CASE STUDY

Bringing clarity to a retired widow’s $15M financial picture

After the loss of a spouse, a retired client with significant assets faced uncertainty about her financial picture and long-term legacy plans. A comprehensive planning review identified opportunities to address portfolio costs, tax efficiency, cash flow planning, and charitable giving objectives. 

Senior woman relaxing on park bench
Challenge

After the passing of her spouse, the client became solely responsible for managing a complex financial picture she had not previously overseen. She wanted to better understand her holdings, evaluate ongoing investment costs, support charitable organizations important to her, and assess potential tax implications associated with several investment positions. 

At-a-glance

Client
Retired widow, age 83
By the numbers
~ $15 million in assets
Constraints

Limited involvement in prior financial decisions, portfolio fees, concentrated stock position, potential tax exposure, legacy planning goals

The plan

Portfolio review, tax-aware planning, cash flow analysis, and charitable giving strategy

Approach

A comprehensive review focused on identifying planning opportunities and improving visibility into the client’s financial situation. 

Portfolio Cost Review 
Evaluated approximately $1.84 million in closed-end funds carrying annual fees of roughly $46,000 (2.25%) and assessed alternative investment structures with lower costs. 

Risk and Tax Assessment  
Reviewed the potential role of municipal bonds as part of a broader portfolio strategy, including their lower-risk characteristics relative to certain existing holdings and potential tax advantages. 

Tax-Aware Portfolio Management  
Analyzed a concentrated stock position with approximately $2 million in unrealized gains alongside roughly $720,000 in long-term capital losses to identify potential tax-offset opportunities. 

Cash Flow Planning  
Developed a Dynamic Cash Flow Illustration to model future spending needs and provide a clearer view of long-term financial resources. 

Charitable and Estate Planning Coordination  
Explored trust and charitable giving strategies aligned with the client’s philanthropic goals and broader estate planning objectives. 

Outcome

The client gained a more complete understanding of her assets, ongoing costs, and available planning options. Through a coordinated review of investments, cash flow, tax considerations, and charitable objectives, she was better positioned to make informed decisions and evaluate strategies that aligned with her personal and legacy goals. 

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This case study is based upon real clients. This content is for illustrative purposes only, may not be representative of any future experience of our clients, and is not intended to provide specific recommendations to any individual.