Know your risk to better plan for your future
Wealth management and risk management go hand in hand. If people do not manage the risk inherent in investing and growing wealth, then the possibility of losing all they worked so hard to achieve increases tenfold. While most people agree that they need to manage risk, the question they often grapple with is how.
Insurance transfers the financial risk of life's events to an insurance company. A sound insurance strategy can help protect your family from the financial consequences of those events. A strategy can include personal insurance, liability insurance, and life insurance.
At Eastgate Financial Group, we believe it’s important for clients to understand that there are no investments without risks. In fact, even choosing not to invest comes with risks, such as opportunity costs. While risk is inevitable, our team take the proper steps to reduce your exposure.
An important fact to note is that risk and reward tend to share a high correlation, so we make decisions based on your risk tolerance. Constant analysis and diversification are the main ways we help you manage risk. Another key tool is the use of insurance policies.
When you purchase insurance, you pass the risk of particular instances on to the insurance company. For instance, you might use policies to protect you and your family against any or all of the following instances:
Are you interested in learning more about risk management strategies that can protect your wealth? Contact us for more information.