Asset Management Vs. Wealth Management

Asset Management Vs. Wealth Management

Jordan Tarver  Editor

It’s safe to say that from time to time, everyone could use help managing their money. But while many people can get by with limited assistance, some may benefit from a hands-on approach.

People with high net worths—in the millions or approaching it—may want to work with an asset or wealth management firm. We’ll help you determine which type of professional help is right for you.

What Is Asset Management?

Asset management is a service with the goal of growing your money.

An asset manager focuses on your investments and may be referred to as an investment advisor, financial advisor, registered investment advisor (RIA), robo-advisor or even an investment broker.

Your asset manager might work alone or as part of a larger company that specializes in asset management. You don’t need to be wealthy to work with an asset manager—you only need to wish to start or optimize your investment portfolio.

An asset manager may or may not be a fiduciary—a financial professional required to keep their client’s best interests in mind—so be sure to check before signing up.

What Is Wealth Management?

A wealth manager is a financial advisor who specializes in working with clients who have high net worths. They also offer advice on a variety of financial aspects beyond your physical assets. As your wealth grows, your finances become more complex, which is where a wealth manager can provide their tailored expertise.

Wealth management might focus on saving for retirement and tax planning alongside insurance protection, estate planning, and trust management. These professionals may also offer more services than the typical financial advisor to cater to the complex needs of their clients.

A wealth manager is likely to be a fiduciary, but be sure to ask before signing on.

Should I Choose Asset or Wealth Management?

To continue reading, please go to the original article here:

https://www.forbes.com/advisor/investing/financial-advisor/asset-management-vs-wealth-management/