Nerd's Eye View

OCTOBER 18, 2024

Also in industry news this week: 43% of wealth management firms are frustrated with the effectiveness of their CRM software, spurred on by challenges with integrations and workflows, according to a recent survey The Social Security Administration this week announced a 2.5%

Financial Planner 234

Financial Planner Risk Tolerance Financial Planning Wealth Management 234

The Irrelevant Investor

AUGUST 25, 2019

But if you recently discovered that your risk tolerance wasn't properly calibrated, now might be an okay time to get to a place that lets you sleep at night, especially with the S&P 500 just 6% off its all-time high.* There are two ways that risk can ruin you: by taking way too much of it or taking way too little.

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Risk Tolerance Accounting Portfolio Marketing 52

The Irrelevant Investor

FEBRUARY 6, 2018

If you're an average investor- and by average I mean you're at home reading this and your name is not Jim Simons- and you sold your stocks today, you overestimated your appetite for risk. After nine consecutive years of positive returns, it's likely that a lot of people's asset allocation was out of whack with their true risk tolerance.

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Risk Tolerance Asset Allocation Portfolio Assets 52

The Big Picture

APRIL 19, 2023

Morningstar, April 17, 2023 ) _ 1, The caveat being 60/40 reflects a fairly moderate risk tolerance, and higher equity allocations (e.g., 70/30) might be appropriate for people with higher risk tolerances and/or longer investment horizons. Doing Nothing. The post The 60/40 Portfolio is Back!

Portfolio 333

Portfolio Risk Tolerance Investing Investments 333

Abnormal Returns

DECEMBER 21, 2022

peterlazaroff.com) Risk tolerance Five behavioral tricks for long-term investors including 'Have a small side account.' bestinterest.blog) On the difference between risk tolerance and risk perception. morningstar.com) Can you tweak your risk tolerance?

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Risk Tolerance Retirement Retirement Planning Planning 238

Nerd's Eye View

MAY 8, 2024

Over the years, 2 types of measurement tools have emerged as the standards for assessing risk tolerance: 1) psychometric tests, which feature a series of questions (such as, "What amount of risk do you feel you have taken with past financial decisions?")

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Clients Risk Tolerance Financial Planning Planning 243

Nerd's Eye View

JUNE 12, 2024

Which means that when an advisor recommends a certain investment strategy for a client, their standards of care should dictate that they first make sure that the strategy is within the client's tolerance for risk.

Fiduciary Duty 215

Fiduciary Duty Risk Tolerance Investing Investments 215

Nerd's Eye View

JUNE 3, 2024

This month's edition kicks off with the news that 'startup' custodian Altruist has completed a $169 million fundraising round as it continues to rebuild the RIA custodial tech stack layer-by-layer while positioning itself as the biggest RIA custodian built from scratch and solely for advisors – which, while making it the clear #3 custodian behind (..)

Risk Tolerance 233

Risk Tolerance Communication Startup Financial Planning 233

Nerd's Eye View

JUNE 5, 2023

This month's edition kicks off with the news that Riskalyze has completed its previously-announced rebranding, and will now be known as “Nitrogen”, a ”growth platform” for advisory firms – which represents less of a shift in the platform’s core function (given that Riskalyze’s risk tolerance tool was always (..)

Risk Tolerance 214

Risk Tolerance Retirement License Retirement Planning 214

Advisor Perspectives

JANUARY 27, 2024

Registered investment advisors have long leaned on the 60% equities/40% fixed income portfolio structure. While it’s not perfect, it has served clients well, broadly speaking.

Risk Tolerance 59

Risk Tolerance Portfolio Investment Advisor Clients 59

The Big Picture

SEPTEMBER 21, 2022

Consider : Questioning investors as to their risk tolerance does not typically result in an accurate description of their true tolerance for drawdowns and lower returns; instead, we get a number highly dependent upon the performance of equity markets over the prior three to six months.

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Risk Tolerance Budgeting Numbers Banking 332

Abnormal Returns

JULY 12, 2023

morningstar.com) On average, people overestimate their risk tolerance. (awealthofcommonsense.com) Ongoing costs differ for homeowners by region, but are still significant. nytimes.com) Investing Are older investors now too exposed to the stock market? morningstar.com) Personal finance There's no shortcut to financial health.

