This is an excellent question. For latent variables to be identified they typically require at least 3 indicators or other outcome variables associated with them. In your diagram you have the ACEs variable only having two outcome variables. It looks like you'd be better off just using the observed ACEs variable as a predictor of your latent Parenting variable. If you are interested in learning about SEMs in Stata, [Instats][1] has a number of [upcoming seminars][2] that cover this in detail, including all of them in a multi-seminar [Structured Course][3] which provides a complete exploration of the topical content. Hope this helps and best wishes Michael Zyphur, Director, Institute for Statistical and Data Science, instats.com [1]: https://instats.com [2]: https://instats.com/seminars_courses [3]: https://instats.com/seminars_courses?view=courses