Wealth management refers to a professional service that provides comprehensive financial advice and investment management to individuals or families. The primary goal of wealth management is to help clients preserve and grow their wealth over time while addressing their financial goals and objectives.
Wealth management typically encompasses various financial services, including investment advice, financial planning, tax planning, estate planning, retirement planning, and risk management. Wealth managers work closely with their clients to understand their financial situation, objectives, and risk tolerance in order to develop customised strategies to meet their specific needs.
A wealth manager and a financial planner are both professionals who provide guidance and advice on managing finances, but there are some key differences between the two roles.
A wealth manager typically focuses on managing and growing their clients’ investment portfolios and overall wealth. They specialise in investment management, asset allocation, risk assessment, and strategies to maximise returns. Wealth managers often work with high-net-worth individuals or families and may offer services such as portfolio construction, tax planning, estate planning, and investment advice.
On the other hand, a financial planner takes a broader approach to personal finance. They consider various aspects of an individual’s or family’s financial life, including budgeting, retirement planning, insurance needs, tax planning, and education funding. Financial planners assess their clients’ overall financial situation, help set financial goals, and develop comprehensive plans to achieve those goals.
