MDNews - Cleveland-Akron-Canton

+++++++++++++++++++++++++++ + + +++++++++++++++++++++++++++ FINANCIAL PLANNING +++ +++ TInvesting in T By Martha S. Bethea, CPA urbulent Times HE STOCK MARKET has been on a roller coaster ride. One day up, next day down. Watching the change in value of your portfolio makes you ill. What can you do? Your best course of action should be set long before the markets become volatile. An established investment strategy and routine meetings with your investment advisors will help you stay on target with that strategy and can ease your concerns when the market gets rough. The fi rst step to investing is to have a plan. First, identify and value everything you own. This would include cash, bank accounts, investment accounts, homes, furnishings, automobiles, jewelry, and so on. Then identify everything you owe. This would include credit card debt, mortgage loans, student loans, car loans and other debt. Subtract the amount you owe from the amount you own. This gives you an idea of your equity. Consider your investing time line. If you are 30 your investment goals are different than those of someone 50 or 60. On a scale of 0-10 determine your risk tolerance, with 0 being you have no tolerance for risk and want all safe investments to 10 where you are willing to take a lot of risk and can tolerate large swings in the market. Generally, most people will fall into the middle range of 4-6. The next step is to look at your income and expenses. You need to establish an amount that you automatically save from each paycheck. That amount can be deposited into a separate account automatically by your employer or transferred from your checking account each month by your bank or broker. Once you have completed these steps, meet with your investment advisor to review the information and outline a plan for investing. You will need to determine if you have adequate liquid assets in the event of an emergency. This would be 3 to 6 months of living expenses that can be accessed without liquidating investments. You and your investment advisor would then work together to identify the mix of assets classes that will allow you to fall within your risk tolerance. Most of us are aware of the "60% stocks and 40% fi xed income" recommendations. Your investment plan would go beyond this mix to identify the nature of the investments within those categories and to make certain your assets are well diversifi ed. Your fi nancial advisor can then implement your investment plan. Once your plan is implemented you need to routinely review your investment plan and asset choices with your investment advisors no less than quarterly. The review may be simply a short phone call to discuss whether any changes should be made. A full portfolio review should be done face to face at least annually. While is it diffi cult not to react when the market plummets 300 points in one day, it is important not to over-react to market fl uctuations. Investment changes in a market decline should be done cautiously with guidance from your investment advisor to avoid "selling low and buying high". The expectation is that the market will continue to be volatile for some time to come. A good investment plan will help you come through with good fi nancial health. Martha Bethea is the managing director in charge of the Medical Practice Management Group of CBIZ/MHM LLC in Akron, Ohio. n Lutheran and Lakewood Hospitals Name New Hospital Presidents B EGINNING JANUARY 1, 2012 Lakewood and Lutheran hospitals will have new presidents. Brian Donley, MD, senior vice president of Surgical Operations at Lutheran Hospital will assume the presidency of Lutheran Hospital and Robert Weil, MD, senior vice president of Surgical Operations at Lakewood Hospital, will become the new president of Lakewood Hospital. Currently, Janice Murphy, RN, serves as president of both Fairview and Lakewood hospitals. Murphy will remain president of Fairview Hospital. Lutheran Hospital is currently led by Mary Kennedy, RN, who is serving as interim president. Kennedy will 50 | Cleveland-Akron-Canton MD NEWS MDNEWS.COM NOVEMBER-DECEMBER 2011 Brian Donley, MD Robert Weil, MD return to her position as Chief Nursing Officer for Lutheran Hospital in January. Both Murphy and Kennedy will remain in their current roles through the end of this year. Dr. Donley, who will see patients and perform surgeries at Lutheran Hospital, joined Cleveland Clinic in 1995 and is director of the Center for Foot and Ankle Surgery within the See Page 51

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