Best Investment Company: Should You Hire One?–PillarWM

Millionaires typically tend to generate a large part of their income through investments. Smart investment decisions can enhance your wealth substantially while protecting your assets and securing your future. Working with the best investment company can help you achieve that but the devil is in the details when trying to find the best, which is why we’ve published this free in-depth book that you can request to help investors who are looking to invest between $5 million and $500 Million.

STRATEGIES FOR FAMILIES WORTH $5 MILLION TO $500 MILLION

7 Secrets To High Net Worth Investment Management, Estate, Tax and Financial Planning

The insights you’ll discover from our published book will help you integrate a variety of wealth management tools with financial planning, providing guidance for your future security alongside complex financial strategies, so your human and financial capital will both flourish.

Clients frequently share with us how the knowledge gained from this book helped provide them tremendous clarity, shattering industry-pitched ideologies, while offering insight and direction in making such important financial decisions.

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They create meticulous investment plans to reflect your goals and investment profile. If you have more than 10 million dollars in liquid assets, you shouldn’t settle for just any investment company. This may lead you to wonder, how can you tell which investment company, or any financial advisor for that matter, is the best? Fortunately, you can benefit from our exclusive free guide for ultra-high net worth investors. It contains insights that will help you find the best financial advisor for your unique profile.

As a wealthy investor, you might want more exclusive services when it comes to your investment management. Private wealth management firms like Pillar Wealth Management have the expertise you’re looking for. We have helped numerous clients with a liquid net worth of 5 million to 500 million dollars in liquid assets develop and optimize their investment portfolios. Get in touch with our team today to learn how our strategies can help you earn high rewards with minimal risk.

If you have questions on your mind, such as, “Do I need an investment company?”“Is it worth paying an investment company?” or“What are the types of investment companies?” keep reading. We’ll address these and help you clarify any more concerns that you may have as an investor.

Table of Contents
What are Investment Companies? Which Types of Investment Companies Are There? Why You Should Work with the Best Investment Company Are Wealth Management Firms as Good as Investment Companies? To Conclude

What are Investment Companies?

In order to identify the best investment company, first, you need to understand what they are. These corporations or trusts carry out the process of investing assets in financial securities. The Securities and Exchange Commission (SEC) regulates them, ensuring that they comply with the Investment Company Act of 1940.

Investment companies are often known as fund companies since they can partner with third-party distributors to sell funds. A fund manager or investment manager creates a diversified portfolio after choosing opportunistic markets, industries, businesses, and other investment vehicles. Depending on their experience and expertise, they can implement strategies that improve your fund’s success.

They generate their income through trading shares, bonds, cash, property, numerous funds, and other assets. When you invest in shares or units of diverse firms through these corporations, you can yield high profits while improving your portfolio’s performance. Although, investment companies are not the only firms with this skill. Our wealth managers are experts in enhancing portfolio performance and mitigating risk. If you would like to know more, contact our team to schedule a chat.

Which Types of Investment Companies Are There?

If you’ve done any research on investment companies, you know there is more than one type. So, what are the types of investment companies?

Generally, they are classified into unit investment trusts and managed investment companies. Unit investment trusts are divided into stock and bond trusts.

Managed investment companies are typically independent firms or associated with an insurance company or brokerage firm. They are further categorized into open-end and closed-end funds. Let’s talk about each one in detail.

Unit Investment Trusts

Unlike managed investment companies, unit investment trusts have no board of directors or portfolio managers. They allow you to invest in a fixed set of securities without changing the composition of your portfolio allocation. The dividend is not reinvested into the fund, and any profit generated is transferred directly to the unitholders.

Stock trusts give you a dividend income and capital appreciation after a fixed period of time, which is marked by a termination date. Bond trusts, on the other hand, have a monthly fixed income.

Open-end Investment Company

Open-end funds are suitable for small investors since they start at low rates and offer higher profits. Also known as mutual funds, these companies can purchase their own shares close to their net asset value in order to raise capital. The shares are traded at a different net asset value each day, depending on market trends.

Closed-end Investment Company

Closed-end funds have a fixed number of shares that are listed with a stock exchange. These companies have flexible investment policies, offering greater diversification and higher returns. They typically trade close to the net asset value.

Knowing which investment company to select can be a tough decision, especially for investors who hold more than 10 million dollars worth of liquid assets. You can use our guide, The Ultimate Guide to Choosing the Best Financial Advisor for Families worth $5 Million to $500 Million, to help you make an informed decision.

Why You Should Work with the Best Investment Company

It is natural to be wary of trusting your finances to another person or company. You’ve spent years building that wealth, and you want to ensure that anyone dealing with your finances is nothing short of an expert. So, is it worth paying an investment company?

As a high-earner, you have numerous liquid and illiquid assets spread across multiple accounts. Investing them in the appropriate vehicles requires skill and knowledge that you might not have. A wrong investment decision could land you in financial ruin. You can read more about how wealthy families can protect themselves from financial mishaps in our book, The Art of Protecting Ultra-High Net Worth Portfolios and Estates – Strategies For Families Worth $25 Million To $500 Million.

The best investment company will help you create a balanced investment portfolio that will shield you from financial risks and losses. Whether your priority is securing your wealth or enhancing it, professionals in this field can optimize your portfolio to help you achieve the results that you want.

