Real Risk Management

Integrating Risk Management into all our processes

At Lucas Capital Management, we believe that risk management is one of the most important things that your financial advisor does for you.  The industry standard is to ask you a few questions about your “risk tolerance” periodically and leave it at that.

With over 60 years of experience, we can confidently tell you that it doesn’t even begin to scratch the surface.

That’s why we integrate risk management into all our financial planning and investment management processes.  Here’s what that looks like to you:

  • We’ll review your risk tolerance with you periodically, in detail. We understand that your risk tolerance and preferences often change as your life changes.
  • We consider all aspects of your life in risk management – your portfolio at Lucas, assets held at other firms, employment, real estate, company stock, and incentive compensation.
  • Our financial planning process includes stress-testing your portfolio and reviewing various possible outcomes with you.
  • Your investments will be rebalanced so your risk level stays close to where it needs to be. 

Risk Management Benefits

Keeping a close handle on risk helps you avoid costly mistakes.  Investing is a long-term process and our emotional instincts sometimes lead to poorly timed investment decisions based on short-term market moves.  Keeping you focused on risk will help to prevent overinvesting when you feel euphoric and don’t want to miss out on further gains.  It can also help you avoid panic selling during market drops if you had too much in one asset class or a particular type of stock.

This is vital self-defense since these emotional investing mistakes are extremely common and can be very damaging to your nest egg.

With the right financial planning and risk management, we can help you avoid mistakes, smooth out your returns and move more consistently toward your goals.

We’ll review your risk tolerance with you periodically, in detail. We understand that your risk tolerance and preferences often change as your life changes.

Check Your Financial Health

Schedule a free, no-strings-attached retirement checkup today.