Investment Portfolio for the Susan Griffin

Investment Portfolio for the Susan Griffin

Development of the investment portfolio for the Susan Griffin requires deep understanding of her current worth and her future plans with her assets. Susan Griffin is the owner and the CEO of the Griffin Incorporate company that in partnership with her husband, Bill Griffin founded in the year 1970. Nearly 31 years before the year 2002, the company had been successful in its operations with its annual returns ranging between 10 to $11 million. Regardless of these successes, the 62 years old, Susan Griffin wants to free herself from the responsibilities associated with operating the business while maintaining her standard of life or living comfortably. One means or mode through which she wants to relief herself from such responsibilities is selling all the assets associated with the company. In other words, one of her advisors prompted to her that turning the company into liquid asset will give a net worth of $10 million (Crane and Stevens 01). It is amount that Griffin should invest perfectly to meet her demands to what she calls a comfortable life. Nonetheless, the essay will use the provided information concerning Susan Griffin’s assets and needs to follow a five steps investment process in developing business portfolio for investment plans.

Table 1: showing Griffin’s Assets (Crane and Stevens 06)

The first crucial step is to determine the target size of the Griffin’s portfolio. Griffin’s goals are divided into three including the taxable deductible items, nondiscretionary spending, and discretionary expenses. According to her listing, her nondiscretionary expenses include utility bills, automobile expenses, and medical insurance. She notes that these expenses will be difficult to cut down since regardless of the turn in her business ventures, she must continue leading a comfortable life. However, she acknowledges that there are possibilities of reducing expenditure on some of her nondiscretionary items including holiday gifts and clothes. Other items that she opted to reduce spending on included her discretionary expenses that included the travel, membership, and occasional purchases. Additionally, she may as well forgo the expenses accrued in the tax deductible expenses including charitable giving and property taxes.