Title: De-Risking Our Future Tagline: De-Risking Our Future: How the Unlevered Beta Calculator Helped the Millers Reduce Portfolio Risk by 12% and Save $18,000 Annually Problem: The Millers, a dual-income family in their early 40s with three children nearing college age, were concerned about the high volatility of their investment portfolio. Their advisor had recommended several growth stocks, but the Millers felt uneasy about the level of risk, especially with looming education expenses. They needed a way to understand the underlying risk profile of these companies, separating it from the impact of their debt financing. A recent market downturn amplified their concerns, highlighting the potential for significant losses if the portfolio wasn't properly aligned with their risk tolerance. They were particularly worried about one tech stock, 'Innovate Solutions,' which their advisor touted as a high-growth opportunity but which had a high debt-to-equity ratio. Solution: Using the Unlevered Beta Calculator, the Millers were able to isolate the asset risk of Innovate Solutions, discovering it was significantly lower than the publicly reported beta suggested (influenced by its debt). By comparing the unlevered beta to that of similar, less leveraged companies, they identified a potential overvaluation due to perceived higher risk. They decided to reduce their holdings in Innovate Solutions and reinvest in a more stable, less leveraged competitor with a similar unlevered beta but a lower overall beta, reflecting a more conservative capital structure. This involved selling $50,000 worth of Innovate Solutions and reinvesting in the competitor. ROI: $18,000 annually. By switching to a less volatile, fundamentally similar stock, the Millers reduced their portfolio's overall beta by 12%, leading to an estimated reduction in potential losses of $18,000 per year based on their portfolio size and historical market fluctuations. This provides greater peace of mind as they approach their children's college years. Description: The Unlevered Beta Calculator empowers investors to assess a company's true asset risk, independent of its debt. Use it to uncover hidden opportunities and make smarter investment decisions. Category: Client Service