During the year ended December 31, 1989, we sold or otherwise disposed of all race horses in order to settle then-outstanding indebtedness. From December 31, 1989 until March 9, 2005, we had no operations, and nominal assets or liabilities. Prior to March 2005, our principal business activity was to seek a suitable reverse acquisition candidate through acquisition, merger or other suitable business combination method. In March 2005, we acquired Duncan Capital Financial Group, Inc. ("Duncan") and focused our business operations on the provision of financial services including third party retirement plan and administration and the sale of insurance and annuity product sales.
Overview
Our strategy, since the acquisition of Duncan, has been to continue to grow our business organically and to purchase majority interests in small to medium-sized pension advisory, investment management and insurance organizations with recurring revenue streams and consolidate these businesses to take advantage of cross-selling opportunities, economies of scale, efficiencies and where appropriate, consolidation of overhead. To grow organically we seek to increase our client base and to expand the services we offer to them through focused account management and administration, emphasizing services with recurring revenues and long-term relationships. Specifically, we seek to increase our business base through the following:
o organic growth of our clients;
o sales of additional products and services to existing clients;
o direct sales to new clients; and
o acquisitions of businesses that provide similar and/or complementary
solutions.
Since March 2005, in furtherance of our acquisition strategy, we
have acquired several business including the following:
o Duncan Capital Financial Group, Inc.;
o Haddon Strategic Alliance;
o Stephen H. Rosen & Associates, Inc.;
o certain assets of American Benefit Resources;
o Valley Forge Enterprises, Ltd.;
o Lamoriello & Co., Inc.;
o Circle Pension, Inc.;
o Southeastern Pension Services, Inc.;
o Benefit Dynamics, Inc.;
o National Actuarial Pension Services, Inc.;
o Pentec, Inc.;
o Pentec Capital Management, Inc.; and
o The Pension Alliance, Inc.
The services we offer, through our subsidiaries, are as follows:
o Pension plan design, creation, termination and administration;
o Investment management of retirement plan assets;
o Investment management of non-plan assets for wealthy individuals;
o Quarterly asset monitoring reports;
o 401(k) asset management through insurance company programs and an
in-house daily valuation platform;
o Retirement distribution studies;
o Life insurance;
o Deferred compensation and annuities; and
o Limited hospitalization and long-term care insurance.
Once an entity becomes a client for one of our subsidiaries, it is often a good candidate for cross selling opportunities. We view our company as independent retirement planning consultants for our clients, recommending third party products and investment platforms that we believe serve our clients' best interests.
The retirement and pension consulting and administration services for pension and other retirement plans include the following areas:
o preparation of plan feasibility and design studies, including the fields of contribution maximization/reduction, retirement planning and distribution, executive compensation, new comparability, 401(k) plans, plan terminations, governmental compliance and coverage, participation and discrimination testing; and
o administration of existing plans, including: preparation of government forms and summary plan descriptions, training personnel, maintaining employee data maintenance systems, maintaining detailed asset reconciliation data, providing periodic reports, determining plan contributions and benefits, distributions to plan participants, termination of employees and plans and coordination with other benefit programs.
Our financial advisory services provided through our subsidiaries are focused on small businesses and high net worth individuals. Representatives of our subsidiaries are NASD-licensed registered representatives who work in conjunction with several registered broker dealers and registered investment advisers to provide investment advisory services to corporations, individuals, retirement plan trustees and charitable foundations in the following areas:
o review of assets and investments, including investment allocations;
o determination of investment goals and strategies in light of the
client's objectives, degree of risk and time horizon;
o implementation of investment programs from among a broad spectrum of
investment choices, including domestic and international mutual
funds, certificates of deposit, treasuries, fixed and variable
annuities, and specialty investments; and
o monitoring performance results of investments and advising the
client of any recommended adjustments.
Through our subsidiaries, we are also engaged in the business of insurance and annuity product sales as well as estate planning services highlighting wealth accumulation, preservation and transfer needs. Fee income is generated through commissions on product sales.
