Private Wealth Management
RA9 Managing Individual Investor Portfolios
（★★★★★上午题重中之重，个人IPS主要从本RA中出）
1. 站在基金经理角度考虑，面对的都是高净值客户
2. 最常考两种类型：高管退休（单数年），中青年夫妇有遗产（双数年）
3. 真题可能是错误的，答案也可能是错的。答案是参考答案，与其不同可能也对。
一、Profiling Individual Investors
（一）财富
1. source of Wealth:
（1）active wealth creation：通过entrepreneurial activity获得: own his business，above-average willingness to tolerate risk
（2）passive wealth creation：通过inheritance, one-time windfall，built up over long periods of safe employment获得, below-average willingness to tolerate risk
2. measure of wealth：
自认为自己有钱，perceive one's wealth as large have high risk tolerance。生活花费相对于财富水平
3. stage of life
（1）foundation：long time horizon, allow considerable risk; little financial wealth to risk, reduce ability to take risk.
（2）accumulation：higher ability to bear risk
（3）maintenance：ability to bear risk will be declining but is probably not low
（4）distribution：time horizon remains long and ability to bear risk could remain high, depending on the overall high
(二)psychological profiling（考试可能给描述，让选属于那种分类）
cautious:风险承受能力低，感性
methodical:理性，但风险承受能力低
individuialist：理性，且风险承受能力高
spontaneous：感性，且风险承受能力高
二、IPS
（一）Objectives
1. Return：涉及较多计算过程，核心思想是required return = cash flow needs/ asts needs
2. Risk：conflict between ability and willingness，先educate，说道理，教育成功调整IPS，教育失败follow the narrower of the two
i. ability：time horizon, portfolio size, goal importance, spending needs, flexibility。考点★：增加/减少ability的因素:两increa(如time horizon长)，两decrea
ii. willingness：related to psychological profiling, ast turnover & investment style
（二）Constraints
1. Time horizon（必考★）：long term or short term, 处于哪个stage，一般是长期
2. Liquidity（必考★）：能够快速地变现。liquidity needs是花费-收入。包括ongoing expen, major planned outlays, emergency needs(3-6月living expen)
3. tax consideration：
4. legal and regulatory: 极少考，考了写prudent investor rule applied
5. unique circumstances：
三、Strategic Ast Allocation：为客户从几个portfolio中选择最合适的：
先用排除法，然后剩下的选sharp ratio最高的
1、return去除税后回报率不符合的；2、risk去除不符合shortfall statement的；
3、去除不允许投资的类别，如时间、法律、客户偏好、税收；4、去除流动性不合适的5、减少现金存量。
四、Monte Carlo Approach to Retirement Planning（★★★常考点）
1. 优点
(1)It considers path dependency.
(2)It can more clearly display tradeoffs of risk and return.
(3)Properly modeled tax analysis.
(4)A clearer understanding of short-term and long-term risk can be gained.
(5)It is superior in asssing multi-period effects.
(6)Points along the timeline can be considered to answer questions.(特殊问题)
2. 缺点
(1)Simplistic u of historical data.
(2)Models that simulate the return of ast class but not actual asts hold.
(3)Tax modeling that is simplistic and not tailored to the investor's situation.
总结：IPS：六步
1. 投资者分类
2. cash flow 分析，计算可投资资产和spending needs
3. 计算return,（1）实际利率= spending needs/ investable asts,
（2）名义利率= 实际利率+通胀率
RA10 Tax And Private Wealth Management in a Global Context
1. Tax Drag: The reduction in return caud by the payment of taxes.
注意：税收/增值部分= tax drag%
2. 针对增值额(accrual-bad)
(1) Accrual：tax drag%>tax rate,针对增值额，每年收
Investment horizon increa=>tax drag $&% increa
Investment return increa=>tax drag $&% increa
(2)deferred capital gain tax= (1+r)^n - [ (1+r)^n-1]*T
针对增值额，只在最后交一次
tax drag%=tax rate, Investment horizon increa=>tax drag $increa, % unchange
Investment return increa=>tax drag $ increa &% unchanged
（3） (1+r)^n - [ (1+r)^n-B]*T，在过去某一时刻投资，税基不是1，是B
3. 针对总额征(wealth-bad)
[(1+r)(1-t)]^n
tax drag%>tax rate, Investment horizon increa=>tax drag $&% increa
Investment return increa=>tax drag $ increa &% decrea
4. the Cumulative effect of investment taxes
(1+RART)n - [(1+ RART) n - 1]*TECG - (1-B)*TCG
5. tax account: government bears part of the investment risk
tax-exempt account: investors bear all the investment risk
6. 两种获得tax alpha的方法
loss harvesting: loss offt gain； HIFO：Highest In First Out
RA11 Estate Planning in a Global Context
1. 两种转移方式：
（1）活着时候给：lift
（2）死了之后给：bequest
2. core capital：PV of future liability(含生活花费)
个人总资本= financial capital + human capital
surplus =个人总资本 - core capital
3. 降低税收
（1）generation skipping：直接给孙子，跳过二子
（2）spousal exemptions：先转移给老婆，可以延迟交税
（3）valuations discount：转移低估值资产（如PE股票），估值较低
（4）charitable gifts：慈善捐赠
（5）trust：受托人trustee
（6）life insurance
4. tax jurisdiction：double taxation: source jurisdiction, residence jurisdiction
RA12 Concentrated Single-Ast Positions
