I have the very good fortune to be able to work with some really wonderful folks in my day job. There is nothing like the feeling that I get when a satisfied client says "wow!" after we take them through their wealth forecast.
"I am a goals oriented person, so this is really exciting!" was the feedback that I received yesterday.
Their previous financial advisor had told them to commute their pension so that he / she could gather their assets under his / her administration.
It was pretty obvious after doing the "math" (done by our very capable Certified Financial Planner professional), that in fact, it was absolutely the wrong thing for this family to do. (oh, and by the way, the previous advisor was not a CFP).
The dollar difference in their estate, using quite conservative assumptions was significantly greater in the end if they were to to stay with the pension plan through retirement and the risk of financial uncertainty was easily mitigated (plus add in the health benefits).
It was also good that they had been saving 10% of their yearly income to take advantage of TFSA's, RRSP's (where possible) and also into some tax beneficial non-registered assets.
When we looked at the compounding of the combination of savings it was very clear that this family was headed for financial freedom. Freedom to make the lifestyle decisions for their retirement that they wanted to make.
I have said it before, I will continue saying it long into the future: in order to properly develop a portfolio strategy (which we can manage with all of our collective portfolio management expertise) you have to have an understanding of a family's goals (both financial and non-financial).
In order to do that, you have to have a plan (we call it a "wealth forecast").
I have sat in on hundreds of wealth forecast presentations in my days and 99% (approximately) of the people on the other side of the presentation get that "wow!" experience.
From my perspective, that is a tremendous feeling. From their experience it is life altering!
If you want that really positive experience, give it a try!
If you would like to receive this blog to your in box, please email
It is webinar Tuesday for High Rock Clients.
We shall post the recorded version on our website at or about 5pm today... (come rain, sleet or snow!)
Scott Tomenson,CIM Managing Partner, Chief Investment Strategist