Investment management can provide a number of benefits, including the potential to grow your wealth, diversify your portfolio, and achieve your financial goals. Working with one of our advisors can also provide access to our professional expertise and guidance and help you make informed decisions about your investments while minimizing the risk of financial mistakes. At Blattel & Associates, we utilize the goals-based “bucket approach” to managing your investments.
The bucket approach to investment management is a strategy that involves dividing your investments into different "buckets," each with a specific purpose and investment horizon. This approach can help you manage risk, maintain liquidity, and achieve your financial goals.
Here's how it works:
This bucket is meant for investments that you will need to access within the next few years. This could include money for emergencies, short-term expenses, or anticipated large purchases. These investments can even be relatively safe and liquid, such as cash, money market funds, or short-term bonds.
This bucket is meant for investments that you will need to access within the next 5-10 years. This could include money for intermediate-term goals, such as saving for a down payment on a home or funding your child's education. These investments are riskier than those in the short-term bucket.
This bucket is meant for investments that you won't need to access for at least 10 years or more. This could include money for retirement, legacy goals, or other long-term financial goals. These investments can be riskier, as you have a longer time horizon to weather market fluctuations, and may include a mix of stocks, bonds, and alternative investments.
The bucket approach can help you create a diversified portfolio that is tailored to your specific financial needs and goals. It can also help you maintain liquidity and manage risk by ensuring that you have a balance of short-term, intermediate-term, and long-term investments. Moreover, if you are newly retired, or if you are about to retire, one of the most important things we do is make sure we know what you are comfortable with.
Working with our team at Blattel & Associates can help you determine the right mix of investments for each of your buckets and develop a personalized investment plan that fits seamlessly with your tailored financial plan – but we will only do this once we are sure that we are operating on your comfort level. By taking your comfort level into account, we can help you make informed, confident decisions that align with your financial goals and risk tolerance.