Goals-Based Wealth Management: An Integrated and Practical Approach to Changing the Structure of Wealth Advisory Practices

Part Three

Goals-Based Wealth Management Implementation

The third part of this book delves into the detail of the implementation of a goals-based wealth management process, leaving the issue of the implications this has in terms of the preferred structure of the advisory firm for the fourth and final part. We start with activities we briefly discussed in prior chapters: how goals-based asset allocation requires the management process to change and, more specifically, what it requires us to do to start. We will then, in Chapter 8, turn to the creation of the goals-based modules that will form the building blocks of our policy allocation. Our subsequent chapter, the ninth, has the rubber meeting the road as we begin to work with clients and to see how our process and our building blocks must be handled to make sure we can help them meet their goals. We then turn to the finalization of the investment policy before discussing how that strategic asset and strategy allocation can be managed from a tactical standpoint and how performance reporting needs to be modified to handle the specifics of our new process.

Before going further, let me restate an important point that was already made in the Introduction. This book, and this third part of the book in particular, is not a commercial for a specific model. Ostensibly, it is based on the model I use, but I certainly do not want to be seen to argue that it is the only valid alternative. Other models, based on the same general principles ...