David Baker - Phoenix Private Wealth

David Baker - Phoenix Private Wealth Currently a CERTIFIED FINANCIAL PLANNER™ professional and Senior Partner of Phoenix Private Wealth, I Equal Opportunity Employer M/F/D/V.

Phoenix Private Wealth is not owned or operated by Equitable Advisors or Equitable Network

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offer securities through Equitable Advisors, LLC (NY, NY (212) 314- 4600), member FINRA, SIPC (Equitable Financial Advisors in MI & TN), offer investment advisory products and services through Equitable Advisors, LLC, an SEC-registered investment advisor, and offer annuities and insurance through Equitable Network, LLC, (Equitable Network Insurance Agency of California, LLC; Equitable Network Insurance Agency of Utah, LLC; Equitable Network of Puerto Rico, LLC). All companies are affiliated and do not provide tax or legal advice. For financial professionals conducting business in the state of New York who hold one or more of the following designations and title respectively, please see Important Information Disclosures in the link below: CASL, RICP, and CRPC professional designations, and RETIREMENT PLANNING SPECIALIST title. Important Information Disclosures: http://bit.ly/2f98X9d

09/02/2026

**Everyone talks about the Great Wealth Transfer like it's just about stock portfolios and real estate changing hands. New 2026 data shows a much messier reality underneath that.**

A new Bank of America Private Bank study found that 23% of wealthy business owners now say they inherited their company, more than double the 11% reported just two years earlier, and up sharply from only 5% in 2022.¹ Family involvement in business decisions has also jumped, rising to 27% from just 7% two years ago.¹

Longevity is compounding the complexity. Over 90% of wealthy respondents now cite increased longevity as a major factor reshaping their planning timelines, and the same study found that only 46% actually have the core legal documents in place, a will, a healthcare directive, and a durable power of attorney, despite how central this issue has become.²

Here's the disconnect worth sitting with: 78% of business owners say succession planning is important to their wealth strategy, but only 20% have a fully documented plan.² That gap is where most of the real damage happens.

Inheriting a stock portfolio and inheriting an operating business are not the same event. A portfolio doesn't have payroll, a cap table, or outstanding debt attached to it. A business does, and none of that pauses while a family figures out who's in charge.

The businesses navigating this well aren't the ones with the most revenue. They're the ones who built the succession architecture years before the founder actually stepped back, not in the scramble after.



Follow us and subscribe so you don't miss updates like this. Check out the Overtime Earnings podcast for the deeper conversation.

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¹ Bank of America Institute, "2026 Bank of America Private Bank Study of Wealthy Americans," June 17, 2026
² Bank of America Newsroom / PR Newswire, "BofA Study Finds Longevity and Accelerating Wealth Transfer Are Making Family Finances More Complex," June 17, 2026

09/02/2026

What happens when the stock market dips 3%. Suddenly, otherwise sharp, highly capable people want to move everything to cash by end of day.

The reaction isn't proportional to the market's move. It's proportional to how someone learned to relate to money long before they had a portfolio.

Behavioral economists have a name for this asymmetry: losses register roughly twice as intensely as equivalent gains¹. That's not a character flaw. It's how the brain is wired.

Volatility is also a structural feature of markets, not a malfunction. It's part of the mechanism associated with the long-term return premium on equities². Portfolio-checking frequency tends to rise during periods of volatility, and research on investor behavior has linked more frequent checking with a higher likelihood of short-term trading decisions³.

Both outcomes are real possibilities. If the market rebounds, the founder who moved to cash during the dip doesn't participate in the rebound. If the market keeps declining, staying invested means continuing to feel that decline. Neither outcome is known in advance, which is part of what makes the decision difficult in the moment.

Decisions like this are made differently depending on the person, their portfolio, and what's happening in the world at that moment. Having someone to walk through the decision with, rather than making it alone in the moment, can change how a short-term reaction plays out over the long term.

Follow and subscribe to keep up with more like this.



¹Kahneman, D., & Tversky, A. (1979). Prospect Theory: An Analysis of Decision under Risk. Econometrica, 47(2), 263–292. The Econometric Society.
²Damodaran, A. Equity Risk Premiums (ERP): Determinants, Estimation and Implications. NYU Stern School of Business, working paper series (updated annually).
³Sicherman, N., Loewenstein, G., Seppi, D. J., & Utkus, S. P. (2016). Financial Attention. The Review of Financial Studies, 29(4), 863–897. Oxford University Press for the Society for Financial Studies.

09/02/2026

September has historically been the weakest month for the stock market. Since 1928, average monthly returns have been lower in September than in any other month.¹

A newly released 2026 wealth management trends report from Oliver Wyman highlights how many firms are shifting their Q4 focus.² Instead of trying to predict the next move in the market, they're building what the report calls a "downturn readiness" framework, a pre-defined plan for how a portfolio and balance sheet respond if liquidity drops sharply in a short window.

The instinct to wait until volatility actually hits before deciding on a liquidity or tax strategy is common. It also tends to lead to decisions made under pressure rather than by design.

