A sound financial plan must address the insurance coverage you, your spouse, and family members may require.
While health-related insurance plans may be expensive, trying to pay medical costs out of your own pocket, or not seeking medical assistance when needed, can cost much more.
§Products available through one or more carriers not affiliated with New York Life, dependent on carrier authorization and product availability in your state or locality.
Hedge Against the Loss of Human Capital:
When you think of your net worth, what investments typically come to mind? If you’re like most investors, you might include stocks, bonds, real estate, and cash. Those investments, also known as financial capital, each play a role in your portfolio, but you’re worth much more.
For a true account of your total economic wealth, you should include your “human capital,” in addition to your financial capital. Human capital is the present value of expected future labor income; in other words, it is your earnings potential.
Your human capital can increase your total net worth dramatically. Like traditional assets, human capital also has a certain risk profile, ranging from stable and low-risk (bond-like), as in the case of a tenured university professor or government employee, to risky and volatile (stock-like), such as a commissions-based stockbroker, freelance consultant, or an entrepreneur.
With the help of pioneering research firm Ibbotson Associates, we can explore how your human capital affects your financial portfolio, take steps to protect it, and make more informed investment decisions to manage your total wealth throughout your lifetime.
Mary Anne would like to sit down with you to discuss this concept further, review some questions that will help determine whether your human capital is properly protected, and identify how to incorporate your human capital into your investment strategy. Please call her office at (919) 781-3100, extension 7112