Financial plans from Schulz Financial, which are made using Ibbotson software, feature the following (or just click here for an actual example of typical results):

 

1. X-Ray Vision of Your Current Mutual Funds.  Fund names (small cap, value, etc.) frequently don't represent the assets a fund actually holds.  (See tab to the left for common examples.)  Hence, Portfolio Strategist uses style based analysis (SBA) to determine what's actually inside the fund.
2. Projection of Your Current Portfolio's Performance.  Applying SBA and its database of over 8,000 mutual funds, which is almost every fund that has been in existence for over three years, Portfolio Strategist evaluates your current portfolio and projects its performance into the future.
3. Risk Tolerance Measurement.  Applying Nobel Prize winning (economics) principles developed by Daniel Kahneman, PhD and Vernon Smith, PhD, Portfolio Strategist evaluates your risk tolerance.  Your unique combination of risk tolerance and time horizon will determine what investments are best for you.
4. Generate a Recommended Optimal Mix of Assets.  Based on your risk tolerance and time horizon, Portfolio Strategist recommends a generic mix of assets to put you on the efficient frontier.  The efficient frontier is an optimal mix of assets that maximizes return for a given amount of risk, or minimizes risk for a given amount of return.  Harry Markowitz, PhD, received the Nobel Prize in economics for developing mean variance optimization (MVO), which is the math and statistics that generate the efficient frontier.  (See tab to the left for an actual example of the efficient frontier.)
5. Project Your Future Wealth.  Through incorporating your current portfolio, existing and projected cash flows (SEP/401K contributions, etc.), Portfolio Strategist then generates a financial projection for your full life expectancy, comparing the proposed portfolio to your current portfolio.
6. Pick the Best Investments from What You Have Available.  Using style based Analysis (see step 1), your recommended optimum asset mix (step 4) and the subset of mutual funds available through your employer (and Schulz Financial for stranded 401K funds and non-401K funds), Portfolio Strategist picks the optimal set of funds for you.
7. Final Report.  Portfolio Strategist then generates a comprehensive report of all of the above analysis.