Last week, a client came to us asking this same question. We were able to walk him through the liquid cash reserve already set aside for near-term expenses, money we allocated as part of his plan well before this conversation came up. He left the meeting relieved and confident in where things stood. The plan was already in place, so there was nothing left to figure out under pressure.

There's no single right answer here. Every plan is different because it's built around the individual, their portfolio, and the conditions of the market at that moment. Waiting can mean missing a rebound. Acting too early can mean giving up upside if the market holds steady. Neither path is automatically better than the other.

What tends to change the long-term trajectory of these decisions isn't the market move itself. It's having someone to walk through the reasoning with before the pressure sets in, not to guarantee a different outcome, but to change the narrative behind why a decision does or doesn't make sense.

If your Q4 plan assumes the market stays calm, it isn't a plan yet. We work with clients every day to build that framework before it's needed.



¹ "Nothing New About September Slides for Stock Markets," RBC Wealth Management, August 29, 2025.
² "10 Wealth Management Trends For 2026," Oliver Wyman, December 2025.

09/02/2026

CEO pay is now roughly 72 to 76% long-term incentives. Base salary has shrunk to just 3 to 8% of total compensation at large public companies.¹

That's a structural shift, not a temporary one. Performance share units (PSUs, equity awards that only pay out if specific performance goals are hit) remain the dominant vehicle, making up roughly 60 to 67% of executive equity awards. Restricted stock units (RSUs, equity awards that vest over time regardless of performance) have also ticked up gradually, from 11% to 15% for CEOs and 14% to 16% for CFOs since 2023.²

Relative total shareholder return, meaning how a company's stock performance compares to a peer group rather than judged on its own, is now used as a long-term performance metric by roughly 70% of S&P 500 companies.¹

The result is a compensation structure built almost entirely around vesting schedules, performance triggers, and equity concentration, rather than cash.

For executives, that creates a few planning questions that don't come up with a traditional salary and bonus structure:

→ When equity vests versus when it's actually sold, and what that gap means for tax timing
→ How much of your net worth is concentrated in a single company's stock
→ How clawback provisions and performance triggers affect what you can count on and when

None of these have a generic answer. They depend on the specific plan design, vesting schedule, and where someone is in their career.

If a meaningful share of your compensation comes through PSUs, RSUs, or performance-based equity, we work through these questions with executives regularly, walking through the structure and what it means for the decisions ahead.



¹ Allshares, "Compensation Trends: 3 Key Takeaways," S&P 500 Compensation Benchmarking Report, based on proxy statements as of June 2026.
² Southlea Group, "Early 2026 Compensation Trends – CEO Pay Increases by 20%," May 21, 2026.

09/02/2026

Many founders I’ve met with equate keeping every dollar of net worth inside the operating business with commitment to what they built. It's worth looking at what that decision protects, and what it leaves exposed.

When we sit down with founders, we see this pattern regularly. Full ownership. Full control. And underneath it, a sense that removing capital from the business means removing something from how the founder sees themselves.

Keeping a family's wealth tied entirely to the operational outcomes of a single company concentrates that outcome in ways many owners haven't fully mapped out. The business functions as the engine that builds wealth. A separate structure, such as a Family Limited Partnership, is one way that wealth, once created, can be held apart from the operating risk of the business itself.

A dividend recap or partial liquidity event isn't a one-directional decision. It can reduce concentration risk and create liquidity outside the business. It can also mean giving up some control, taking on transaction costs, or restructuring ownership at a point when the business may still be growing.

Whether, when, and how to do this depends on the specific business, the family's goals, and current market and financing conditions. There's no single right timeline.

Having someone to think it through with doesn't change what happens with the business. It can change the reasoning behind whether, when, and how to act.

For founders weighing a liquidity event, we can help think through what applies to your situation. Follow us and subscribe to see more.

Your company withheld taxes when your Restricted Stock Units (RSUs) vested. But was it enough? 👀That is one of the topic...
09/01/2026

Your company withheld taxes when your Restricted Stock Units (RSUs) vested. But was it enough? 👀

That is one of the topics discussed in our latest Quick Tip Tuesday, available now!

There is another risk that can build quietly: concentration.
If your income, career, benefits, and a large portion of your investment portfolio all depend on one company, you may be making a much larger bet on your employer than you realize.

A thoughtful RSU strategy should address:
📅 Your vesting calendar
💵 Potential tax obligations
⚖️ The decision to sell or hold
📈 Your exposure to company stock
🧩 The role of diversification in your broader financial plan

There is no universal answer to “Should I sell my RSUs when they vest?” The right decision depends on the company, the stock, your goals, your tax circumstances, and the rest of your portfolio.

🎧 Hear Dave Baker and Ken Handy break down the full playbook:

Spotify 🔗- https://open.spotify.com/show/4Bu8IcKnBqRz1x6wpYjRwb?si=1y8Nt3HJTiWEbJ056kh3Pw

Need a second set of eyes on your equity compensation strategy? Contact Greg Foster and he can connect you with me or an advisor on the team.

📧 [email protected]
📞 410-309-3675

Eighteen holes with two guys who never let me take myself too seriously.I missed a shot badly on hole 7, that par 3, one...
08/31/2026

Eighteen holes with two guys who never let me take myself too seriously.

