图书简介
Goal-based investing is a new paradigm that is expected to have a profound and long-lasting impact on the wealth management industry. This book presents the concept in detail and introduces a general operational framework that can be used by financial advisors to help individual investors optimally allocate their wealth by identifying performance-seeking assets and hedging assets. Grounded in the principles of asset pricing and portfolio optimisation, the goal-based investing approach leads to the design of investment solutions that truly respond to investors’ problems, which can most often be summarized as follows: secure essential goals with the highest confidence level and maximize the chances to reach aspirational goals.
A series of case studies guides the reader through the implementation of goal-based investing, illustrates the efficiency of this paradigm and explains how one can accommodate a variety of implementation features such as taxes, short-sales constraints, parameter estimation risk, as well as limited customisation.
Introduction; Efficient Allocation Within Risk Buckets: Notation and Assumptions; Defining Affordable Goals; Taxes and Affordability; Hierarchical Classification of Goals; Building Blocks in Goals-Based Wealth Management; Efficient Allocation Across Risk Buckets: From Buy-and-Hold to Dynamic Allocation Strategies; Review of the Related Literature; Implementation Challenges; Inputs and Outputs of the Framework; Mass Customisation Constraints; Case Studies: Case Study 1 (HNW/UHNW Transition); Case Study 2 (HNW Retiree); Case Study 3 (Affluent Accumulator); Concluding Remarks;
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