What is wealth management and why is it important?
Wealth management is essentially the practice of chalking out an individual’s financial standing and goals. It is a detailed study and understanding of financial strengths and weaknesses, to segregate the finances and gain maximum financial security or benefits.
A further defining quality of wealth management is that it is delivered in a consultative manner. By being consultative, wealth managers are truly client-centered. A good wealth manager meets a client without any presupposition about what financial products or services are appropriate for that affluent individual.
Wealth management entails coordinating a team of experts to address the needs and wants of affluent and mass affluent clients.
Here are the services that usually fall under the umbrella of wealth management:
- Financial planning
- Investment management
- Philanthropy advice
- Legal exposure planning
- Estate planning
- Tax optimization
- Retirement planning