The Art of Wealth Management

Case Study: Handling an Inheritance

These stories are hypothetical examples of how Dodds Wealth Management Group could assist clients in various situations. Personal information has been used as a basis for each example, but each has been modified to protect our members’ privacy.

*Please note that the information below is not a client testimonial, but instead is an example intended for general information only, and is not predictive of your individual results. Your results will vary. These are illustrative of the types of clients we serve.

There is no guarantee that a diversified portfolio will enhance overall returns or outperform a non-diversified portfolio. Diversification does not protect against market risk.

This information is not intended to be a substitute for specific individualized tax or legal advice, We suggest you discuss your specific tax or legal issues with a qualified tax advisor or attorney.

Handling an Inheritance

With a large inheritance scattered among many types of accounts (such as several different trusts, investments, and annuities), George and Julia aren’t certain about their net worth or how much of a passive cash flow is available to them. As a result, even though they had considerable assets for a younger couple, they aren’t quite sure of themselves – or how to address their financial future.

The Dodds team would start by simplifying their financial picture, listing all their assets on a single, at-a-glance sheet. We would then implement the Dodds Wealth 360 Fast Plan to give them an easy way to track their progress on the way to their financial goals. This would give them a plan they could understand.

With multiple accounts it’s not uncommon for there to be lack of communication between the couple’s advisors. With a fragmented approach and accounts under the review of multiple investment professionals, their advisors wouldn’t be able to do the best job possible for George and Julia. That’s because their advisors would only be able to see a part of the couple’s picture – not the full image. Thus, important aspects of financial management – such as creating a reliable cash flow and ensuring adequate portfolio diversification – would need work.

By bringing their accounts under one coordinated system, we would connect the dots for George and Julia. We would develop a strategy that sought to make their many diverse assets work in harmony, creating greater tax efficiencies for the couple, and fortifying their financial confidence. We would develop a more balanced portfolio that allows them to take advantage of different market sectors and asset classes.*

Although George and Julia always had plenty of money, they could now feel in control of their finances for the first time. They could have a more clear sense of their assets and their financial roadmap.

By removing uncertainty, it would eliminate a nagging source of stress in their lives and help them appreciate the day-to-day joys of life a bit more.

*Please note that the statements above are for general information only, and are not predictive of your individual results. Your results will vary.