"Three Thirds" Review Process
1ST THIRD OF THE YEAR PLAN REVIEW
Financial Plan Update & Review
- Annual update of net worth & cash flow statement
- Consistent benchmarking of progress toward desired outcomes
- Stress test plan with Monte Carlo simulations and various planning scenarios
Financial Planning Checklist Update & Review
- Annual update of net worth & cash flow statement
- Consistent benchmarking of progress toward desired outcomes
- Stress test plan with Monte Carlo simulations and various planning scenarios
- Review Financial planning items that have been accomplished so far
- Identify & prioritize additional planning objectives for the year, schedule action items and assign completion date
2ND THIRD OF THE YEAR CHECK-IN/PORTFOLIO REVIEW
Check-in on Completion of Planning Items for the Year
- If not complete, confirm ownership of tasks and timeline of completion
- Agree to new timeline and schedule completion
Discuss 2nd Half of the Year
- Anything CWM should be aware of? – Major purchases, life events, liquidity needs, etc.
In Depth Review of Client's Portfolio
- Economic and capital market update
- Update on current asset class tilts (overweight, neutral, underweight)
- Thesis of existing holdings in client’s portfolio
- Review realized & unrealized capital gains, portfolio rebalancing, tax loss harvesting & rate of return results
3RD THIRD OF THE YEAR TAX PLANNING MEETING
- Scheduled with or without CPA based on client’s needs
- Review current years potential tax burden and discuss year end action items (i.e. retirement contributions, annual gifting, charitable giving, required minimum distributions)
- Discuss following year’s tax strategy and identify action items