Wealth Management Companies for High-Net-Worth Individuals

Quick Wealth Management Quiz

Test your knowledge with these quick questions:

• A higher “assets under management” number automatically signifies a superior level of wealth management services. (True or False?)
• A fee-only structure and a fee-based structure mean the same thing. (True or False?)
• Risk tolerance is the single most important factor in wealth management. (True or False?)

Understanding the differences in wealth management structures, evaluating financial advisor models, and considering multiple factors beyond risk tolerance are all essential for making informed financial decisions.

Hint: You’ll find the answers to the quiz questions throughout this article, as well as key insights for investors managing $10 million or more in investable assets.

If you are part of this group, making informed decisions about your wealth is critical. With substantial assets comes greater complexity, and the stakes involved in wealth management decisions can significantly impact your financial future, your family’s security, and your long-term goals.

Fortunately, there are numerous private wealth management firms across the United States, each offering services tailored to high-net-worth and ultra-high-net-worth individuals. Naturally, given the effort it takes to accumulate and protect wealth, choosing the right firm is essential for building a secure and sustainable financial future.

This article will address common questions such as:

• What are wealth management companies?
• When does it make sense to hire a wealth management firm?
• What should you know about how wealth managers are compensated?
• How do you evaluate which firms are the best fit for your needs?

Whether you are new to wealth management or already exploring options, the following sections will help you understand when and why partnering with a wealth management firm could be the right move.

The 6 Best Wealth Management Firms: What You Need to Know

1. Bank of America Private Bank

Bank of America expanded its wealth management offerings significantly after acquiring Merrill Lynch in 2009. Its Global Wealth and Investment Management (GWIM) division manages over $1 trillion in client assets.

The wealth management services include access to Merrill Lynch Advisors, lifestyle planning, tax consulting, investment management, trust and estate planning, strategic philanthropy, and private banking solutions—all designed to align with each client’s long-term financial goals.

2. Morgan Stanley

Founded on Wall Street in 1935, Morgan Stanley became one of the largest securities firms in the world after its merger with Dean Witter in 1997.

Morgan Stanley offers a range of options, from self-directed investing via E*TRADE to personalized planning through advisors. Its LifeView Personal Wealth Advisor service provides clients with detailed financial planning tailored to lifestyle goals. LifeView Plan services may have a fee for clients with assets exceeding $5 million.

3. UBS

UBS is domiciled in Switzerlandand employs more than 23,000 people worldwide. UBS is recognized for its presence in Global Wealth Management, Personal & Corporate Banking, Asset Management, and Investment Banking sectors.

The UBS Wealth Way approach focuses on helping clients build financial plans centered around three key principles: Liquidity, Longevity, and Legacy. UBS advisors collaborate with clients to design strategies that align with personal goals and long-term financial objectives.

4. Wells Fargo Private Bank

Based in San Francisco, Wells Fargo services clients across 35 countries and operates more than 8,000 branches. It is considered one of the Big Four banks in the United States.

Wells Fargo Advisors ranks as the third-largest brokerage firm in the U.S., managing approximately $1.9 trillion in assets as of 2021. Wells Fargo Private Bank offers personalized wealth planning services through its LifeSync program, aimed at aligning financial plans with individual life stages and goals.

5. Goldman Sachs Private Wealth Management

Goldman Sachs, founded in 1869 and headquartered in New York City, provides a range of financial services, including investment management, mutual funds, and private banking solutions for individuals, businesses, and organizations.

Goldman Sachs Private Wealth Management integrates investment planning with trust and estate planning to help clients build customized portfolios. Additional services include philanthropic planning, credit solutions, and specialized lending.

6. Vanguard Personal Advisor Services

The Vanguard Group, founded in 1975 and headquartered in Malvern, Pennsylvania, manages more than $8 trillion in assets. Vanguard is unique in that it is owned by its investors.

Vanguard Personal Advisor Services offers wealth management solutions to individuals with more than $5 million in investable assets. Clients receive support from a dedicated Certified Financial Planner (CFP), a team of financial experts, and a relationship manager. Advisory fees are typically 0.30% or lower, depending on portfolio size.

What Are Wealth Management Companies?

Wealth management companies are businesses that specialize in managing the financial affairs of high-net-worth and ultra-high-net-worth individuals, families, companies, and foundations. A wealth manager typically works with clients who have significant investable assets, helping them organize, grow, and protect their wealth.

High-net-worth individuals are generally defined as having between $1 million and $30 million in liquid investable assets, while ultra-high-net-worth individuals exceed $30 million. These assets typically exclude real estate and focus on liquid holdings such as cash, stocks, bonds, and investment portfolios.

