Reviewing Your Wealth
 Management Needs

• Solution

Solutions for Your Needs

Reviewing Your Wealth Management Needs
Sylvia and Peter* have been working with a full-service Investment Advisor for over 10 years. During this time they have established a substantial investment portfolio consisting of $330,000 in RRSPs and their home, valued at $500,000 (they have a small balance of $45,000 remaining on their mortgage). Sylvia was out of the workforce for several years when their children were younger (they’re now 10 and 7), but has returned to work and the couple currently earns an annual combined income of $195,000. Several years ago, they took the advice of their Investment Advisor and opened RESPs to begin saving for their children’s post-secondary education. They have since accumulated $22,000 and continue to contribute $2,000 per year per child. Recently, Peter received a $180,000 inheritance from his mother’s estate.

Although they have built a sizeable net worth, they are not without financial concerns. While they hope to retire in 15 years at age 60, they wonder if their children’s university costs, combined with their reduced income while Sylvia was at home, may mean a substantial change in their lifestyle after retirement. Their knowledge of investments has increased substantially over the last decade, and they are interested in expanding beyond mutual funds. Although they’ve always attempted to maximize their RRSP contributions, they are in the top tax bracket and want to explore other tax-efficient investment vehicles. Both are healthy, but they’d like to plan for the possibility of one of them becoming ill and unable to work.

Addressing the Situation
Your life is constantly evolving and your investment strategies should evolve with it. Let’s take a look at solutions that investors like you and Sylvia and Peter may want to consider when reviewing financial goals and strategy.

Visit this site regularly for new real-life scenarios.

* Fictional characters. Any similarities between them and actual clients of BMO Nesbitt Burns Inc. are accidental.