Scenario Overview

(Please check over): As a new advisor at a private wealth management firm serving high-net-worth clients, your objective is to develop a goals-based wealth plan for your first client across three assessed stages. Review each stage below to understand what will be required.

Initial Discovery Meeting - Stage 1

● Time Monitored

Conduct a live conversation with your client. Your objective is to identify all relevant financial goals and determine the following for each:

Classify each goal into one of three categories:

Nondiscretionary

Effective questioning and active listening to uncover client goals and priorities

Discretionary

Effective questioning and active listening to uncover client goals and priorities

Aspirational

Effective questioning and active listening to uncover client goals and priorities

Your client will not volunteer critical information. Apply structured questioning and active listening to surface priorities and build trust. The quality of your discovery determines everything that follows. This conversation is timed.

Portfolio Determination Task

● Time Monitored
1

Goal Reconstruction

Enter each goal you identified with its dollar value and classification (Nondiscretionary, Discretionary, or Aspirational).

2

Capital Allocation

Sub-portfolio A
For goals requiring high certainty of funding.
Sub-portfolio B
For goals with medium-term flexibility.
Sub-portfolio C
For goals where growth potential justifies volatility.
3

Aggregated Portfolio Allocation

Based on your allocations to Sub-portfolios A, B, and C, determine the blended portfolio allocation across cash, investment-grade bonds, large-cap equity, small-cap equity, and alternatives.

Follow-up Client Meeting

● Time Monitored

Return to a live conversation with your client, using your Stage 2 entries as reference. Be prepared to:

Justify each goal classification
Walk through the blended portfolio structure
Defend your capital weighting across A, B, and C
Articulate trade-offs between goal tiers
Explain the risk characteristics of each sub-portfolio
Address client concerns and objections

Confirm client understanding and acceptance. Apply structured communication to present your recommendation clearly and manage pushback. Be prepared to explain how you arrived at your weightings. This conversation is timed.