Do the Wealthy Need Life Insurance?

One of the most commonly asked questions in financial services – and also one that creates tremendous confusion among both clients and advisors alike. As a family’s wealth grows, does this prescribe they need more life insurance or less?

One point of view

I used to know an extremely successful life insurance agent who argued several points such as:

1. The younger you are, the more life insurance you need

2. The older you are, the more life insurance you need

3. ...

More →

The Case for a Professional Trustee

Trusts are mismanaged on a regular basis. There are a lot of ways this can happen. Bad investments, expenses that are too high and poor tax decisions are just a few of the most common.

But one flavor of mismanagement that I think happens often, and doesn’t get enough attention, is blatant abuse. In other words, theft — by a trustee.

 Theft is almost impossible to stop

 Theft is so blatant and obvious of an infraction that it is often ...

More →

Mental Accounting for a Generational Mindset

The term “mental accounting” describes a specific type of irrational investor behavior. It’s an irrational attitude investors can take when separating their money for investment. But I think a little “mental accounting” can actually be beneficial for families that are investing for generations. Let me tell you why.

Money mind games

How is mental accounting irrational? Let’s assume an investor saved $100,000 from years of hard work, then got $50,000 as a surprise bonus from their job, and then won ...

More →