Traditionally our industry views wealth management as seeking to maximize the rate of returns for a client given that client’s risk tolerance. While we at CH Financial accept that this goal is an important one, we also find that this is only one piece in the overall financial puzzle.

No less important is understanding what our clients want to do with their wealth. Is it paying for a child’s education, financing a large purchase like a home or a vehicle, taking a major vacation, paying for one’s retirement, or some combination of all of the above? What about the transfer of wealth between generations, or a desire to give back to the community through charitable giving? Moreover, how will tax considerations factor into the plan, and is there a need to mitigate risk through the use of insurance? Finally, how will these goals change over time, and how will we know if they have been achieved?

This is where the financial plan comes in. For example, everyone has a certain amount of money they must spend each month to maintain their standard of living. Moreover, each of us knows we need to save a portion of what we earn so that one day we will no longer need to work just to pay those bills. But the things that make up our standard of living changes during the course of our lifetime, and to add to the complexity each of these stages contains unique risks. Finally, through it all there is the question of how do we minimize the total tax burden we bear not just in one year or two, but throughout our client’s lifetime. Without a tailored financial we believe some of these goals will be missed or even conflict with one another.

As to how the financial plan is created for each client, we focus on customization. No two clients are the same, so the level of detail will vary, but in the end both the client, and we at CH Financial will need to build and understand an overarching plan together that will help them achieve their goals. Only then can we create a wealth management strategy that will work in the best interest of our clients.

CH Financial uses a holistic approach to wealth management, centered on a solid financial plan, and paired with risk management not only seeking to maximize returns, but also to mitigate risks through insurance strategies and long term tax minimization. All of these are tied together to insure the long term financial health and well being of each of our clients and their families.