Risk Mitigation
Most people associate risk mitigation with business plans and rarely consider risk in the context of their personal life.
Your "Strategic Plan for Life" will enable us to identify potential risks that could impact on you and your family. In broad terms, from a financial planning perspective, there are three distinct phases in your life:-
- Accumulation – the phase where you build your wealth
- Wealth Preservation – the phase where you have achieved financial independence
- Decumulation – the phase where you “drawdown” your wealth
In the Accumulation phase there are a number of risks that could prevent you from achieving financial independence and the impact on you and your family could be significant.
In the Wealth Preservation and Decumulation phase the biggest risk is normally the lack of inter-generational planning with the consequence that assets pass from one generation to the next with unnecessary tax liabilities.
Needless to say there are a wide range of solutions that can help minimise the risk. Our role is to help create a risk mitigation plan that identifies the risks and specific solutions.