Every Investment Has an Emotional Price
Every investor thinks they understand risk, yet most of them have never priced the one that actually stops them from acting.
A client came to me holding a portfolio worth roughly €12-13 million. He didn't want more investments. He wanted someone to look at the whole architecture and tell him if it was actually sound: His debt, his tax structure and everything underneath the numbers he was used to looking at.
I told him the order matters, and it isn't optional. Each stage changes the numbers the next stage has to work with. Skip the sequence and you end up optimizing decisions against figures that are about to shift underneath you.
Stage 1: Fix the debt first, or nothing after it holds
His existing debt was priced badly. Refinancing it wasn't a nice-to-have, it was the foundation. Every decision downstream such as tax structuring or new capital deployment, should always...
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