Sanford Schmidt on Navigating Wealth Management with Integrity and Strategy

Sanford Schmidt, a distinguished figure in the realm of financial planning, is the Founder and Chairman of Schmidt Financial Group (SFG), a boutique firm based in Northbrook, Illinois. With over three decades of experience, Schmidt has forged a path in wealth management and financial advising, tailoring strategies that protect and maximize the wealth of affluent families. Holding a Bachelor of Science in Accounting from the University of Illinois at Chicago and multiple esteemed financial credentials, he is recognized for his client-focused and strategic solutions. In this interview, Sanford Schmidt shares insights into his professional journey and the principles that guide his approach to financial advising.

Establishing Professional Identity and Values

What motivated you to build your career in finance and wealth management?

To educate people on complex topics and strategies in order to show them how to maximize and preserve their wealth.

Can you share a key moment that reinforced your commitment to helping clients navigate financial success?

The death of a client’s spouse in which my planning created 8.5 million dollars of tax-free capital to eventually protect the estate and provide the necessary liquidity to pay estate taxes.

How do you approach integrity and trust in your professional relationships?

By educating clients on what their options are in order for them to make intelligent decisions. Giving them choices to make the right decision for their family.

What guiding principles have shaped your approach to financial advising?

Honesty, integrity, and trust.

Career Achievements and Client Success

What accomplishments in your career reflect your dedication to client success?

Giving and providing the peace of mind that a lifetime of work is being preserved for their children and grandchildren.

How do you maintain balance and perspective while managing high-stakes financial planning?

By delegating and building a team of experienced qualified people who take on various aspects of client service. This allows me to have the time to work closely with clients.

How do you measure success—both for yourself and the clients you serve?

Success is measured by client satisfaction and referrals. Ninety-five percent of our business comes from professional advisor relationships and client referrals.

The Impact of Expertise

Can you share a meaningful story where your expertise made a significant impact on a client's financial future?

I was working with a C-suite executive at the time before he retired and helped him organize all of the assets he accumulated over his lifetime. He had a large estate subject to estate taxes. He was worried about the lack of financial experience his wife and children had should something happen to him. I helped him reorganize and structure the proper ownership of his assets to make sure they eventually wouldn't go through the probate process. We then structured his assets in which he controlled them but did not own them for estate tax purposes. This process would eventually save the family over 15 million dollars in estate taxes. Since he was concerned about the lack of financial education his children had, we created flow charts of his estate in which his wife and children could understand. We educated all family members on the planning strategies that were implemented and provided annual updates to keep the planning current. My client passed away, and the planning that was implemented has served as the blueprint for the family. We continue to update the planning models annually and have developed a close relationship with the adult children along with the rest of the financial advisors to collaboratively have everyone understand what my client wanted to have done.

This interview with Schmidt offers a glimpse into his esteemed career in finance and wealth management, highlighting his commitment to client success and integrity.

Expertise and Achievements

What unique strategies have you developed to address the specific needs of high-net-worth individuals?

Our approach involves creating custom financial plans that are meticulously tailored to the individual needs of clients. For high-net-worth individuals, this means integrating estate and tax planning strategies that will not only safeguard assets but also ensure efficient wealth transfer to future generations. We also focus on risk management and investment strategies to protect and grow their wealth in fluctuating markets.

Can you discuss a defining achievement in your career that highlights your expertise in financial planning?

One defining achievement was working with a client who had an extensive portfolio but faced significant estate tax liabilities. By restructuring his asset ownership and implementing a comprehensive estate plan, we were able to save the family over $15 million in estate taxes. This involved a lot of education and coordination with the client's family to ensure they understood and could continue the plan after his passing.

What role does innovation play in your financial strategies, especially in dealing with economic fluctuations?

Innovation is crucial in our financial strategies. We continuously stay abreast of tax law changes and developments that can affect the financial strategies we implement. This proactive approach allows us to protect client portfolios from unexpected downturns and seize opportunities for growth.

Vision for the Future

As you look to the future, what are your goals for Schmidt Financial Group and your clients?

Our goal is to continue evolving as a firm that exemplifies excellence in client service and strategic planning. We are committed to expanding our educational programs, ensuring our clients are informed and empowered to make sound financial decisions. Additionally, we aim to enhance our team with skilled professionals who share our values of integrity and dedication to client success.

How do you see the landscape of wealth management changing over the next decade, and how are you preparing for these changes?

The wealth management landscape is increasingly moving towards integrated and holistic solutions, combining financial, legal, and tax advice. We are preparing by strengthening our collaborations with legal and accounting professionals and diversifying our services to include more comprehensive offerings. This holistic approach will be key in addressing the complex needs of future clients.

What message would you like to leave for individuals starting their journey in financial planning and wealth management?

For those entering the field, I would emphasize the importance of a client-first mindset. Building strong relationships based on trust and transparency is foundational. Secondly, building a knowledge base of tools and techniques to educate clients on what their options are is an important aspect of gaining trust and confidence. Additionally, staying informed about industry trends and changes in regulations is essential for providing the best advice and service.

This conversation with Sanford Schmidt offers valuable insight into the principles that have shaped his career—integrity, strategic foresight, and an unwavering commitment to his clients. As Chairman of Schmidt Financial Group, he continues to set the standard in wealth transfer planning by crafting tailored solutions that preserve and grow generational wealth. His dedication to client education and long-term financial security ensures that the families he works with are not just prepared for the future but empowered to shape it.

We sincerely appreciate Schmidt for sharing his time and expertise. His approach to financial planning serves as a blueprint for excellence in the industry, proving that true success lies not just in numbers, but in the lasting impact made on the lives of others.

Sandy Schmidt