Goals-Based Investing: A Visionary Framework for Wealth Management

by Tony Davidow

Overview

Raise your investing game to a new level with the latest investing strategies, methods, and products

The wealth management industry has undergone a major transformation over the last decade, including increased concerns and skepticism from investors, the growth of robo-advisors, product evolution, and an evolving value proposition—in addition to geopolitical risks, increased correlation across asset classes, changing demographics, and social tensions. Concepts like “Modern Portfolio Theory” aren’t modern anymore, and even Post-Modern Portfolio Theory has become passé.

To succeed in today’s complex, uncertain world of investing, you need go beyond plain vanilla stocks, bonds, and mutual funds and embrace the latest investing tools and techniques. Goals-Based Investing is an unparalleled guide to:

• The limitations of modern portfolio theory
• Behavioral finance–overcoming biases
• The role and use of alternative investments in building better portfolios
• The growth of exchange-traded funds (ETFs) from “cheap beta” to “smart beta”
• Sustainable investing, also known as environmental, social, and governance (ESG) investing
• Adopting a goals-based investing approach
• The future of wealth management

Investing products have evolved significantly over the past two decades, making it easier than ever for advisors and investors to access various segments of the market and unique asset classes.

Goals-Based Investing examines product evolution and discusses how to use these tools to achieve your goals. With this forward-looking, one-of-a-kind investing guide, you have everything you need to navigate the investing jungle, avoid landmines, and achieve your long-term goals and objectives.

Product Details

ISBN-13:	9781264268207
Publisher:	McGraw Hill LLC
Publication date:	12/07/2021
Pages:	240
Product dimensions:	5.90(w) x 9.10(h) x 1.00(d)

About the Author

Tony Davidow, CIMA, is president of T. Davidow Consulting, an independent advisory firm focused on the needs and challenges facing the financial services industry. Davidow leverages his diverse experiences to deliver research and analysis to sophisticated advisors, asset managers, and wealthy families. He has held senior leadership roles at Morgan Stanley, Charles Schwab, Guggenheim Investments, and Kidder Peabody among others. He is focused on developing and delivering content relating to advanced asset allocation strategies, alternative investments, factor investing, sustainable investing, and other topics. In 2020, Davidow was recognized by the Investments and Wealth Institute, with the Wealth Management Impact Award, which honors individuals who have contributed exceptional advancements in the field of private wealth management.

Table of Contents

Acknowledgments v

Foreword ix

Introduction xiii

Chapter 1 The State of the Financial Services Industry 1

Chapter 2 The Evolution of Wealth Management 23

Chapter 3 Becoming a Behavioral Coach 49

Chapter 4 Challenging Modern Portfolio Theory 69

Chapter 5 Incorporating Active and Passive Strategies 89

Chapter 6 The Role and Use of Alternative Investments 109

Chapter 7 Innovations in Private Markets 129

Chapter 8 Sustainable Investing 151

Chapter 9 Goals-Based Investing 169

Chapter 10 The Future of Wealth Management 189

Notes 207

Index 211