Using a Hierarchy of Funds to Reach Client Goals

Abstract

Personal finance is not institutional finance; therefore, we believe that there is an alternative mental map that changes the way advisers and individuals think about the unique questions retirees must answer, and offers a hierarchy of funds to reach client goals in any market. We call this alternative mental map modern retirement theory (MRT).

MRT suggests that historical long-term averages may not apply in individual client scenarios and seeks to offer a sustainable benefit to individuals. It proposes a perspective on retirement planning that seeks to meet the individual client’s retirement goals under any market condition or life event.

Keywords: Retirement Planning, Personal Finance, Modern Retirement Theory