The term “financial advisory” describes a diverse set of financial services provided to investors by professionals in suits and ties. More than that, it’s an industry that has both received a lot of plaudits for helping some and a lot of criticism for causing a loss for others. With so many mixed messages, it can be difficult to decide who the Top Financial Management Companies are and whether you should work with them. For people with $10 million+, our guide provides arms you with enough knowledge to quickly identify the best financial advisors from the rest.
Working with financial managers shouldn’t have to be a drag. You shouldn’t have to keep chastising your advisor to make sure that they’re monitoring your investments or preventing losses. You didn’t hand over your wealth to be even more worried about it now. You deserve to live without stressing about your finances every day. Hence, you should consider Pillar Wealth Management as they have many decades of experience. Schedule your chat now to learn how our financial management services can give you peace.
Strategies For Families Worth $25 Million To $500 Million
The Art of Protecting Ultra-High Net Worth Portfolios and Estates
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.
If you want to learn more about financial management companies, this article will discuss the following topics:
- What do financial management companies do?
- Why high net worth investors should seek financial management companies.
- Who needs financial management companies?
- Traits of the Top Financial Management Companies.
Let’s start by looking at what financial management companies do.
Table of Contents
What Do Financial Management Companies Do?
While on the search for suitable avenues to protect and increase your wealth, you may have been advised to avail financial management companies’ services. So, you might be asking yourself what exactly financial management companies are and what they do.
Financial management refers to a set of services provided by certain qualified entities focused on planning, monitoring, organizing, optimizing, and controlling all aspects of your wealth to help you achieve your objectives. Not every financial advisor can offer financial management services.
Note that financial management is usually a service provided to organizations; however, certain individuals with wealth over a specific size can avail financial management from wealth managers.
Yes, wealth managers are probably the only type of financial advisor that can provide financial management services holistically. They will manage the whole process from scratch and help you not only stand comfortably on your own two feet but also live with financial serenity.
Ultra-high net worth families have found lots of success from hiring the Top Financial Management Companies in the past. By working with firms that have experience with similar clients, ultra-wealthy families can find peace regarding their finances and wealth. For a more personalized guide to wealth management and how it can help you read our hardcover book, The Art Of Protecting Ultra-High Net Worth Portfolios And Estates, Strategies For Families worth $25 Million to $500 Million.
Can Advisors Other Than Wealth Managers Offer Financial Management?
We won’t say it’s a guarantee that no other type of financial advisor will offer financial management services. It’s possible. However, it’s also very unlikely.
The reason other types of financial advisors are unable to offer comprehensive financial management is that they usually choose to build their expertise in a specific niche. It’s rare to find financial advisors who are “jack of all trades.” The arena of financial management is vast, and it’s extremely difficult to be able to know everything. Actually, it’s almost impossible. That’s why most advisors will gain expertise in one field and try to become pros at that.
This is even true for wealth managers who do offer the full financial management package. They won’t be the onlyoneshandling all your financial management. Not only would that be very difficult, but it would also be inefficient and ineffective. Instead, they usually specialize in several of the core services, such as financial planning, investment management, etc.
Wealth managers will then, ideally, work with the top names in the industry for ancillary services like tax management.
Why High Net Worth Investors Should Seek Financial Management Companies?
Taking a deep dive into the various financial management companies’ services will help you decide whether they provide enough value to you. Of course, the quality of services can differ between different advisors.
For example, fiduciary advisors are much more likely to provide a higher standard of service than non-fiduciary advisors. This is because fiduciary managers follow a fiduciary standard of care, while most non-fiduciaries follow a suitability standard of care.
Fiduciary managers are licensed and registered by an independent body, such as the SEC. In order to become a fiduciary, wealth managers need to display a high level of skill, knowledge, and expertise in their field. They should also have extensive experience and demonstrate that they can provide top-level quality in their services. Fiduciaries must also uphold the highest moral values. They are not allowed to entertain any conflicts of interest and must make their processes completely clear to their clients. Your objectives and goals should be your advisor’s top priority.
Though non-fiduciary managers also strive to offer high-quality services, they can’t provide any guarantees. They also may not be able to do so for a variety of reasons. Perhaps their lack of experience holds them back. Or maybe their employer pressures them to recommend products that earn higher commissions. Whatever the case may be, a non-fiduciary advisor may be a risk you don’t want to take.If you need more convincing and explanation, go through our guide for individualsworth ten million+.
That said, here are some of the reasons why high net worth investors should seek financial management companies.
Retirement is one of the most critical and challenging stages of your life. Some would say that it can be more significant than starting your university or first job. This is because there is a lot of uncertainty surrounding retirement.
“How will I generate enough income to sustain the lifestyle I want?”
“How will I make sure that I can protect my wealth?”
