An integrated approach to wealth planning with myGPS™

Oct 26, 2020 | Investment, tax, and lifestyle perspectives from RBC Wealth Management Services


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Augmenting the client-advisor connection in making wealth planning work for you.

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Year over year, and over the course of life, there’s a significant range of changes that every individual experiences — personally, professionally and financially. Some have a very large impact on an individual’s or a family’s anticipated path, whereas others necessitate just a small shift in approach. In some regards, part of the beauty of life is sometimes not knowing what adventure or opportunity may be around the corner; however, when it comes to ensuring the unknowns are accounted for and that objectives are met no matter what the future may hold, appropriate wealth planning plays a lead role. RBC Wealth Management now offers a new, integrated approach for individuals to identify, plan, track and help realize their wealth goals — myGPSTM.

Streamlining the process

Aptly named, the purpose behind myGPSTM is to provide individuals with personalized direction in their wealth planning. The name stands for “Goals, Priorities, Solutions,” which itself reinforces the focus behind its capabilities and the functionality it provides. With a back-to-basics approach, myGPSTM enables RBC advisors to identify an individual’s goals and helps them manage the life-changing events and milestones via a detailed and customizable client projection. Specifically, it zeroes in on overall planning aspects that everyone typically faces at some point, such as home ownership, retirement and estate planning, and at the same time better connects individuals with their RBC advisors to plot a customized course based on personal needs and circumstances.

The foundation of myGPSTM revolves around five relevant and common questions that Canadians typically have in regards to their long-term wealth planning. These questions span the areas of current financial situation, ensuring future lifestyle choices are adequately funded, providing for family should the unexpected happen, how change impacts future financial situations, and helping to ensure wealth goals become a reality. Information regarding these questions is input by the RBC advisor, and then customized client reports are created, providing an overview of the high-level financial picture, and how individuals are tracking towards their short- and long-term goals.

Building the client-advisor relationship

With growing trends in online services within the financial industry, myGPSTM provides a value-added option by offering a complementary channel for building the human relationships that are fundamental in successful wealth planning. myGPSTM simplifies the process of information collecting and storing, and then takes it one step further in using that information to generate potential opportunities and planning considerations that become important discussion points between the client and advisor. It’s here where the integrated approach of myGPSTM truly shines through. The design of the tool gives the RBC advisor a very clear, accurate, up-to-date snapshot of the individual’s situation, which in turn better enables them to bring expertise to the table with precise solutions and assistance in navigating the path towards achieving long-term goals.

Providing relevance for a wide user base

One of the key objectives of myGPSTM is to provide a simplified and effective wealth-planning projection for individuals across multiple stages of life. From young adults who are taking on more financial responsibility to those nearing or into their retirement years, the capabilities of myGPSTM have been built with everyone’s goals and needs in mind. However, further to individual planning, an additional feature of myGPSTM is planning functionality and solutions for business owners. In fact, one of the key questions in generating a personalized report addresses business survival in a major change or crisis and overall business succession planning.


The following examples are for illustrative purposes only.

Have you ever wondered...

What my financial future looks like?

With the help of an RBC advisor, myGPSTM provides an additional way for individuals and families to gain a more holistic view of their current and future financial situation. In doing so, it supports an important aspect of wealth planning, which is developing valuable insights into how to reach short- and long-term goals.

Current Net Worth

myGPSTM provides consolidated summaries showing your incomes, savings, expenses, investments, real estate and debt – your critical financial information presented in one document.

 
Current Cash Flow

 

 

 

 

If I live to be 90, will I have sufficient funds to maintain my current and/or desired lifestyle?

Based on the information provided, myGPSTM will project income, savings, taxes, expenses and the value of your assets into the future.

Projected Income and Distribution

How does changing my financial assumptions impact my future financial situation?

It is impossible to know for certain what will happen tomorrow. To provide a financial projection, however, certain assumptions about what will happen in the economy have to be made. But what if some of those assumptions prove to be wrong? What if, for example, you were forced to retire early? Or perhaps you end up spending more in retirement. The myGPSTM Retirement Analysis allows you to independently change the assumptions you have made about the future to see how that change will affect your overall finances.

Retirement analysis
myGPS retirement analysis
Key timelines

Currently, myGPSTM is offered to clients of RBC Dominion Securities.


Planning considerations as the New Year approaches

  • Considering any changes to family situation or dynamics and how this impacts any current financial and estate plans.
  • Reviewing overall investment portfolio with your professional advisor.
  • Identifying any health considerations or potential upcoming needs for you or your family members.
  • Forecasting any changes to professional status or timelines for retirement.
  • Reviewing overall retirement goals and lifestyle choices.
  • Identifying any large pending or expected expenditures, such as a vacation property, vehicle or family vacation, and budgeting accordingly.
  • Factoring in educational considerations for young family members, including children and grandchildren.
  • Identifying charitable and philanthropic goals.
 

 

This document has been prepared for use by the RBC Wealth Management member companies, RBC Dominion Securities Inc.*, RBC Phillips, Hager & North Investment Counsel Inc., RBC Global Asset Management Inc., Royal Trust Corporation of Canada and The Royal Trust Company (collectively, the “Companies”) and their affiliate, Royal Mutual Funds Inc. (RMFI). *Member – Canada Investor Protection Fund. Each of the Companies, RMFI and Royal Bank of Canada are separate corporate entities which are affiliates. “RBC advisor” refers to Private Bankers who are employees of Royal Bank of Canada and licensed representatives of RMFI, Investment Counsellors who are employees of RBC Phillips, Hager & North Investment Counsel Inc. and the private client division of RBC Global Asset Management Inc., Senior Trust Advisors and Trust Officers who are employees of The Royal Trust Company or Royal Trust Corporation of Canada, or Investment Advisors who are employees of RBC Dominion Securities Inc. In Quebec, financial planning services are provided by RMFI which is licensed as a financial services firm in that province. In the rest of Canada, financial planning services are available through RMFI, Royal Trust Corporation of Canada, The Royal Trust Company, or RBC Dominion Securities Inc. Estate and trust services are provided by Royal Trust Corporation of Canada and The Royal Trust Company. If specific products or services are not offered by one of the Companies, clients may request a referral to another RBC partner. The strategies, advice and technical content in this publication are provided for the general guidance and benefit of our clients, based on information believed to be accurate and complete, but neither the Companies, RMFI, nor Royal Bank of Canada, nor any of its affiliates nor any other person can guarantee accuracy or completeness. This publication is not intended as nor does it constitute tax or legal advice. Readers should consult a qualified legal, tax or other professional advisor when planning to implement a strategy. This will ensure that their individual circumstances have been considered properly and that action is taken on the latest available information. Interest rates, market conditions, tax rules, and other investment factors are subject to change. This information is not investment advice and should only be used in conjunction with a discussion with your RBC advisor. None of the Companies, RMFI, Royal Bank of Canada nor any of its affiliates nor any other person accepts any liability whatsoever for any direct or consequential loss arising from any use of this report or the information contained herein. In certain branch locations, one or more of the Companies may carry on business from premises shared with other Royal Bank of Canada affiliates. Notwithstanding this fact, each of the Companies is a separate business and personal information and confidential information relating to client accounts can only be disclosed to other RBC affiliates if required to service your needs, by law or with your consent. Under the RBC Code of Conduct, RBC Privacy Principles and RBC Conflict of Interest Policy confidential information may not be shared between RBC affiliates without a valid reason. 

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