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Risk Tolerance Estate Planning Retirement Planning 246

Alpha Architect

JANUARY 2, 2024

This article seeks to examine what research says about the interplay between risk tolerance, financial literacy, and trust and their collective impact on the pursuit of financial advice by Black and Hispanic households. Do racial barriers prevent Black and Hispanic households from pursuing financial advice?

Financial Advice 109

Financial Advice Risk Tolerance Financial Planning Government 109

Nerd's Eye View

JUNE 2, 2023

Also in industry news this week: How Goldman Sachs’ RIA custodial platform is leveraging the resources of its parent company as it seeks to build momentum amidst a highly competitive environment among custodians How NASAA has changed the substance and/or scoring of the Series 63, 65, and 66 exams From there, we have several articles on college (..)

Financial Planner 237

Financial Planner Risk Tolerance Clients Financial Planning 237

Abnormal Returns

DECEMBER 26, 2022

mikemelissinos.substack.com) On the difference between risk tolerance and risk perception. (investmentnews.com) Why you need to look at your own data to find growth. thinkadvisor.com) Why the hard sell will ultimately backfire when it comes to client acquisition.

Risk Tolerance 241

Risk Tolerance Financial Planner Financial Advising Compliance 241

XY Planning Network

NOVEMBER 27, 2023

The beauty of our approach—building investment strategies based on academic research and rebalancing back to the target risk tolerance as markets move—is that we can find comfort in these times by revisiting the core tenets of our belief systems.

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Risk Tolerance Financial Advisor Investing Investments 99

BlueMind

SEPTEMBER 11, 2022

However, it should be well understood that a client’s financial profile includes their risk tolerance and their risk capacity. In this article, although we will be focusing on the latter one and why it is significant to determine your client’s risk capacity let’s first understand the difference between the two.

Risk Tolerance 98

Risk Tolerance Clients Portfolio Investing 98

Million Dollar Round Table (MDRT)

SEPTEMBER 19, 2024

They involve complicated products, long-term implications and a deep understanding of individual risk tolerance. While effective in some scenarios, such as when the client is ready to purchase or is a close relative or a friend, it may not be suited for more complex financial advising.

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Risk Tolerance Financial Advisor Financial Advising Clients 89

The Big Picture

OCTOBER 14, 2022

Some market bottoms are a process, a blind groping of various market participants with different risk tolerances, financial goals, and time horizons. is not an explanation that anybody loves. Where does that leave investors today?

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Risk Tolerance Sales Marketing Marketing 335

A Wealth of Common Sense

JULY 13, 2023

A reader asks: I am a 34-year-old with a high risk tolerance. All of my investment accounts are 100% invested in stocks. The one thing I have a hard time finding a tried and true answer on when I do research is how to best allocate my stock investments among large-cap, mid-cap, international, emerging markets, etc.

Risk Tolerance 88

Risk Tolerance Investing Investments Portfolio 88

Nerd's Eye View

MARCH 20, 2024

This exercise can also give advisors and clients the opportunity to adjust the guardrail parameters depending on the client’s risk tolerance (e.g., a client who really wanted to guard against downward-spending-adjustment-risk might forgo income increases entirely).

Communication 240

Communication Clients Risk Tolerance Financial Planning 240

Carson Wealth

MARCH 7, 2024

Your lifestyle, goals, family situation, and risk tolerance will give a unique signature to your retirement plan. It’s important to continually track your risk tolerance to make sure your goals and expectations are aligned with the risk you’re willing to take. How much should I be saving?

Retirement Planning 143

Retirement Planning Retirement Planning Risk Tolerance 143

Nerd's Eye View

SEPTEMBER 20, 2023

By exploring high-inflation, low-inflation, and mixed-inflation scenarios, advisors have the flexibility of customizing advice that can more holistically balance a client's spending goals with their risk tolerance.

Financial Planning 240

Financial Planning Risk Tolerance Retirement Planning Planning 240

Nerd's Eye View

SEPTEMBER 20, 2023

By exploring high-inflation, low-inflation, and mixed-inflation scenarios, advisors have the flexibility of customizing advice that can more holistically balance a client's spending goals with their risk tolerance.

