Time Horizon

What this video covers

• The three standard time horizon categories (short-term, intermediate-term, long-term) and their exact year boundaries
• Why longer time horizons permit greater equity exposure, and how that shifts as the client ages or approaches a goal
• How a single client can hold multiple time horizons simultaneously, and why asset allocation must be set per goal not per client
• Why mixing an immediate emergency fund with long-term equities constitutes a suitability failure
• The "to" versus "through" retirement trap: why a 65-year-old retiring tomorrow does NOT have a zero-year time horizon
• Why age is not the same as time horizon, and how a 70-year-old in excellent health can still have a 25-year horizon for retirement assets
• How inflation risk destroys purchasing power when a distribution-phase portfolio is parked entirely in cash