What Is Health Management and How Does It Work?
Wealth management is a higher level of professional service which puts together financial and investment advices, tax services and accounting services, retirement plans as well as estate plans together throughout the entire course of your life. The financial world today is difficult to understand since it is rapidly developing that is why it is necessary to hire a professional who can give you advice on how your finances should be dealt with. The foundation and personal financial plan is prepared for you in order to help you with your goals.
Although the term wealth management has become very popular, the answer to the question what is wealth management is not unclear to all. Wealth management is a discipline which is incorporated to financial planning. Both are able to help clients in reaching their decisions and goals for the business. The clients are the only factor which will enable us to distinguish financial planning from wealth management. Wealth managers are professionals needed by high-net worth individuals, small business owners and even families to help them with their estate planning, legal resources, accumulation of wealth, protection of properties as well as its distribution.
How can financial planning differ from wealth management because of the high-net worth individuals? A wealth manager can be compared to a surgeon while a financial planner can be compared to a family doctor. In other words, the wealth manager gets the more complicated task. There is a difference between estate planning, legal resources, tax management and investment management according to high-net worth individuals. High-net worth clients also consider social security benefits, retirement plans and succession plans different, although they probably do not need these retirement proceeds.
In such a manner, who are high-net worth individuals? The industry does not provide us with a total number of these high-net worth clients. Many place it in the $5 to $10 million range while others place it in the $1 million or more range.
How do wealth managers function?
Related occupations like financial advisors, investment advisors, and financial planners have the same methods as wealth managers. All of their work evolve in communicating with clients and helping them identify their goals, being able to determine a way for them to achieve their goals in the expected time.
The wealth manager’s clients are individuals who need more time and attention compared to the clients of the financial planner and financial advisor. The wealth manger should be able to understand the extent of the wealth of their clients and the needs which goes with these luxury. It is of utmost importance that every detail about the client’s wealth is well scrutinized so that the wealth manager will be able to formulate a plan of action on how to go about these problems.