Your Investment Profile
CLIENT PROFILE
ASSET DETAILS
By inserting the amounts below we can make investment recommendations that fit your goals for this portfolio.em>
TIME HORIZON
When do you expect to begin withdrawing money from this investment account?
Less than one year1 to 3 years4 to 6 years7 to 9 years10 years or more
Once you begin withdrawing money from this investment account, how long do you expect the withdrawals to last?
I have plans to take a lump sum distribution1 to 3 years4 to 6 years7 to 9 years10 years or more
CLIENT RISK PREFERENCES
As long term investors, inflation is always eroding the purchasing power of our money. If returns are less than inflation, the risk is less, however if we want to exceed inflation than the risk is higher.
Portfolios that are designed to outpace inflation also fluctuate to a higher degree than more conservative portfolios. Therefore the investor must decide what their overall return expectations are and if they are in line with the amount of risk they are willing to take.
Which of the following portfolios would you choose for this account?
Portfolio 1: Match long-term inflation with a low degree of riskPortfolio 2: Exceed long-term inflation by a small margin with a moderate degree of riskPortfolio 3: Exceed long-term inflation by a moderate margin with a high to moderate degree of riskPortfolio 4: Exceed long-term inflation by a significant margin with a high degree of risk
Consider your goals for this account. Based on a hypothetical investment amount of $100,000 and a time horizon of one year, which portfolio are you most comfortable with?
Portfolio A: Possible average value after one year $106,000. Probability of losing money after one year 22%Portfolio B: Possible average value after one year $107,000. Probability of losing money after one year 25%Portfolio C: Possible average value after one year $108,000. Probability of losing money after one year 28%Portfolio D: Possible average value after one year $108,500. Probability of losing money after one year 30%Portfolio E: Possible average value after one year $109,000. Probability of losing money after one year 32%
Which statement best describes your investment goals for this account?
Protect the value of my account. In order to minimize the chance for loss, I am willing to accept the lower long-term returns provided by conservative investmentsKeep risk to a minimum while trying to achieve slightly higher returns than the returns provided by investments that are more conservativeBalance moderate levels of risk with moderate levels of returnsMaximize long-term investment returns. I am willing to accept large and sometimes dramatic fluctuations in the value of my investments
Assume that you own a well-diversified portfolio worth $100,000 and have ten years until you must begin taking withdrawals from it. Over a six-month period, it falls by 20%, consistent with a decline in the overall market. The portfolio is now worth $80,000. How would you react?
Bail out: I may panic and change to options that are more conservative.Watch and wait: I would wait at least four months before changing to options that are more conservativeWait at least one year: I would wait at least one year before changing to options that are more conservativeStay the course: I would not have a need to change my portfolio
For this account, which of the following portfolios would you prefer to hold over a one-year period? Assume that you are investing $100,000.
The percentages for each portfolio reflect the maximum amount that each portfolio may gain or lose in this hypothetical scenario. Note that the portfolio with the highest potential gain also has the largest potential loss, illustrating the relationship between risk and return.
For this account, I am comfortable with investments that may frequently experience large declines in value if there is a potential for higher returns.
Strongly disagreeSomewhat disagreeAgree
I am most interested in:
A mutual Fund Portfolio ($5,000 minimum)An ETF Portfolio ($25,000 minimum)An individual stock portfolio ($75,000 minimum)A mix of all the above tailor made to fit my own situation ($250,000)
ADDITIONAL CONSIDERATIONS
Please provide any other useful account details or restrictions (e.g., circumstances requiring partial/complete withdrawal, special needs for dependents, savings rate changes etc.)
