When you need help with your financial affairs, there is a variety of service providers available. However, the terms they use may not clearly explain what they do, leaving you uncertain about what to expect.
What is the difference between asset management and wealth management?
Asset management and wealth management may seem similar, but there are often differences in what these financial companies offer to their clients. In most cases, wealth managers provide comprehensive financial advice across multiple areas, while asset managers focus on managing investments.
Which one is right for me?
If you only need help managing investments, an asset manager may provide you with everything you need. In this case, you might manage other aspects of your financial affairs on your own or hire separate advisors, such as estate planning attorneys or financial planners who offer advice only. Wealth management can be ideal for those who want comprehensive financial advice. Rather than focusing only on investments, a wealth manager studies multiple aspects of your financial life and may point out issues you weren’t previously aware of. A wealth manager can provide investment management, but you can expect advice on how to integrate your investments with everything else in your life. For example, you may need help managing taxes, funding your grandchild’s education, and creating a detailed retirement income plan. Someone who offers investment management services may leave you wanting more.
Other information
Sometimes, titles and names can be confusing or misleading. The U.S. Securities and Exchange Commission does not endorse any financial professional titles and also warns investors against relying solely on a professional’s title to gauge their expertise. A financial company’s title may be more of a marketing tool than a reliable indicator of the services you can expect. Therefore, it is important to research any financial provider you are considering working with and ask questions.
In addition to wealth managers and asset managers, other service providers may be suitable for your needs. For instance, a financial planner or advisor might be able to handle all the subjects you need help with. Some firms may use alternative titles but offer services equivalent to the wealth management model described above. To find the right fit, research the background of the financial professional, their titles, and their disciplinary history, as these can provide you with a wealth of information about the person you are working with.
Conclusion
Both asset management and wealth management can assist you with your financial affairs. However, if you wish to receive advice on a wide range of subjects, you may have better opportunities with a wealth management service provider. Wealth managers typically offer investment management, and they may also include additional services. However, titles do not always tell you everything you need to know, so ask questions and review your service agreement to understand exactly what you are getting.
The Balance does not provide tax, investment, or financial advice. The information is presented without regard to the investment objectives or risk tolerance or financial circumstances of any specific investor and may not be suitable for all investors. Past performance is not indicative of future results. Investing involves risks including the risk of loss of principal.
Source: https://www.thebalancemoney.com/difference-between-asset-management-and-wealth-management-5193693
.lwrp .lwrp-title{
}.lwrp .lwrp-description{
}
.lwrp .lwrp-list-container{
}
.lwrp .lwrp-list-multi-container{
display: flex;
}
.lwrp .lwrp-list-double{
width: 48%;
}
.lwrp .lwrp-list-triple{
width: 32%;
}
.lwrp .lwrp-list-row-container{
display: flex;
justify-content: space-between;
}
.lwrp .lwrp-list-row-container .lwrp-list-item{
width: calc(12% – 20px);
}
.lwrp .lwrp-list-item:not(.lwrp-no-posts-message-item){
}
.lwrp .lwrp-list-item img{
max-width: 100%;
height: auto;
object-fit: cover;
aspect-ratio: 1 / 1;
}
.lwrp .lwrp-list-item.lwrp-empty-list-item{
background: initial !important;
}
.lwrp .lwrp-list-item .lwrp-list-link .lwrp-list-link-title-text,
.lwrp .lwrp-list-item .lwrp-list-no-posts-message{
}@media screen and (max-width: 480px) {
.lwrp.link-whisper-related-posts{
}
.lwrp .lwrp-title{
}.lwrp .lwrp-description{
}
.lwrp .lwrp-list-multi-container{
flex-direction: column;
}
.lwrp .lwrp-list-multi-container ul.lwrp-list{
margin-top: 0px;
margin-bottom: 0px;
padding-top: 0px;
padding-bottom: 0px;
}
.lwrp .lwrp-list-double,
.lwrp .lwrp-list-triple{
width: 100%;
}
.lwrp .lwrp-list-row-container{
justify-content: initial;
flex-direction: column;
}
.lwrp .lwrp-list-row-container .lwrp-list-item{
width: 100%;
}
.lwrp .lwrp-list-item:not(.lwrp-no-posts-message-item){
}
.lwrp .lwrp-list-item .lwrp-list-link .lwrp-list-link-title-text,
.lwrp .lwrp-list-item .lwrp-list-no-posts-message{
“`html
}
“`
Leave a Reply