Both of these are very common and valid questions for retiring investors. They’re genuine concerns that you need to plan for. Not planning for retirement could mean that you enter this important phase without the security you would otherwise have. Think of the stress this will put you under.
The Top Financial Management Companies can help you plan ahead and create a strategy that allows you to experience a smooth and easy retirement. At Pillar Wealth Management, our experts will usetheir extensive experience and knowledge to devise a plan that sustainably invests your money to protect your wealth and provide you with enough income to live as you want. To start planning for a stress-free retirement, book a discussion with us right now.
This is not just your run of the mill investment management. The Top Financial Management Companies provide a certain kind of investment management that goes beyond just chasing returns.
For example, we follow the guidelines listed in our portfolio performance guide to ensure that we can provide our clients with an investment plan that balances risks and returns efficiently. The way we invest is always centered around your goals.
Once you define what you want your investments to achieve for you (lifestyle, legacy, pursuits, etc.), we make it happen. At the same time, we minimize your risks to make sure that you can experience complete financial serenity.
Estate planning is another, often overlooked, service provided by wealth managers. Though we all realize how important inheritance planning is, most of us seem to keep delaying it for some reason. Though it’s a grim topic, you’d feel far better in the knowledge that your heirs and beneficiaries will be able to get their inheritance without any hiccups.
There are lots of taxes on inheritance that can erode away the value of what your heirs receive. Without proper planning, there can also be delays in the handover process. A financial management company could help you plan your inheritance and make sure that everything is ready for a smooth transition.
High and ultra-high net worth personnel face a continuous problem with taxes throughout their lives. Being in the highest tax brackets, affluent investors face the risk of unnecessary taxes sapping away at their wealth.
At Pillar Wealth Management, our focus isn’t just to help you earn returns on your investments. Rather, we actively work to legally minimize your taxes as much as possible. This can be even more powerful than earning a few percentages on your returns.
There are other services provided by financial managers too, including asset management and insurance planning. For a complete overview of our services, you can schedule a free discussion with us.
Who needs Financial Management Companies?
Figuring out who needs financial management companies involves determining the value they offer to your life. You need to see whether financial management companies’ costs are worth the services they provide.
Furthermore, typically, the only people who require the extensive services of financial managers are affluent investors. Though there’s no one way to figure out who needs financial management companies, here are a few pointers that can help you decide. Go for a financial manager if:
- You are a high or ultra-high net-worth person with at least $1 million to invest.
- You are unable to efficiently manage your wealth and live the life you want. In other words, managing your finances seems difficult or takes up too much of your time.
- You’re going through a life-defining phase, such as retirement, business exit, etc.
- You want to protect and grow your wealth.
- You want to live with financial serenity.
However, before you begin working with the Top Financial Management Companies, we recommend that you learn the 5 critical shifts in philosophy you need to make as a smart investor.
Traits of the Top Financial Management Companies
In order to recognize the Top Financial Management Companies, you need to recognize the traits that set them apart. We’ve already mentioned the first in this article, i.e., fiduciary duty. There’s no harm in going for a non-fiduciary advisor, but the Top Financial Management Companies will usually be fiduciaries.
Here are some more distinctivequalities of a great financial manager.
When managing finances and wealth, experience is paramount. Seasoned advisors have lived and learned from beginner mistakes. They won’t take any silly risks with your investments or try something extremely ‘gung-ho’. Their experience will allow them to steadily steer you in the right direction.
High Net-Worth and Ultra-High Net-Worth Clientele
Just experience isn’t enough. The Top Financial Management Companieswill have a history of working with clients of your caliber. This way, you can be sure that they know what they’re doing and understand why your needs are different from the average investor.
The Best Tools
Your advisor’s ability to eliminate emotion from their investment decisions is very significant. Relying on your gut or instincts to make decisions will only lead to long term failure. They need to use the right tools and components to monitor and modify your portfolio.
At Pillar Wealth Management, weusea whole host of tools to do this. Two such tools are theEfficient Frontier and the 1000 Scenario Portfolio Stress Test. We use them to pit your portfolio against potential future events and see how it performs.
Working with the best financial companies means putting your wealth into the hands of seasoned individuals who know exactly how to help you achieve your goals. We can summarize the article with the following points:
– Wealth managers are usually the only type of financial advisor that offers complete financial management.
– Financial management companies provide retirement planning, investment management, estate planning, asset management, and a whole range of other services.
– High and ultra-high net worth clients typically need the help of a financial advisor to get the most out of their wealth.
– Experience and expertise are what set the Top Financial Management Companies
Pillar Wealth Management has become a hallmark of excellence when it comes to providing top-class, personalized financial management to people with $5 million to $500 million. If you’re an affluent investor looking to turn your life around and live peacefully, schedule a chat with us now.
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