![\"Portrait](\"https:\/\/www.investmentexecutive.com\/wp-content\/uploads\/sites\/3\/2022\/09\/Stein_Lyle_8747-200x300px.jpg\")
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Lyle Stein, president of Forvest Global Wealth Management Inc. in Toronto.<\/p>\n
Forvest divides client portfolios into \u201cThree C\u201d buckets: comfort, contingency and charity. Comfort, which covers the near term, refers to portfolio income needed to maintain a client\u2019s lifestyle. Contingency, which covers the medium term, refers to securities used to protect against an unexpected upset to the comfort bucket. Charity, which covers the long term, refers to assets the client will ultimately leave behind. Forvest tries to minimize risk by matching portfolio holdings to each bucket\u2019s time horizon.<\/p>\n
Astrid, 50, is an empty nester who lives with her husband. She received a surprise $10-million inheritance. She would like to use it to improve her lifestyle and may quit her job.<\/p>\n
40% to the comfort bucket<\/strong><\/p>\n This bucket is meant to earn $200,000 in pre-tax annual income. The portfolio consists of high income, high-dividend-paying equities and preferred shares.<\/p>\n 20% to the contingency bucket<\/strong><\/p>\n Stein favours securities that are \u201cbeneficiaries of inf lation in an environment where scarcity is a predominant theme.\u201d Among these stocks are.<\/p>\n 40% to the charity bucket<\/strong><\/p>\n Stein said this bucket \u201clooks beyond the next five years and provides portfolio growth.\u201d<\/p>\n He noted that \u201cnone of the holdings are in Canada because we don\u2019t have quality names in the chosen sectors and we want to diversify against a collapse in the Canadian dollar.\u201d Those sectors include:<\/p>\n Astrid also received a $10,000 employment bonus.<\/p>\n Alim Dhanji, senior financial planner with Assante Financial Management Ltd. and senior insurance advisor with Assante Estate and Insurance Services Inc. in Vancouver.<\/p>\n Dhanji recommends a diversified asset mix consisting of his firm\u2019s Canadian and foreign equities and fixed-income pools. Each pool includes 20 to 30 securities. His objective is to provide good value and optimal performance while protecting against downside risk.<\/p>\n Ian, 45, inherited $10 million. He is seeking balanced growth over the long term.<\/p>\n Equities (70%)<\/strong><\/p>\n Fixed income (30%)<\/strong><\/p>\n Ian also received an unexpected $10,000 employment bonus.<\/p>\n Since Ian is looking for long-term growth, the allocation percentages would be the same as for his $10-million inheritance.<\/p>\n How to Invest<\/p>\n","protected":false},"author":180694,"featured_media":452685,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[3017,3013],"tags":[3422,102330,2410],"yst_prominent_words":[2222,95936,95880,93577,55865,21712,14581,12129,8305,7876,7828,7170,1825],"acf":[],"_links":{"self":[{"href":"https:\/\/www.investmentexecutive.com\/wp-json\/wp\/v2\/posts\/452818"}],"collection":[{"href":"https:\/\/www.investmentexecutive.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmentexecutive.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmentexecutive.com\/wp-json\/wp\/v2\/users\/180694"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmentexecutive.com\/wp-json\/wp\/v2\/comments?post=452818"}],"version-history":[{"count":4,"href":"https:\/\/www.investmentexecutive.com\/wp-json\/wp\/v2\/posts\/452818\/revisions"}],"predecessor-version":[{"id":453126,"href":"https:\/\/www.investmentexecutive.com\/wp-json\/wp\/v2\/posts\/452818\/revisions\/453126"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.investmentexecutive.com\/wp-json\/wp\/v2\/media\/452685"}],"wp:attachment":[{"href":"https:\/\/www.investmentexecutive.com\/wp-json\/wp\/v2\/media?parent=452818"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmentexecutive.com\/wp-json\/wp\/v2\/categories?post=452818"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmentexecutive.com\/wp-json\/wp\/v2\/tags?post=452818"},{"taxonomy":"yst_prominent_words","embeddable":true,"href":"https:\/\/www.investmentexecutive.com\/wp-json\/wp\/v2\/yst_prominent_words?post=452818"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}\n
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![\"Chart](\"https:\/\/www.investmentexecutive.com\/wp-content\/uploads\/sites\/3\/2022\/09\/howtoinvest-10MID22-1-Astrid10M-500x500px.jpg\")
<\/p>\n![\"Chart](\"https:\/\/www.investmentexecutive.com\/wp-content\/uploads\/sites\/3\/2022\/09\/howtoinvest-10MID22-2-Astrid10k-500x500px.jpg\")
<\/p>\nThe scenario<\/h3>\n
The allocation<\/h3>\n
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![\"Portrait](\"https:\/\/www.investmentexecutive.com\/wp-content\/uploads\/sites\/3\/2022\/09\/Alim-Dhanji-200x300px.jpg\")
<\/p>\nThe expert<\/h3>\n
The philosophy<\/h3>\n
The scenario<\/h3>\n
The allocation<\/h3>\n
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The scenario<\/h3>\n
The allocation<\/h3>\n
![\"Chart](\"https:\/\/www.investmentexecutive.com\/wp-content\/uploads\/sites\/3\/2022\/09\/howtoinvest-10MID22-3-Ian10M-500x500px.jpg\")
<\/p>\n![\"Chart](\"https:\/\/www.investmentexecutive.com\/wp-content\/uploads\/sites\/3\/2022\/09\/howtoinvest-10MID22-4-Ian10K-500x500px.jpg\")
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