“The essence of portfolio management is the management of risks, not the management of returns.” Benjamin Graham, “The Intelligent Investor” (1949) and mentor to Warren Buffett

Understanding and controlling investment risk is essential to achieving your financial goals. We manage risk to achieve your financial goals.

How do you do this? The answer is as different as each of our clients is unique.

That’s why, through our effective Fourfold Process we:

  • Begin by working with you to define your financial goals.
  • Then, we can help to create a smart plan to reach your quantifiable goals with a level of risk appropriate for you.
  • Finally, we can help you to take advantage of sound programs that can offer both growth potential and risk management.

Common questions we are asked about managing risk include:

 

That is often a function of your comfort levels and goals. Our effective process helps you establish “Your Number,” which in turn can identify the trade-offs between your priorities. Clients find this process very empowering in taking control of their financial future, including creating goals.  Very importantly, we periodically track your progress toward achieving them. Managing your resources effectively is becoming increasingly important in an age when taxes, inflation, and inadequate financial management may lead to uncertain or unanticipated financial futures.

  • Addressing Investment Risk – Managing risk reduces the potential of losing principal or purchasing power from inflation.
  • Protecting Your Assets and Estate – Like the environment, your assets and estate can be eroded by different external forces: Income loss due to death of a loved one, disability or illness, and loss or damage to property.  The financial impact of these forces can be mitigated with proper estate planning, a key component of our process.
  • Preserving Your Legacy – When a loved one dies, his or her legacy (the assets created during a lifetime) must be preserved. Proper estate planning ensures that their loved ones can move forward as expeditiously and efficiently as possible – often the best gift they can leave for them. See our published article, Avoiding Estate Planning Pitfalls.

Yes, there is a smart way to plan for a college education—one that improves your chance of achieving your children’s or grandchildren’s education goals.  Working closely with you, we develop a systematic plan of savings and investment. We take into account a variety of factors, including:

  • The degree of control you want over the college fund and how it is spent
  • The impact of your planning on potential financial aid
  • We can also help to ensure that income tax implications are clarified and understood before they impact your plans.

If you are not there to protect your family, the solution is about much more than just wages.  Ultimately, it’s about the future – paying for current as well as future liabilities, future education funding, and retirement needs of the survivors. A Life Insurance Needs Analysis can help estimate precisely how much coverage is needed to protect your family. See our published article “Avoiding Estate Planning Pitfalls.

And we won’t overlook disability income insurance, if you experience a time period when your ability to earn income is compromised.

We can help to make sure you’re financially prepared. An acceptable level of liability insurance and health insurance prevents the eroding of your existing asset base and the potential use of earned income for unexpected emergencies.

Adequate homeowner’s insurance can make all the difference in handling a crisis. Effective risk management takes into account the replacement value of your home, vacation property, furnishings, and other such assets. In addition, the appropriate level of automobile insurance must be in place to protect you from a major property loss through accident or theft.


Despite market volatility and economic uncertainty clients believe they can achieve their financial goals and enjoy a “Life Well Lived.”


For over 30 years we have been helping our clients achieve a life well lived.  As you seek a trusted source for your financial advice, we invite you to consider our “2nd Opinion” program for a complete, unbiased review of your financial program.

Many people find that having a trusted independent advisor can provide financial confidence — by clarifying economic complexity, navigating through turbulent markets, and providing a buffer between them and changing times.

Discover how Kauffman Wealth Management's extraordinarily personalized approach to investment planning and management can help you on the road to a Life Well Lived.