RE-VISITING THE FUNDAMENTALS
01.Core Concepts
• Using the Three-Panel Methodology for retirement income and distribution planning • Adjusted for retirement, the thr ee-panel approach still uses risk management as its foundation. PANEL ONE: EMERGENCY FUNDS AND RISK MANAGEMENT (1 OF 2) • Emergency funds • Accumulation phase • Three to six months non-discretionary expenses as a rule of thumb • Distribution phase • Segregate funds from the portfolio managed for income and growth • Keep emergency funds liquid (preserving capital) • Amount of emergency funds will vary • Overall financial situation • Risk tolerance • Current life situation • Goals for retirement