I missed a shot badly on hole 7, that par 3, one of those swings that just doesn't go where you meant it to. Before I could even react to it, Dave White said, "Forget it. Next shot." Calm, matter of fact, like it was already in the past.

Dave manages risk for a living, so staying level when things don't go as planned is basically second nature to him. Watching him brush off one bad shot without a second thought was a good reminder of how useful that mindset is beyond the golf course too. A setback doesn't have to set the tone for what comes next.

Steve Riegger has been close to our family for years, and golf with him always feels easy. No shop talk, no urgency, just three guys and a scorecard nobody was really tracking.

By the back nine, that shot on 7 was long forgotten. Just good weather, good company, and a game that gave us plenty to laugh about.

Grateful for friends who know how to keep things light and keep you steady.

🚀 Chasing the next big IPO? Slow down before you hit "Buy."When a new IPO makes headlines, the excitement is real.Everyo...
08/31/2026

🚀 Chasing the next big IPO? Slow down before you hit "Buy."

When a new IPO makes headlines, the excitement is real.

Everyone seems to be talking about it: 📺 The media 👥 Friends & coworkers 📱 Social media

But here's an important question:
Are you investing in the business... or the hype?

In our next Overtime Earnings Podcast, available Friday, September 4th, we discuss IPOs through a Warren Buffett-inspired lens and share three key takeaways:

✅ Understand what an IPO actually is
✅ Ask whether you can truly value the company
✅ Remember that patience can be a competitive advantage

One of the biggest mistakes investors make is believing they must act on Day 1.

The reality?
Many successful investments reveal themselves after the excitement fades and the fundamentals become clearer.

Before chasing headlines, take a step back and ask:
"Does this investment fit my long-term plan?"

Listen to this and all other episodes ⬇️

Spotify 🔗- https://open.spotify.com/show/4Bu8IcKnBqRz1x6wpYjRwb?si=1y8Nt3HJTiWEbJ056kh3Pw

As always, if you would like to discuss your financial plan, investment strategy or just to find out if we're a good fit for you, please reach out to Greg Foster, Director of Marketing and Client Engagement. He can connect you with me or another advisor on the team.

📧 [email protected]
📞(410) 309-3675

08/30/2026

A founder holding $750,000 in a checking account, well beyond any calculated need, is a pattern that comes up often. Ask about the math and most can walk through it: inflation and the opportunity cost of uninvested capital versus what the position is earning sitting in cash. The decision to keep it there anyway tends to persist regardless.

This maps onto a well-documented pattern in behavioral finance. Research on loss aversion has found that investors weigh the risk of loss so heavily relative to potential gains that they hold excess cash even when the expected cost of doing so, in this case inflation and forgone returns, is well understood¹. The gap isn't a knowledge problem. It's a difference between what the numbers say and how a loss would feel if it happened.

There are two sides to holding a large cash position. It provides certainty and immediate access, which has real value in specific situations. It also means the balance loses purchasing power to inflation over time and misses the returns available elsewhere, and the two considerations don't carry equal weight for every person.

What counts as an appropriate cash reserve is different for each person and business, based on actual monthly burn rate, upcoming obligations, and current market conditions, not a fixed percentage that applies broadly. Working through that calculation with someone else doesn't change what the market or inflation will do, but it can change the reasoning behind how much cash makes sense to hold and why.

At Phoenix Private Wealth, this is a common starting point in conversations with founders and business owners.

Follow and subscribe to keep up with more like this.



¹Benartzi, S., & Thaler, R. H. (1995). Myopic Loss Aversion and the Equity Premium Puzzle. The Quarterly Journal of Economics, 110(1), 73–92. Oxford University Press.

08/30/2026

Entrepreneurs build businesses by controlling outcomes directly: outworking competitors, adjusting strategy in real time, intervening when something isn't working. That same instinct, applied to a portfolio during a downturn, often leads to frequent trading and active intervention.

Research on this pattern is well documented. Investors who trade more frequently have been shown to earn lower net returns on average than those who trade less, with the gap attributable largely to the trading itself rather than to skill or information¹. The instinct to act isn't unreasonable. It's the same instinct that produces results in a business. It just doesn't map onto markets the same way.

There are two sides to frequent intervention during a downturn. Acting can occasionally position a portfolio ahead of a specific event. It can also mean locking in losses, increasing transaction costs, and reacting to short-term volatility that would have resolved on its own over a longer horizon.

How much active involvement makes sense during a downturn depends on the individual, their portfolio structure, and what's actually happening in the market at the time, not a fixed rule for everyone. Talking through the instinct to act before acting on it doesn't change how the market performs, but it can change the reasoning behind whether acting makes sense in a given case.

At Phoenix Private Wealth, this is a recurring part of the conversations we have with clients, particularly during volatile periods.

Follow and subscribe to keep up with more like this.



¹Barber, B. M., & Odean, T. (2000). Trading Is Hazardous to Your Wealth: The Common Stock Investment Performance of Individual Investors. The Journal of Finance, 55(2), 773–806. American Finance Association.

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