Growth vs. Capital Preservation

Moving your investments toward your long-term financial objectives during a time of mid-life change is a balancing act. You may want your financial assets to grow so that you can preserve your money’s purchasing power over the long term. This investment goal may be especially important if you need your money to last for 30 years or more!

However, your needs are changing in mid-life even if retirement may not be on the immediate horizon. You are aware of potential market volatility and how that may impact your savings during your transition or in the future when you eventually leave the working world. Having a portfolio that is not too volatile might be important, especially if you happen to need money during a lengthy economic downturn.

We help you determine how to try to strike the balance between seeking growth while considering volatility and unforeseen market downturns. This process requires a more in-depth analysis than the typical approach of solely relying on a “Risk Tolerance” questionnaire.

How we build your portfolio

Through our financial planning process and cash flow modeling, we work with you to build and implement a portfolio strategy based on three key elements:

Financial Planning Model

To implement your investment strategy, we use a combination of low-cost tax-efficient index funds, alongside institutionally managed mutual funds that offer potentially attractive returns that may exceed the relevant index.

Access to many investment options

Through LPL Financial, the largest independent broker-dealer in the US (as reported by Financial Planning magazine, June 1996-2020, based on total revenue), we can choose from a broad array of non-proprietary investment products, rather than being limited to a short menu of ”in-house” products. This independence ensures alignment with the interests of our clients and allows us to choose investments from a very wide and diverse universe of options.

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