In the Bath Collaborative POD meeting in May 2010, Miles Hendy of Fraser Heath Financial Management and David Freke of Moore Stephens talked through the assembled group of collaboratively trained lawyers and family consultants how a Financial Neutral can show the likely long term consequences of adopting different financial strategies on divorce.
They took an example of a 50 year old female faced with two different options:
Assumptions were built in about how much money she would like to live off at various stages and the higher costs of staying in a bigger property. They were able to show two different outcomes.
This process of forecasting cash flow and future assets is invaluable in a collaborative divorce. The financial neutral can help the parting couple reach a fully informed decision and reach a solution that sees the long term future of both parties protected. In more traditional divorces, it can act as a starting point for the future and give confidence that there is a clear financial plan in place.