A comprehensive risk profile questionnaire measures how much risk you are comfortable taking versus how much risk you may need to take based on your goals, objectives and resources. We are trying to find that sweet spot for how much risk you are comfortable taking vs. how much risk you may need to take based on your goals, objectives & resources. We also want to be sure our clients are invested in an “efficient” portfolio and are receiving the highest expected return for a defined level of risk.
Significant losses can derail a financial plan. Our goal is to try and avoid this. Investment returns are asymmetric, meaning it takes more to get back to break even after a loss. The most common example: If you have a 50% loss in a portfolio, it will take a 100% return just to get back to your original value!
How are we different?
The majority of our clients need and want a return on their investments in order to be successful in retirement, but they cannot afford significant losses based on their time horizon. There is where our expertise in both risk and investment management come into play. Our goal is to build efficient portfolios for our clients that focus on downside protection. Unfortunately, try as we might, there are risks associated with any investment strategy, including the possible loss of principal. There is no guarantee that any investment strategy we recommend will achieve its objectives or ensure adequate downside protection. Past performance is no guarantee of future results.
Frequently Asked Questions/Process:
— Completion of Risk Profile Questionnaire
— Current Risk Assessment
— Portfolio Stress Testing
— How much risk am I currently taking in my portfolio?