented. Please consider these and other factors carefully and do not place undue reliance on hypothetical information. These case studies are based on the following assumptions:
• Case studies shown assume a management fee of 0.25% per year, and a one-time payout fee of 2%. Individual advisor fees are not included and may vary.
• All case studies assume inflation of 3.5%, retirement portfolio real growth of 4% per annum before final payout, retirement portfolio real growth of 2.2% per annum after final payout, and S&P 500 real growth of 7.5% per annum. These assumptions are based on long-term projections. References to future expected returns are not promises of actual returns that may be realized, and should not be relied upon in that regard. Actual returns may vary significantly.
• Case studies assume a 3% early withdrawal rate before payout or death. In case of death or early withdrawal, beneficiaries receive 25% of the lesser of their initial investment or the current market value of that investment.
• The case study for Fred assumes net accumulation of $61K per year before retirement
• Mortality rates were estimated based on the Actuarial Life Table provided by the Social Security Administration. A mortality table is a table prepared by actuaries that shows the rate of deaths occurring in a defined population over a particular time period. Based on a mortality table, it is possible to calculate the probability of a person’s death based on their age. The Actuarial Life Table is the base used by the Society of Actuaries for their analyses of financial exposure that is associated with mortality.
In addition to standard investment risks, the actual payouts received by clients may be impacted by sequence of returns risk and the volatility experienced within the sequence of returns. Sequence of returns risk is the risk that comes from the order in which investment returns occur. Significant market declines near payout age may reduce that amount received unless a client chooses to extend their investment over a longer duration.
In addition to investment risks, the long-term total return of the Savvly is impacted by actual redemption rates (either voluntary or upon death) of Savvly investors. Total returns may decline if mortality rates or voluntary redemptions decline and may increase if mortality rates or voluntary redemptions increase. To the extent investors live longer than predicted by the mortality table, the return provided by the longevity reallocation mechanism will be reduced. No assurance can be given that the mortality experience of Savvly will conform to that reflected in the Actuarial Life Table.
Unlike traditional mutual funds or exchange traded funds (“ETFs”), Savvly operates unique investment fund structures and investors should carefully consider whether their financial condition and investment objectives are aligned with these retirement-focused investments. Savvly may be suitable for an investor primarily concerned about ensuring sufficient capital for the later years of retirement. Savvly may not be suitable for an investor whose primary objective is short term growth. Payouts from Savvly are tied to the life of the investor and, accordingly, people with serious or life-threatening health issues should not invest in Savvly.
Savvly is not an insurance company, Savvly investments are not insurance or annuity contracts, and investors will not have the protections of insurance laws. Payouts from Savvly are not guaranteed or backed by an insurance company or any third party, nor are they exposed to counterparty risk from Savvly, as investors have title to assets in the underlying limited partnership in the event that Savvly stops operating.
The long-term total return of Savvly may be impacted by volatility and sequence of returns risk. The long-term total return of Savvly will also be impacted by actual redemption rates, and may increase or decline as mortality rates or voluntary redemptions increase or decline. This is not a complete list of the risks associated with an investment in Savvly.
Please read the Private Placement Memorandum before investing. Important information about Savvly is contained in the Private Placement Memorandum. Management fees and expenses all may be associated with investments in private placement opportunities. Private placements are not guaranteed, their values change frequently, and past performance may not be repeated.
Savvly Advisor LLC is the Manager of funds invested in Savvly. For further information on Savvly, please visit www.savvly.com. Savvly and the Savvly logo are trademarks of Savvly Advisor LLC, registered in the United States.