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