cover-image

Perspectives

Navigating the Game of Wealth: Your Life-Changing Liquidity Moment

Perspectives

December 13, 2023

Congratulations to Shohei Ohtani for achieving what can only be described as a monumental milestone in the world of sports – signing the largest contract in sports history!

This incredible achievement marks a pivotal "liquidity moment" in his life. Should you find yourself in an “Ohtani” moment of your own, we want to offer a few tips from Arta's digital family office experts on steps you can take when your financial landscape changes dramatically.

1. Invest in a tax-advantaged way

One of the first plays in your financial playbook should involve tax-advantaged investment vehicles. Permanent life insurance offers an avenue to grow your wealth tax-free while providing a safety net for your loved ones. The compounding effect of the tax benefits is considerable, you can tap into the funds during your lifetime tax-free, and you create a legacy to pass along to the next generation. Insurance is a versatile tool that can help you achieve long-term financial goals while minimizing your tax burden. If you’d like to learn more about permanent life insurance, schedule time with our expert.

2. Avoid estate planning catastrophes

Estate planning is a critical aspect of securing your financial legacy. As your wealth grows, proper estate planning becomes increasingly important. Ensure your assets are distributed as you intend by avoiding common pitfalls. Work closely with an estate planning expert (here’s a link to schedule time with Arta’s) to craft a solid strategy and prevent any unexpected surprises down the road. In short, make sure you have a trust and other legal documents in place to protect and preserve what you've worked so hard to earn.

3. Diversify and hedge against over-concentration

Diversification is key to financial success. While your new contract may be a windfall, it's essential to avoid over-concentration in a single asset class. Diversifying your investments can help mitigate risk and ensure long-term financial stability. Consider a well-balanced portfolio that spans various asset classes to safeguard your wealth. Think about ways to hedge against overconcentration by investing in alternative asset classes and creating custom structured derivatives products to match your needs. Here’s a link to schedule a call with Arta’s derivatives and structured products expert to learn more about this approach.

A winning strategy for the future

In the world of sports, a winning strategy can lead to championships and fame. In the world of finance, a winning strategy leads to financial security and peace of mind. 

We extend our heartfelt congratulations once again to Shohei Ohtani for achieving a monumental milestone in the world of sports. Your journey to financial prosperity is well on its way, and as you navigate this exciting path, remember that you are not alone. 

Our digital family office experts are dedicated to helping people harness the full potential of their "liquidity moment." If you, like Shohei, anticipate your own liquidity moment, we hope you see it as a remarkable opportunity to shape your financial future. Whether it's through inheritance, business sales, stock options, or sudden career advancements, Arta is ready to provide you with the support and guidance you need to make the most of these opportunities. 


Share

get our latest market trends and investment insights

PARTNER

Overview


Legal, Privacy, & Terms

Important Disclosure Information

Arta Finance Wealth Management LLC ("Arta") is an investment adviser registered with the Securities and Exchange Commission (“SEC”). Arta’s affiliates include Arta Finance Insurance LLC which offers insurance brokering services, and Arta Finance Club which offers tax and estate planning educational services. Clearing and custody of all securities are provided by Pershing LLC. For additional disclosures related to Arta, please visit https://artafinance.com/legal-privacy-terms.

The information displayed on this website is for informational purposes only and is not an offer or solicitation to purchase or sell securities. Arta Finance believes information presented is accurate at the time of publishing, but may not be updated regularly. Investing involves risks, including the potential for principal loss. Past performance is no guarantee of future results.

The investments discussed herein may be unsuitable for investors depending on their specific investment objectives as well as financial and tax position. Investors should independently evaluate each investment discussed in the context of their own objectives, risk profile and circumstances before deciding to invest with Arta Finance. There is no guarantee that the strategies and services offered by Arta Finance will be successful or outperform other strategies and services. Investors should seek the advice of a tax professional before making any investment. All opinions expressed herein constitute the author or quoted individual(s)’s judgment as of the date of this document and are subject to change without notice. Registration with the Securities and Exchange Commission (SEC) as a registered investment adviser does not imply a certain level of skill or training.

Statements made are not facts, including statements regarding trends, market conditions and the experience or expertise of the author or quoted individual(s) are based on current expectations, estimates, opinions and/or beliefs. Opinions expressed by other members on Arta Insider should not be viewed as investment recommendations from Arta Finance. Endorsements were provided at the request of Arta Finance. Arta Finance is not affiliated with and does not purport to own or control any third-party content linked herein.

See important disclosures here.

Copyright Arta Finance 2024. All rights reserved