Best Wealth Management Companies

The financial needs of individuals with high or ultra-high net worth differ significantly from those with smaller portfolios. Managing the sale of a $10 million property involves a different level of complexity than selling a $300,000 home, and the tax implications for a multimillion-dollar portfolio are far more significant. Philanthropy, business succession, and wealth transfers also require detailed, strategic planning when large assets are involved.

For example, Deloitte projects that between $20 trillion and $58 trillion of wealth in developed economies is expected to transition from baby boomers to the next generation over the coming decades, highlighting the growing importance of careful wealth management strategies.

Given the complexity, every financial decision must be made with consideration for the overall financial picture. Wealth management companies are uniquely positioned to assist with this integrated planning approach.

The best wealth management firms place the client at the center of their operations, offering highly personalized services that prioritize understanding each client’s goals, motivations, and lifestyle. Effective wealth management requires more than simply designing a financial plan; it requires ongoing customization, active monitoring, and regular adjustments to stay aligned with evolving objectives.

What Does a Wealth Advisor Do?

The key role at a wealth management firm is the financial advisor, commonly referred to as a wealth advisor or wealth manager. Wealth advisors serve as intermediaries, guiding clients through their financial journeys. Their services are designed to optimize individual financial situations and goals, from managing global assets to overseeing personal finances.

A skilled wealth advisor takes a comprehensive view of an individual’s financial landscape—assessing assets, liabilities, income, expenses, and future aspirations—to develop personalized strategies aligned with the client’s specific needs and objectives.

Depending on the client’s priorities, a wealth advisor may provide a range of services, including:

• Holistic Financial Planning: Developing comprehensive plans that cover budgeting, saving, investing, retirement planning, and other financial milestones.
• Portfolio Management and Investment Advisory: Offering investment guidance focused on maximizing returns while managing risks across diversified portfolios.
• Financial Risk Management and Assessment: Identifying potential financial risks and creating strategies to mitigate and manage those risks effectively.
• Financial Legal Advice: Assisting with legal aspects of wealth management, including estate planning and trust account setup.
• Insurance Planning and Advice: Recommending insurance solutions to safeguard assets, income, and overall financial security.
• Tax Consultation and Accounting: Supporting clients with tax-efficient strategies, planning, and compliance to optimize after-tax wealth.
• Trust, Legacy, and Estate Planning: Helping clients structure trusts, wills, and estate plans to preserve wealth and facilitate smooth generational transfers.
• Charitable Giving Strategies: Advising on philanthropic efforts to align giving with personal values while considering tax advantages.
• Retirement Planning: Crafting financial plans to ensure a secure and sustainable retirement that maintains the desired lifestyle.

Wealth advisors bring together diverse areas of expertise to support the complex needs of high-net-worth and ultra-high-net-worth individuals.

Choosing the Right Wealth Management Company: Key Factors to Consider

Selecting a wealth management company is an important decision that requires careful evaluation. Before committing to a firm, consider the following key factors to ensure your financial interests are well protected:

Track Record and Historical Performance

Review the firm’s historical performance to determine whether it has consistently delivered strong results across different market conditions. A solid track record in portfolio management and achieving client goals can indicate the firm’s reliability and ability to adapt to changing financial environments.

Fee Structure and Transparency

Examine the firm’s fee structure closely. Look for transparency and ensure that the compensation model aligns with your best interests. A clear, client-focused fee structure minimizes potential conflicts of interest and supports your long-term financial success.

Tools and Resources

Evaluate whether the firm has the tools, technology, and specialized expertise necessary to support your wealth management needs. Access to advanced financial planning software, detailed market research, and a team of specialists can significantly enhance the quality of advice you receive.

Experience and Expertise

Assess the firm’s depth of experience and the qualifications of its advisors. Consider factors such as professional certifications, industry affiliations, and years of practice. Wealth management companies with extensive expertise are better equipped to handle complex financial situations and develop customized strategies.

Commitment to Sustainability

Investigate the firm’s long-term stability and succession planning strategies. A sustainable wealth management firm should demonstrate a commitment to serving clients over decades, adapting to changing financial landscapes, and maintaining a strong reputation for client care.

Which wealth management companies are worth it?

Wealth management companies typically charge fees for the services they provide. These fees may be based on a fixed percentage of the client’s total assets under management, milestone achievements, or hourly consulting rates. Some wealth managers also earn commissions, depending on their compensation model.

Under a fee-only model, the advisor charges a transparent percentage of assets under management, with no commissions involved. The percentage fee may decrease as the size of the client’s assets increases.

