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Are You Being Burned by the

Client Under-Service Gap?

Strategic Risk Management

Risk Can Be Hidden In Undiscovered Complexity

Most advisors educate their clients on risk as it relates to investing by speaking of broader market performance and macro economic trends, portfolio allocation, and risks associated with specific companies and securities. While these and other investment risks exist and need to be addressed, they’re only part of the risk management story. As wealth and financial complexity grow, so, too, does the list of risk issues which need to be addressed. And most of these risks lie outside the world of investing and capital allocation.

Many times challenges seem to come out of nowhere, whether they be health-related, early death due to an accident, business disputes, children going through divorce, and many more.

Unfortunately, many people aren’t getting the advice and planning they need in these areas of complexity. In a survey of wealthy investors, while 83% wanted advice about loan and credit management, only 3% reported receiving it.

An investment of any type carries some level of risk. How can you better understand your tolerance for investment risk? More importantly, how can you improve your tolerance for acceptable risks while increasing your awareness of unnecessary risks?

There’s a lot of conventional opinion about how to understand your risk tolerance. Here are four issues with common interpretations of risk, risk tolerance, and understanding risk tolerance – and four related “sharpened” questions to help you think more clearly about wealth and the risks you take.

Embrace Your Complexity! Meet Your Goals by Using Multiple Specialists with Expertise in the Specifics of Your Financial Life

Read "4 Risk Tolerance Issues to Discuss with Your Financial Advisor"

Read  "Emotional Bias in Financial Planning: What to Do About It" 

Read "Four Mistakes Emotional Biases can cause you to make" 

➥  While 82% of surveyed investors wanted Life Insurance Advice, only 12% reported receiving it

➥  96% of those surveyed expected to get Wealth Transfer Advice from their advisors, but only 24% of them received it

➥ 83% of investors expected advice about Long-term Care Insurance from their advisors, but only 14% received it

Broaden The Conversation About Risk To Reflect Your Specific Needs

Crafting a useful risk management strategy requires unlocking the detailed inner workings of the many facets of your life. Business capital allocation and working capital requirements, life insurance protection, wealth transfer strategies, and others - the wide world of risk beyond investing - now needs a variety of additional, very different experts. Risk management can all be tailored to your specific needs - but only if you have the full team of advisors you need across the areas of expertise that your situation requires.

An effective risk management process means uncovering the full picture of complexity through a thorough client-review process. Add in an understanding of your “ideal world” and assemble a team of experts reflecting your complexity, and you’re on your way to being fully served. If you’re worried about the impact of unaddressed risks, please schedule a call and let’s see how we can help.

Can Team Of Experts Planning Help You?

  1. Every business owner, family, and individual has a unique set of complexities. Experts should be brought together in response to that uniqueness.
  2. True optimization and effectiveness requires not only expertise, but also  a deep understanding of your “why.”
  3.  Palmerston Group Advisors are experts at expertise and create customized Teams of Experts based on in-depth engagement with our clients.

If there’s complexity, practicing collaboration and tapping into diverse sources of expertise is how financial planning can add real value for you.

If you have any questions about how "Team of Experts" planning can help you, please reach out for a free assessment: Please click here.

Schedule a time with us today and get started on your journey to better financial planning.