Guiding clients toward retirement
You never think it could happen to you. Someone else is going to be hit by a bus or be diagnosed with a life-threatening illness. Someone else is going to have failed back surgery. Someone else, but not you.
William H. Hamel used to think this way; it's only human nature. But not anymore.
"I stake my reputation on my ability to guide my clients toward retirement. It's an honor to have their confidence and trust."
Two spinal surgeries in the fall of 2013, the first one scheduled and the second an emergency procedure eight days later, left Hamel with a deep understanding that no one can take their health — or their finances, or anything else, for that matter — for granted. "It was a real wakeup call, and not just about my physical health," says Hamel, Senior Director of Investments — Private Client Division, in the Cherry Creek, Denver office of Oppenheimer & Co. Inc. "It made me take a good, hard look at my financial health as well."
Though Hamel has fully recovered from his spinal surgeries — slowly working his way back from a wheelchair to a walker, and relishing the day he was able to throw away his cane — he feels the experience gave him greater insight into and compassion for others' struggles. "Helping clients reach their financial goals has always been my true passion. My recent challenges only strengthened this commitment."
John Hull, one of Denver's finest physical therapists, began Hamel's road back to health. "Baby steps, Bill," John says. "We can only get there one step at a time."
Hamel entered the investment world in 1986 with a knack for numbers and a keen understanding of how capital markets work. In fact, he believes it is his understanding of the capital markets that has allowed him to oversee money in all types of markets. He became a designated retirement plan consultant 10 years later, quickly building a large, nationwide practice with a global financial services firm.
"I stake my reputation on my ability to guide my clients toward retirement," he says. "It's an honor to have their confidence and trust."
Hamel enjoys the rewards and reputation that come with hard work and discipline. His practice has grown steadily since the 1990s, primarily through referrals.
After nearly 30 years in the financial services industry, Hamel knows firsthand there are times when the markets are amicable toward good returns and times when they are not. "What we offer," he says, "is the wisdom to address the difference."
Indeed, Hamel is known for his ability to recommend tailored strategies that seek to maximize potential gains and minimize losses in various types of markets. "Portfolios can be recommended based on some of the risks we don't have to take," he explains. "Sometimes it's ok not to be in the market."
One potential strategy is a decades-old hedging investment process that, when used properly, offers investors an opportunity for enhanced returns regardless of market trends. Though tried and true, it has largely been abandoned by most portfolio managers, and few investors take the time to learn it, Hamel says. "Properly understanding and using this strategy within an investment plan is just one example of how clients can experience positive performance in down markets. It not only helps protect against risk, it can create income." Hamel typically takes advantage of three or four hedging cycles a year. This strategy has broad applications; however, it is not applicable for all investors.
Hamel has grave concerns as he contemplates the future of the U.S. economy. He is troubled by the country's historic debt levels and says rising interest rates could bring additional challenges for investors, particularly those in or near retirement. As he explains, when interest rates rise, bond funds, popular with many retirees, could lose value.
"If there was ever a time for investors to ask themselves — and their financial advisors — some tough questions, it's now. During these uncertain times, you need to expect more from your financial advisor."
"Anyone who is not taking serious steps to protect their money could be in for a terrible shock," Hamel says. "This is especially true if you're a retiree or a pre-retiree. As we grow older, we can't afford serious setbacks, and we're looking at potential drawdowns of 15 to 20 percent. Even the most sophisticated asset allocation strategy won't protect against that. During these uncertain times, you need to expect more from your financial advisor. If there was ever a time for investors to ask themselves — and their financial advisors — some tough questions, it is now."
From a small town in Wyoming to the top of his profession
From small-town America to a small, regional university to the highest echelons of the investment world: Hamel is amazed and humbled by where — and how far — his life's journey has taken him.
Hamel left his hometown behind many years ago, but he remains true to his small-town values. Indeed, he believes those values are key to his success. "You finish what you start, and you do it with integrity," he says. "You promise much, follow through and deliver more. This is what I learned growing up in Wyoming, and graduating from the University of Wyoming. And it's who I am today."
