Rick’s business career began at the early age of 14 when he traded antiques and collectibles. He scoured yard sales and attended auctions to search for anything with hidden value. Those items were resold to dealers directly and to the public through antique shows and swap meets. The money he earned help finance his undergraduate education.
Rick earned a Bachelor of Science in business administration from the University of Rhode Island, holds a Master of Science in finance from Michigan’s Walsh College where he also taught as an adjunct professor, and is a Chartered Financial Analyst (CFA) charterholder through the CFA Institute.
After graduating from college in 1980, Rick served on active duty in the US Marines. He received his Naval wings of gold in 1983 and flew fighter jets all over the world. Rick logged over one thousand hours of tactical flight time, which included landing aboard aircraft carriers. He also served in an infantry battalion as a forward air controller and deployed overseas with the unit. Rick retired from the Marines after twenty years combined active duty and reserve service.
Rick’s investment career began in 1989 as a broker at a traditional Wall Street firm. It was an exciting time. Rapid technological changes and sound monetary policy resulted in an economic boom and surging stock market.
Rick learned a lot during the ten years he was employed in the brokerage industry; unfortunately, the culture was not what he expected. Recognition on Wall Street was gained by exceeding sales goals rather than exceeding client expectations. Brokers were encouraged to sell products and services that had high commissions and fees, and to push securities the company was unloading from it’s own account.
Rick’s research on the performance gap between investor returns and market returns showed this was not a winning strategy for his clients. This created an ethical dilemma for Rick and he considered leaving the investment industry.
Rick’s Aha! moment came in 1996 when reading John Bogle’s first book, “Bogle on Mutual Funds.” Bogle was the founder of the Vanguard Group and the de facto father of index fund investing. It was a pivot point. Rick realized he was on the wrong side of the industry and began planning a new investment company where client needs come first.
In 1999, in conjunction with publishing his first book about why people should avoid most Wall Street advice and invest in index funds, Rick launched one of the nations’ first low-fee investment management firms. His mission was to provide every client with honest advice, full transparency, and charge a low fee for managing portfolios.
This novel concept was highly successful. Assets grew rapidly as Rick spread the word through writing and speaking while a dedicated advisory team and staff took care of client relationships. By 2015, the firm managed over $1.5 billion in assets for more than 600 clients nationwide.
Rick no longer directs investment policy at Portfolio Solutions, LLC, and has no affiliation with the company. A private equity investor bought into the firm in 2015 by purchasing the interest of a former business partner. The new partner subsequently gained management control, which he unfairly used to oppress Rick’s interest and usurp Rick’s intellectual property (IP). Litigation followed and a legal judgement was rendered in Rick’s favor. The new partner was ordered to purchase Rick’s remaining interest, pay damages and return Rick’s IP.
A New Company
Rick Ferri, LLC, is a multi-faceted firm that renews focus on the awareness and use of simple low-cost investment strategies. The firm plans to launch a free model portfolio website under the domain Core-4.com, and a new advisory service whereby Rick and his associates will offer low-cost investment advice and portfolio related services to select individual and institutions. A marketing brochure for the new advisory service will be available in April 2019.
Rick Ferri, LLC is also seeking alliances with other companies in the US and internationally that believe in low cost investing. Interested parties should contact Rick to discuss ideas.
Publishing and Speaking
Rick continues to publish articles and books that help spread the benefits of low-cost investing. He has already authored hundreds of articles and six books, including All About Index Funds, All About Asset Allocation, The ETF Book, and The Power of Passive Investing. Rick also co-authored a research paper on index investing that won the S&P Dow Jones Indices 3rd Annual SPIVA Award.
Rick shares his broad expertise in a variety of media, including many financial and business publications, newspapers, blogs, and radio shows. His insights appear frequently in such media outlets as the Wall Street Journal, Financial Times, New York Times, Barron’s, Money, Smart Money, Kiplinger’s, The Motley Fool, CNBC, Bloomberg and Fox Business. Most notably, he writes for Forbes.com and is a key member of the Bogleheads “brain trust”, a community inspired by the philosophy of John C. Bogle, founder of The Vanguard Group of mutual funds.
Moreover, Rick is a nationally recognized speaker who presents regularly at industry and investor conferences. During these speaking engagements, he discusses his investment philosophy and shares his “tight-fisted” strategy for capturing market returns at a very low cost.