Propose, and defend, ways to handle a family's financial risks as a whole through working life and into retirement

Use the economic balance sheet: human capital, pension rights and financial assets against liabilities such as lifetime consumption, education, debt and bequests. Exposures include earnings loss, premature death, disability, longevity, property, liability and market risk, and they change over the life cycle as human capital is converted into financial capital. Methods include insurance (life, disability, health, long-term care, property), annuities for longevity, emergency reserves, and an asset allocation that reflects whether human capital is bond-like or equity-like. A justification explains why each risk is retained, reduced or transferred, based on its severity and frequency. The trap is managing each risk in isolation; an employee holding employer shares doubles up on job risk.