Johnathan Rickman | Blue Vault
Fusion Financial Group, a small, women-owned advisory firm founded in 2020, has never not known uncertain economic climates. That’s why from the get-go, Fusion has made alternative investments a key component of client portfolios to better address turbulence from rising interest rates, inflation, and other post-pandemic risks.
Traditional short- and intermediate-term bonds were no longer cutting it in that role, so Keri Pugh, Fusion’s Founder and Financial Advisor, turned to nontraded REITs for both stabilization and diversification:
“We use REITs as a way of adding another ‘airbag’ feature to a client’s portfolio,” Pugh says. “Things may go up and go down, but alternatives are still paying out that dividend and facilitating portfolio returns.”
Rising Advisory Star
A part of the Ascent Financial Network, Fusion was founded by Pugh in late 2020 and officially launched in 2021. While still very young, the firm is led by a team of professionals with decades of experience in the investment industry. Working through their broker-dealer, LPL Financial, the firm offers tiered advice and financial planning services for individual investors and their families as well as exit and tax planning for business owners. Fusion coaches clients across 32 states and has $196 million in assets under management.
The small firm consists of roughly half a dozen professionals, including a wealth advisor and a lead financial advisor in Pugh. While Fusion mostly assists high-net-worth investors, Pugh says she and her team are conscientious about helping women and young families that are diligent savers with little debt. “With small steps, one walks far,” she says. “We take pride in working in a space that is representative of who we are and what’s important to us.”
Due Diligence and Data
Pugh says Fusion sees particular value in REITs focused on industrial warehouses, finding that link in the consumer product chain to be markedly resilient in high-rate environments. “The U.S. consumer is one of the biggest components of the overall GDP,” she notes. “Plus, it’s exciting to weave in stories and products about some of these innovations,” she says.
Performing due diligence on investment choices is never easy, and Fusion has expert personnel who handle that. But the team also turns to Blue Vault and its resources for help with staying on top of individual investment performance and to look for new opportunities.
“A good story, a solid history, and a great track record are important attributes for the kind of sponsors we want to work with,” Pugh says. “This is why we look at Ares Management … and other companies who are able to generate liquidity events — one of the hallmarks of a successful business — rather than reach for the next hot thing.”
“Part of what I like about Blue Vault is the added oversight their research provides,” she says. “Their performance reports and analysis, coming from a trusted source, help make the universe of alternative investments seem smaller and more manageable.” Learn more about Fusion Financial Group and consider joining them in becoming a Blue Vault member today!
