client-profile-summarization

name	client-profile-summarization
description	Generate holistic client profile summaries for wealth management relationships. Use when onboarding new clients, preparing for annual reviews, conducting relationship transitions between advisors, aggregating data across custodians, or creating a unified view of client financial position, goals, risk profile, and household dynamics.
metadata	{"display_name":"Client Profile Summarization","short_description":"Summarize wealth management client profiles holistically","default_prompt":"Summarize my client profile with key findings and next steps","version":"1.0.1","tags":["financial-services"],"icon_path":"assets/icon.png"}

Client Profile Summarization

Overview

Produce comprehensive client profile summaries that aggregate financial position, investment holdings, insurance coverage, estate planning status, tax situation, and personal/family context into a unified document. These summaries serve as the foundation for advisory relationships — enabling advisors to deliver personalized advice, demonstrate fiduciary care, and maintain continuity across team transitions. Outputs conform to Reg BI suitability documentation and Form CRS relationship standards.

When to Use

• New client onboarding — creating the initial comprehensive profile
• Annual review preparation — updating and refreshing the client profile
• Advisor transition — ensuring relationship continuity with complete context transfer
• Multi-generational planning — capturing household and family dynamics
• Compliance review — documenting know-your-client (KYC) and suitability basis
• Relationship deepening — identifying unmet needs and cross-service opportunities

Required Inputs

Input	Description	Format
Client questionnaire	Risk tolerance, goals, time horizon, income, expenses	Completed intake form
Account statements	All investment, banking, and retirement accounts	Custodian statements
Insurance policies	Life, disability, LTC, P&C coverage summaries	Policy declarations
Estate documents	Will, trust, POA, beneficiary designations summary	Legal document review
Tax returns	2–3 years of federal and state returns	Tax documents
Personal information	Family composition, employment, health considerations	Client-provided
Existing plans	Prior financial plans, IPS documents, advisor notes	Historical records

Methodology

Step 1 — Household Composition and Personal Context

Document the complete household picture:

• Primary client: Name, DOB, SSN (last 4), employment status, employer, title, compensation structure
• Spouse/partner: Same details, including separate employment and benefits
• Dependents: Children (ages, education status, special needs), aging parents, other dependents
• Key life events: Recent or upcoming marriage, divorce, retirement, inheritance, business sale, relocation
• Health considerations: Any health factors relevant to insurance needs, life expectancy assumptions, or LTC planning
• Professional network: CPA, estate attorney, insurance agent — contact information and coordination notes
• Communication preferences: Meeting frequency, communication channels, level of detail desired, decision-making style (delegator vs. involved)

Step 2 — Financial Position Aggregation

Consolidate all financial data into a unified balance sheet:

Assets:

• Liquid investments (taxable brokerage, money market, CDs)
• Retirement accounts (401(k), IRA, Roth IRA, 403(b), SEP, defined benefit pension value)
• Real estate (primary residence, vacation property, rental/investment properties)
• Business interests (ownership stakes, estimated valuations, liquidity constraints)
• Insurance cash values (whole life CSV, annuity values)
• Other assets (collectibles, deferred compensation, stock options/RSUs, trust interests)

Liabilities:

• Mortgage(s) with balance, rate, term, and payment
• Student loans, auto loans, personal loans
• Credit card balances
• Business debt personally guaranteed
• Future commitments (education funding, eldercare)

Net worth calculation: Total assets minus total liabilities with year-over-year trend

Step 3 — Income and Cash Flow Analysis

Map all income sources and spending patterns:

• Earned income: Salary, bonus, commissions, business income (note variability)
• Investment income: Dividends, interest, rental income, capital gains distributions
• Retirement income: Pension, Social Security (current or projected), annuity payments
• Other income: Trust distributions, alimony, consulting, board fees
• Expense analysis: Fixed expenses, discretionary spending, savings rate
• Cash flow surplus/deficit: Monthly and annual net cash flow with savings capacity
• Tax efficiency: Current marginal tax rate (federal + state), AMT exposure, NIIT applicability

Step 4 — Investment Holdings Analysis

Summarize investment holdings across all accounts:

• Asset allocation: Current allocation vs. target (equity, fixed income, alternatives, cash)
• Account-level detail: Holdings by account with purpose designation
• Tax location optimization: Tax-efficient placement (bonds in tax-deferred, growth in Roth)
• Concentration risk: Single-stock positions, employer stock, sector concentration
• Cost basis: Unrealized gains/losses and tax lot management status
• Income yield: Current portfolio income yield and projected income generation
• Fee analysis: Weighted average expense ratio, advisory fees, platform fees

Step 5 — Risk Profile Assessment

Document the client's comprehensive risk profile:

• Risk tolerance questionnaire score: Quantitative score from validated instrument
• Risk capacity: Objective financial ability to absorb losses (time horizon, income stability, net worth, liquidity needs)
• Risk need: Required return to meet goals (if return need < capacity, can reduce risk)
• Behavioral considerations: Past behavior during market stress, loss aversion indicators
• Risk profile reconciliation: If tolerance, capacity, and need conflict, document how the advisory team resolved the conflict
• Suitability determination: Client classification (conservative, moderate, moderate growth, growth, aggressive) with rationale per Reg BI

Step 6 — Goals and Planning Gap Analysis

Document stated goals and assess progress:

Goal	Priority	Target Amount	Timeline	Current Funding	Gap	On Track
Retirement	High	$X.XM	XX years	$XXX K	$XXX K	[Y/N]
Education	High	$XXX K	XX years	$XX K	$XX K	[Y/N]
Home purchase	Medium	$XXX K	X years	$XX K	$XX K	[Y/N]
Legacy/charity	Medium	$X.XM	Lifetime	$XXX K	$XXX K	[Y/N]

• Retirement readiness: Monte Carlo simulation results (probability of success at X% confidence)
• Education funding: 529 plan status, projected costs, funding gap
• Insurance needs: Life insurance gap analysis, disability coverage adequacy, LTC coverage assessment
• Estate planning status: Will/trust currency, beneficiary designation review, estate tax exposure

Step 7 — Profile Summary and Action Items

Generate the final profile document:

Output Specification

## Client Profile Summary — [Client Name(s)]

### Personal Information
- Household: [Primary client and spouse/partner]
- Dependents: [Children, ages]
- Employment: [Status, employer, anticipated changes]
- Communication preference: [Frequency, channel, style]

### Financial Position Summary
| Category | Amount | % of Total |
|----------|--------|-----------|
| Liquid investments | $X,XXX,XXX | XX% |
| Retirement accounts | $X,XXX,XXX | XX% |
| Real estate (net) | $X,XXX,XXX | XX% |
| Other assets | $XXX,XXX | XX% |
| **Total assets** | **$X,XXX,XXX** | **100%** |
| Total liabilities | ($XXX,XXX) | |
| **Net worth** | **$X,XXX,XXX** | |

### Income Summary
- Total household income: $XXX,XXX
- Investment income: $XX,XXX
- Savings rate: XX%
- Marginal tax rate: XX% (federal + state)

### Investment Summary
- Total investable assets: $X,XXX,XXX
- Current allocation: XX% equity / XX% FI / XX% alt / XX% cash
- Target allocation: XX% equity / XX% FI / XX% alt / XX% cash
- Weighted expense ratio: X.XX%
- Concentration flags: [Any single positions > 10%]

### Risk Profile
- Risk tolerance: [Score and category]
- Risk capacity: [Assessment]
- Suitability classification: [Category]

### Goals Status
[Goals table with funding status and on-track indicators]

### Planning Gaps Identified
1. [Gap with recommended action]
2. [Gap with recommended action]
3. [Gap with recommended action]

### Next Steps
1. [Action — owner — deadline]
2. [Action — owner — deadline]
3. [Action — owner — deadline]

### Professional Team
- CPA: [Name, firm, contact]
- Attorney: [Name, firm, contact]
- Insurance: [Name, firm, contact]

Analysis Framework

Apply the WEALTH framework:

• Whole picture — Aggregate all financial, personal, and family data
• Earnings — Map income sources, tax situation, and cash flow
• Assets — Catalog and analyze all investment and non-investment assets
• Liabilities — Document debts and future financial commitments
• Targets — Define and prioritize financial goals with timelines
• Health — Assess risk profile, insurance adequacy, and estate readiness

Examples

Example 1 — Pre-Retirement Couple

Client: John (58) and Maria (55) Chen. Combined income: $425K. Investable assets: $2.8M across 4 accounts (2 IRAs, joint brokerage, Maria's 401k). Primary residence: $650K (mortgage: $180K at 3.2%). Risk tolerance: Moderate. Goals: Retire at 62 (John) and 60 (Maria), fund remaining 2 years of daughter's college ($80K), maintain current lifestyle. Gaps identified: Portfolio overweight equities at 78% vs. 60% target for 4–7 year retirement horizon; no LTC coverage; estate documents 12 years old and pre-date current trust law. Actions: Rebalance to 60/35/5, obtain LTC quotes, schedule estate document review with attorney.

Example 2 — Next-Gen Wealth Transfer

Client: Sarah Williams (32), recently inherited $1.4M from grandmother's trust. First-time investor. Employment: Software engineer, $185K salary. Student loans: $42K at 5.5%. No existing investment accounts beyond employer 401(k) with $35K balance. Risk tolerance: Growth (long time horizon, high capacity). Goals: Buy home in 2 years ($200K down payment), maximize long-term growth, establish charitable giving. Actions: Segregate $200K for home purchase in short-term instruments, establish taxable brokerage with 80/15/5 allocation for long-term assets, accelerate student loan payoff from inheritance, establish donor-advised fund with $25K initial contribution.

Guidelines

• Obtain explicit client consent before aggregating data from external custodians or advisors
• Mark all profile documents as confidential with appropriate handling procedures
• Update profiles at least annually and after any material life event
• Cross-reference beneficiary designations across all accounts for consistency
• Flag any discrepancies between stated risk tolerance and current portfolio positioning
• Document the source of all data elements (client-provided vs. verified vs. estimated)
• Comply with Reg BI documentation requirements for suitability basis
• Maintain version history of profile updates with timestamps

Validation Checklist

• All household members and dependents are documented with current information
• Financial position includes all known accounts, assets, and liabilities
• Income analysis covers all sources including variable and non-recurring
• Investment holdings are current (within 30 days) and cover all accounts
• Risk profile assessment uses a validated questionnaire instrument
• Goals are specific, measurable, and prioritized with timelines
• Planning gaps are identified with recommended actions
• Professional team contacts are current and coordination notes documented
• Beneficiary designations reviewed for consistency across accounts
• Profile meets Reg BI suitability documentation requirements