Have you ever wondered who takes care of a rich person’s finances? Who helps them make smart investments and grow their wealth even further? The answer lies with wealth managers. These are finance experts who specialize in handling the financial assets of high-net-worth individuals. Puai Wichman explains that wealth managers are responsible for creating an investment portfolio that aligns with their client’s financial goals, risk tolerance, and overall financial situation. They employ various investment strategies, from low-risk to high-risk investments, to diversify and maximize their client’s portfolios. Wealth managers work closely with their clients to understand their financial needs and provide customized solutions to help them achieve their ambitions. Partnering with a wealth manager could be the key to your financial success if you want to build wealth.
How to choose a wealth manager?
Choosing a wealth manager is a crucial decision that requires careful consideration. After all, you’re entrusting your financial future to someone, so you want to ensure they have the qualifications and expertise to provide sound guidance. It’s essential to seek out a professional wealth manager who is reputable and holds the necessary licenses and certifications. One essential consideration is the certifications they hold, such as Certified Business Management Analyst (CBMA), Certified Private Wealth Advisor (CPWA), or Certified Financial Planner (CFP). Puai Wichman says these certifications testify to a wealth manager’s expertise and experience, demonstrating a commitment to the highest professional standards. So, whether you’re looking to invest your money, protect your assets, or plan for retirement, finding a reputable wealth manager with the right certifications is key to achieving your financial objectives.
What are important factors to consider when hiring a wealth manager?
Reputation
One great way to understand a company’s reputation is to ask for reviews. Chances are, someone you know has had experience with a local financial advisor and can provide valuable insight. If you don’t know anyone who can offer a recommendation, you can also turn to resources like FINRA Brokercheck or the SEC’s Investment Advisor Public Disclosure database. These tools allow you to research firms and their advisors, viewing information like their employment history, certifications, and past disciplinary actions. By taking the time to research and consider your options, you can feel confident in your choice and make the most of your financial future.
Clients
Puai Wichman points out that it is essential to consider an advisor’s experience with clients in similar situations. Whether you are a young professional starting, entering retirement, or faced with a financial setback, finding an advisor who has successfully helped clients in identical circumstances can give you greater peace of mind. This history of guiding clients through similar struggles means an advisor has developed a deeper understanding of your unique challenges and has the expertise to craft solutions that can help you realize your financial objectives. Whatever your situation, working with an advisor with a successful track record of helping similar clients could make all the difference.
Investment Philosophy
Your advisor’s investment philosophy should align with your goals, risk tolerance, and preferences. After all, they will suggest strategies to drive your portfolio’s performance. Whether you’re a seasoned investor or new to the game, finding an advisor who shares your investment philosophy is key to achieving financial freedom and peace of mind.
Offerings
Before making a purchase decision, ensuring the offerings satisfy your needs is important. Confirm they offer the specific products or services you’re looking for. It can be tempting to assume that all businesses will have what you want, but this isn’t always true. It’s better to clarify up front so you’re not disappointed later. Additionally, it’s worth asking whether those products are proprietary or non-proprietary. Proprietary products are unique to the business, which means you may have fewer options if you need to make changes or upgrades. Non-proprietary products, on the other hand, are more versatile and may work with a wider range of solutions.
Fees
Puai Wichman reminds us that it’s important to understand the investment-related or specific advisory fees that may be charged as an investor. These fees may be tied to certain products or services, and it’s crucial to understand the connection to make an informed decision on your investment strategy. Whether you’re a seasoned investor or just getting started, taking the time to understand fees can make all the difference in maximizing your potential gains.
Puai Wichman is the founder and CEO of Ora Partners, an international trust provider and wealth management firm dedicated to helping families and individuals protect personal and corporate wealth.
