Envestnet Brochures

1 FOR HOME OFFICE AND ADVISOR USE ONLY. NOT FOR DISTRIBUTION TO THE PUBLIC. The scope of advisor advice continues to expand, and advisors can no longer limit themselves to one planning approach, expecting it to address all their clients' unique and complex lives. Compounded by the need to consolidate and streamline technology, rms are using a single comprehensive planning platform that understands how the different components of a client's nancial life interact with their entire wealth management landscape— encompassing both cash ow-based planning and goals-based planning. Planning approaches Goal-based planning Start with the end in mind Goal-based planning begins by identifying and building a plan around a client's goals, such as retirement, education funds, or travel. Prioritizing goals is key. In this approach, our equation is simple: S=S, meaning savings equals savings. Goals-based planning can be ideal for clients who know their nancial goals, want to actively shape their plans, and focus on the bigger picture. It begins with envisioning the end goal and assessing their current savings. Key aspects of goals-based planning • Let's clients dream, starting with the end in mind • Doesn't require a detailed budget • Swiftly determines if clients are on the right track • Is easy for clients to understand • Fits well with long-range planning • Enhances collaboration as clients engage in plan creation • Reviews savings, considers the market environment, and provides a probability of success Cash ow planning It's all about the details Cash ow planning means tracking every dollar your client interacts with. We use the acronym S=I-T-E (Savings = Income – Taxes – Expenses) for cash ow planning. By considering income sources and deducting taxes and expenses, advisors can better understand a client's spending potential. Cash ow planning may be ideal for clients with advanced estate planning needs, pre-retirement cash ow considerations, intricate business owner structures, and high-net-worth (HNW) to ultra-high- net-worth (UHNW) individuals. Key aspects of cash ow planning • A focus on the details, including cash ow and budget • It demonstrates effective money management as you help clients prioritize savings • It can address the complexities facing business owners • It can allow for income categorization • It is often suitable for clients who have difculty quantifying goals • It can provide greater opportunities for tax and estate planning for UHNW clients • Because of the very nature of tracking cashow, it is often a good choice for clients with extensive debt MoneyGuide Wealth Studios

• Cover