Retirement 235

Retirement Planning Financial Planning Risk Tolerance 235

BlueMind

OCTOBER 25, 2022

Category: Clients Risk. When it comes to their investment portfolios many tend to have a low-risk tolerance and with the unsettling economic situation with the ongoing pandemic, the word “risk” has become even more of a fearsome word for clients. Good communication is the key to a successful advisor-client relationship.

Risk Management 97

Risk Management Clients Risk Tolerance Management 97

Integrity Financial Planning

JUNE 7, 2023

1] What are Your Investment Goals and Risk Tolerance When selecting investments for your IRA, consider your investment goals and risk tolerance. If you are younger, you may be able to take more risks because you have a longer time horizon to earn back potential gains and receive more income in the future.

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Risk Tolerance Investing Investments Retirement 85

Advisor Perspectives

OCTOBER 28, 2023

The ideal rebalancing range varies by investor and depends on an investor’s risk tolerance and market views, among other factors. In a prolonged equity bull market, wider rebalancing ranges will result in higher returns, but also increase a portfolio’s risk.

Portfolio 59

Portfolio Risk Tolerance Marketing Marketing 59

Advisor Perspectives

JUNE 28, 2024

Each has their own financial goals, risk tolerance and opinion on how they want to invest. As an advisor, you know that no two clients are alike.

Risk Tolerance 40

Risk Tolerance Clients Investing Investments 40

Nerd's Eye View

JULY 3, 2024

As a result, advicers have more options than ever to add value for their clients by tailoring investment portfolios that are specific to their unique needs, goals, and risk tolerance. size, industry, location) of early mutual funds.

Portfolio 180

Portfolio Clients Risk Tolerance Accounting 180

Clever Girl Finance

MARCH 14, 2023

At the same time, you lower your exposure to the risks of each. Understand what risk tolerance means for you Investing in securities like stocks and mutual funds is risky. Luckily, there are ways to lower your risk (in addition to diversification) when investing while still growing portfolio income.

Portfolio 93

Portfolio Risk Tolerance Accounting Taxes 93

MainStreet Financial Planning

AUGUST 16, 2022

There are many steps in building an investment portfolio, in this article, I’ll discuss how asset allocation and risk tolerance are important considerations when investing. The appropriate mix or recipe in these various categories varies given your age, risk tolerance, and timeline to retirement or spending.

Asset Allocation 52

Asset Allocation Assets Risk Tolerance Portfolio 52

Nationwide Financial

JANUARY 25, 2023

Review risk tolerance and current asset allocation strategy It’s important to ensure your clients’ portfolios align with their risk tolerance because taking too much risk can negatively impact their ability to navigate market fluctuations. You can help them start the year right by conducting a retirement checkup.

Risk Tolerance 102

Risk Tolerance Retirement Planning Asset Allocation Retirement 102

Nerd's Eye View

AUGUST 19, 2024

Because there is no single 'right' price, structure, or financing mechanism for every firm, getting clear on G1's financial goals, G2's ability to finance the deal, and the value of the firm (perhaps with the assistance of an external valuation service) can help ensure that all parties are clear on what the succession will look like and whether it (..)

Planning 130

Planning Risk Tolerance Clients Valuation 130

The Chicago Financial Planner

JUNE 13, 2022

Ideally you’ve been rebalancing your portfolio along the way and your asset allocation is largely in line with your plan and your risk tolerance. Focus on risk. Use stock market corrections and downturns to assess your portfolio’s risk and more importantly your risk tolerance.

Risk Tolerance 188

Risk Tolerance Marketing Marketing Financial Planner 188

Nerd's Eye View

AUGUST 28, 2024

For advisors who want to advise on clients' 401(k) plan assets but who can't manage them directly, there have generally been 2 options.

Assets 233

Assets Management Clients Compliance 233

MainStreet Financial Planning

JULY 11, 2024

Each has unique benefits and drawbacks, and understanding these can help you decide which fits best with your financial situation, risk tolerance, and goals. Anna’s Takeaways When choosing the best savings or investment option, consider your financial situation, risk tolerance, and long-term goals.

Planning 76

Planning Risk Tolerance Education Investing 76

Nerd's Eye View

MAY 29, 2023

using two different risk tolerance assessments), which resonated with his target clients accustomed to built-in redundancies as a key part of operating nuclear power plants. And because nuclear power is a process-driven industry, the use of standard workflows was familiar ground for many of his prospective clients.

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Risk Tolerance Financial Advisor Clients Planning 217