What entails about wealth management is always shrouded with widespread public misconception that such service is only applicable with private banking services offered to high-earning individuals.
Indeed there are wealth management services that are exclusively offered to individuals who want assistance and advice prior to a large investment ventures over $1,000,000.
There are private investment advice firms or financial institutions that offer wealth management services to financially secure individuals but not totally limited to ultra-high-net worth demographics only. Usually the initial step of wealth management is financial plan building. The financial plan will consolidate other financial aspects like insurance, estate, investment and tax. For those who never had a financial plan before then a wealth advisor can help you. Ed Butowsky, managing partner of Chapwood Capital Investment Management, LLC revealed the various aspect of a complete financial plan:
· * Complete financial goals; short and long term
· * Actions to be taken aiming improvement of the current financial strategies
· * Financial forecasts after implementation of strategies
· * Schemes or actions that provides detailed steps needed in order for the strategies to be applied
· * Financial advisor’s recommendations
A capable wealth manager can do more than just endorsing the good-performing stocks, mutual funds and investment said Ed Butowsky. True enough as investment is just part of any financial plan. Other aspects play their roles and collectively their synergy determines a good financial plan. For example, strategies in tax reduction are valuable as this will help curb tax payments thus maximizing your money or asset. It is a financial advisor’s responsibility to lower the amount of taxes to be paid by his client.
Financial advisor can help you choose the right insurance policies just in case one encounters unexpected circumstances. Life insurance is also beneficial as this will fund the estate which the client will leave once he/she dies.
Estate planning will also make things less-complicated making the family left-behind tackles fewer disputes to deal with while estate settling is on the process. Aside from relying wealth manager recommendations, acquiring expert guidance of tax specialists, insurance professionals and attorneys are proven huge help said Ed Butowsky. Altogether, their combined advices can help you succeed when it comes to financial plan strategies implementation.