What is Wealth?
Basically wealth is an abundance of variable material resources. The meaning of wealth is not straightforward. Wealth is basically a person’s net worth. Wealth can be explained as assets minus liabilities.
How it Works?
Wealth management combines both financial planning and specialized financial services, including personal retail banking services, estate planning, legal and tax advice, and investment management services.
The goal of wealth management is to sustain and grow long-term wealth.
For example, those in the direct employ of a firm known for investments may have more knowledge in the area of market strategy, while those working in the employ of a large bank may focus on areas such as the management of trusts and available credit options, overall estate planning or insurance options. The position is considered consultative in nature as the primary focus is providing needed guidance to those using the wealth management service.
What is Wealth Management?
Wealth management is very straightforward. From the affluent individual’s perspective, wealth management is simply the science of solving/enhancing his or her financial situation. From the financial advisor’s perspective, wealth management is the ability of an advisor or advisory team to deliver a full range of financial services and products to an affluent client in a consultative way. Theoretically, a wealth manager can provide every single financial product in existence. In reality most wealth managers specialize in services and products they feel most comfortable with. 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 is an integrated process for helping client manage their wealth. It involves huge a wide range of services and the services depend upon each investor but the condition is that services should include investment management, financial planning, retirement, Estate planning, tax planning, debt management and cash flow.