What Can the Best Investment Company Offer You?

If you’re undecided about seeking professional advice on your investments, you’ll be asking yourself, “Do I need an investment company?” We can help you answer this by talking about some of the services that the best investment company can offer you.

Income Generation

High-risk investors seek high rewards in a shorter period of time. Low-risk investors seek a steady income over a longer period of time. Whichever category you fall under, an investment company can invest in vehicles that earn you the rewards you want in your given time frame while keeping a check on your risk-return ratio.

Often, income generation is dependent on strategies that help improve your portfolio performance. Some of the strategies that we use at Pillar Wealth Management are highlighted in our guide, Improving Portfolio Performance: The Shifts Multi-Millionaires Must Make to Achieve Financial Security and Serenity.

Financial Security

If you work with a Registered Investment Advisor or any fiduciary advisor, you can be certain that your wealth is secure. They are legally bound to put your interests above their own. The best investment company will be upfront about whether or not their managers are fiduciaries and will not advise you on risky investments that don’t offer you any benefits. They can identify safe investment vehicles that stabilize your portfolio.

Lower Your Taxes

Investments come with taxes, and in many cases, you might find yourself using most of your profits to pay off your tax bill. In this respect, investment companies can guide you on which investment opportunities have favorable tax incomes.

Manage Your Investments

We feel the need to reiterate the fact that wealthy investors have multiple high-value assets, both liquid and non-liquid. Managing these on your own, optimizing them for maximum growth, and securing them from losses is a professional’s job. Our guide, The Ultimate Guide to Choosing the Best Financial Advisor for Families worth $5 Million to $500 Million, can help you find the right professional. An investment company can help you navigate your liquid investments and keep a balance that allows you to have a contingency plan for emergencies.

Steps to Formulate Your Investment Plan

Similar to a financial plan, your investment plan considers your goals and values to recommended the best course of action. When you’re wondering,“Is it worth paying an investment company?” try and remember that investment advisors and managers have trained extensively to create customizable investment plans. Here are the steps that they follow:

1. Identify your financial situation and goals

Investment companies analyze your financial history, i.e., your purchase habits, debts, mortgage payments, current savings, and future expenses, to gain a clearer picture of your financial situation. Next, they identify your short-term and long-term goals, i.e., marriage, retirement, estate purchases, future plans, etc. Using this information, they guide you on the best course of action.

2. Analyze your level of risk

Some investors have an aggressive investment profile that carries a high risk, while others want to maintain a steady income flow at a lower risk. Investment companies comprehend your risk appetite, temperament, and investment personality to develop a plan that supports your goals and values.

3. Create an investment portfolio

In this step, asset allocation comes in. Investment companies have an in-depth understanding of multiple financial markets and asset classes. They can recommend a diverse portfolio to help you mitigate risk.

Their knowledge of investment options is extensive, from stocks and bonds to real estate and alternative assets like antique pieces or paintings. Hence, they can help build your portfolio in a way that reflects your goals and investment personality.

4. Rebalance and review your portfolio

Investments require scrupulous monitoring, especially for volatile assets. The best investment company will manage your investments while considering any changes in the market conditions or your personal life. They can carry out monthly, quarterly, or bi-annual reviews to ensure your investments continue to align with your goals.

Investment management is one of the most crucial financial aspects for a wealthy investor. If you want to work with a Registered Investment Advisor (RIA), you can consider Pillar Wealth

Are Wealth Management Firms as Good as Investment Companies?

In your search for the best investment company, it may have crossed your mind to work with a wealth management firm. After all, they are trained exclusively to assist high net worth and ultra-high net worth investors with their finances.

Most wealth managers are fiduciaries who are specialized in providing services such as risk management, investment management, estate planning, financial planning, and tax management. This all-rounded approach is suitable for affluent clients who don’t want to work with numerous advisors or firms. Wealth managers are experts in using strategies to increase your cash flow and enhance your wealth. You can read about some of the strategies that we use in our guide, 5 Critical Shifts for Maximizing Portfolio Growth Strategies – For Families Worth $5 Million To $500 Million.

To Conclude

Hiring the best investment company can optimize and improve your portfolio performance, mitigate your risk, earn you short-term and long-term profits, and help you achieve your monetary objectives to secure your future. Since wealth management and investment management are interlinked services, you can choose to work with a private firm such as Pillar Wealth Management. Our wealth managers offer fee-only, fiduciary, wealth management services to clients with 5 million to 500 million dollars in investable assets. If you’re interested in learning how to get the most out of your investments, you can schedule your first free consultation with one of our managers.

Authors

Hutch Ashoo

Chris Snyder

To be 100% transparent, we published this page to help filter through the mass influx of prospects, who come to us through our website and referrals, to gain only a handful of the right types of new clients who wish to engage us.

We enjoy working with high net worth and ultra-high net worth investors and families who want what we call financial serenity – the feeling that comes when you know your finances and the lifestyle you desire have been secured for life, and that you don’t have to do any of the work to manage and maintain it because you hired a trusted advisor to take care of everything.

You see, our goal is to only accept 17 new clients this year. Clients who have from $5 million to $500 million in liquid investable assets to entrust us with on a 100% fee basis. No commissions and no products for sale.