We can help you assess your current financial situation, including a review of your overall asset allocation, based on the underlying securities held in mutual funds, individual securities and other managed accounts. Our Risk Assessment Questionnaire will help determine your risk tolerance.
{click any image to enlarge}
Generate Your Personal Efficient Frontier Graph
With a clear picture of your current holdings and risk tolerance, we will generate an efficient frontier graph. This graph, based on multiple asset classes — including commodities and REITs — helps us determine the optimal portfolio diversification tailored to your acceptable risk level. We will include an analysis using Ibbotson assumptions for pre-tax returns, standard deviation, and correlation between each asset class.
Compare Your Current and New Target Portfolios
Once we have selected an asset mix that is most appropriate for your needs, we will create a target portfolio and create a detailed comparison of your current allocation versus the new target allocation.
Run Wealth Forecasting Simulations
We will then test your new target allocation using advanced Monte Carlo capabilities and run sophisticated simulations to help forecast expected wealth based on your specific cash flows, tax burden, and time horizon. We will also perform a wealth analysis for different scenarios and refine your plan by altering such factors as taxes, ongoing savings, and retirement needs to meet your wealth goals.
Optimize Your Portfolio
Next, we create a well-diversified model portfolio according to your specific target allocation. Changes may impact your overall diversification by increasing asset classes, creating a more balanced equity and fixed-income investment style, improving credit quality and in many cases a reduction of management fees.
Create an Action Plan
We will then prepare an Investment Recommendation Report and/or and Investment Policy Statement Report for you. These reports will help explain our proposed changes, as well as the assumptions used to forecast your future wealth. In a sense we will create a “before and after” report to simplify suggested changes to your current portfolio, including charts and graphs similar to some of the images above.
Retirement Planning
We can help you:
Assess Your Current Financial Situation
We can help you assess your current financial situation, including a review of your overall asset allocation, based on the underlying securities held in mutual funds, individual securities and other managed accounts. Our Risk Assessment Questionnaire will help determine your risk tolerance.
{click any image to enlarge}
Generate Your Personal Efficient Frontier Graph
With a clear picture of your current holdings and risk tolerance, we will generate an efficient frontier graph. This graph, based on multiple asset classes — including commodities and REITs — helps us determine the optimal portfolio diversification tailored to your acceptable risk level. We will include an analysis using Ibbotson assumptions for pre-tax returns, standard deviation, and correlation between each asset class.
Compare Your Current and New Target Portfolios
Once we have selected an asset mix that is most appropriate for your needs, we will create a target portfolio and create a detailed comparison of your current allocation versus the new target allocation.
Run Wealth Forecasting Simulations
We will then test your new target allocation using advanced Monte Carlo capabilities and run sophisticated simulations to help forecast expected wealth based on your specific cash flows, tax burden, and time horizon. We will also perform a wealth analysis for different scenarios and refine your plan by altering such factors as taxes, ongoing savings, and retirement needs to meet your wealth goals.
Optimize Your Portfolio
Next, we create a well-diversified model portfolio according to your specific target allocation. Changes may impact your overall diversification by increasing asset classes, creating a more balanced equity and fixed-income investment style, improving credit quality and in many cases a reduction of management fees.
Create an Action Plan
We will then prepare an Investment Recommendation Report and/or and Investment Policy Statement Report for you. These reports will help explain our proposed changes, as well as the assumptions used to forecast your future wealth. In a sense we will create a “before and after” report to simplify suggested changes to your current portfolio, including charts and graphs similar to some of the images above.
{for a printable presentation of this material, please click here}
Contact Derrick DeMay to schedule a time to discuss your retirement planning.
Somebody’s sitting in the shade today because someone planted a tree a long time ago.- Warren Buffett