Discuss the issues relating to Cree’s:

i. goal quantification.

ii. goal prioritization.

McZhao continues the discussion with Cree in order to evaluate his degree of risk tolerance associated with each of the following individual goals:

Henlopen McZhao is a private wealth manager. After a successful introductory meeting with Nescopeck Cree, she is meeting again with this new client to plan a wealth management strategy. McZhao seeks additional personal information from Cree.
McZhao learns that Cree is 45 years old and is currently employed as an attorney. Cree has a number of specific financial goals that he wishes to achieve in the future but has no particular return objective for his portfolio. Because he has been investing for 20 years, Cree is comfortable with moderate levels of market volatility. His employment provides for his current expenses, so Cree’s liquidity requirements are minimal. Cree prefers to have his environmental and social concerns reflected in his investment choices.

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Retirement: Investment property: Philanthropy: Antique furniture: Cree considers retirement a long-term goal and is willing to endure a 10% drop in expected retirement spending. However, he is very concerned with having sufficient funds to cover medical expenses. Cree sees the investment property as a source of stable income, so it is very important to him to purchase the building. He realizes that maintenance and repair expenses will be necessary, and he also considers those very important. Cree's wife strongly influences him to fund her philanthropic causes, and he wants to maintain some level of annual contribution. Cree believes that his wife would be willing to maintain her $10,000 per year contributions and not increase that amount. Cree is willing to reduce or eliminate his spending on antique furniture.