Tolerance meets capacity. The lower number wins.

Every household carries a dated risk profile built from three components: tolerance, what the client is willing to accept; capacity, what the plan can actually carry; and environment, the circumstances that move the number this year. Tolerance comes from a five question questionnaire you email to the client, administer yourself in the meeting, or set by hand with your reasoning on the record. Capacity is computed from the household's own projection, years to retirement, length of retirement, funding buffer, withdrawal rate, and the guaranteed income floor, and it refreshes when the plan changes. Capacity is a hard ceiling, not an average: a client who scores 90 on the questionnaire against a capacity of 25 lands at 25, and the page names capacity as the binding constraint rather than averaging the two into an unsuitable 57. The profile selects a model portfolio and nothing trades. When the base scenario is running on something else, the page names both and gives you one button. Every movement is logged with the reasoning and the components behind it.

• tolerance · capacity · environment
• emailed or advisor administered
• capacity is a hard ceiling
• dated, reasoned history