In contrast, a fee-based model can include a combination of fees and commissions. In some cases, the advisor may be incentivized to recommend certain investment products that earn commissions, which could create potential conflicts of interest if not carefully managed.

Understanding the differences between these models is important when choosing a wealth management firm. Clients should seek arrangements that align the advisor’s compensation with the client’s financial best interests.

Since wealth management services involve a cost, a logical question arises: Which wealth management companies are worth it?

Ultimately, the value lies in the results achieved relative to the cost. For example, if your portfolio is worth $10 million, even small inefficiencies—such as an additional 5% in unnecessary taxes or 1% in extra fees—can result in significant financial losses. In dollar terms, 5% of $10 million is $500,000, while 1% is $100,000. A capable wealth manager who helps you minimize unnecessary taxes, control investment costs, and optimize your overall wealth strategy can more than justify their fees.

On the other hand, if you have a relatively simple financial situation—for instance, a $200,000 portfolio primarily invested in low-cost mutual funds—the need for comprehensive wealth management may be less critical. In such cases, working with a financial planner for specific needs like retirement planning, tax optimization, or estate planning may be more appropriate.

Wealth management services are particularly valuable for high-net-worth and ultra-high-net-worth individuals who require integrated planning across complex needs, such as business sales, investment of large windfalls, estate transitions, and retirement planning strategies.

How do you hire wealth management companies?

As a high-net-worth or ultra-high-net-worth individual, you may already be considering working with one of the best wealth management companies available. Whether you are new to wealth management or have interacted with advisors before, the question of how to select the right firm is an important one.

One effective way to start is by consulting trusted sources. Ask your family members, friends, and professional colleagues if they have experience working with a wealth manager. Personal referrals often offer valuable insights into the quality of services provided.

You can also research wealth management companies online by location. Review firm websites, blogs, and articles to understand their range of services and overall approach to wealth management. Mainstream media articles written by wealth managers can provide additional perspective on their philosophy and expertise.

Once you have compiled a shortlist of potential firms, consider scheduling introductory meetings. Thanks to video conferencing, you can meet with advisors conveniently from your home. During these meetings, ask questions about the advisor’s background, approach to managing high-net-worth portfolios, fee structures, and how they customize financial strategies for individual client goals.

It is especially important to inquire about how the advisor addresses investment costs, as minimizing unnecessary expenses can have a significant impact on long-term portfolio growth.

A personal meeting allows you to evaluate whether you can establish a strong working relationship built on trust and transparency. Trust is essential when entrusting someone with the responsibility of managing your hard-earned wealth.

Work with the Best Wealth Management Professionals

As you explore the subject of wealth management and assess whether it fits your financial goals, choosing the right wealth management company becomes essential. Among the key qualities that distinguish top wealth management firms are a client-focused approach, personalized service, and a transparent, fee-only structure.

Fee-only firms, which do not earn commissions, are structured to provide advice that aligns with the client’s best interests. Many of the leading wealth management companies also prioritize a high level of personalization, accepting a limited number of new clients each year to ensure they can devote the necessary time and attention to each relationship.

Unlike larger firms that may rely on standardized models or broadly categorize clients into general risk profiles, the best wealth management companies recognize that every individual is unique. Financial strategies should be carefully tailored to address each client’s specific circumstances, goals, and risk tolerance.

When evaluating wealth management firms, it is important to consider those that combine experience, independent fiduciary responsibility, and a commitment to delivering custom, research-based strategies for high-net-worth and ultra-high-net-worth individuals.

Selecting Wealth Management Firms

Suppose you have been investing for years and would now like to safeguard your portfolio while transferring the burden of active management to a professional. In such a case, hiring a wealth management firm could be a strategic solution.

It’s essential to work with a team that prioritizes your financial future and understands the complexities of managing substantial investments. Here are key factors to consider when choosing a wealth management firm:

Don’t Focus Solely on Price

While it may be tempting to compare firms based only on fees, true financial decisions should be based on value—not just price. Price is what you pay; value is what you receive.

Understand precisely how the advisor is compensated and what services they deliver for the fee charged. A lower price will not benefit you if the services lack quality and personalized attention.

You can start by talking to the firm’s existing clients. Ask about their satisfaction with communication, responsiveness, and the advisor’s willingness to adjust financial strategies as needs evolve.

Also, ask potential advisors about the profile of their ideal client. If their ideal client profile does not align with your goals, the relationship may not be the right fit. You should feel confident that your advisor cares as much about your portfolio as you do.

Many clients cite poor communication and a lack of proactive engagement as reasons for changing advisors. Choosing a firm that values the relationship and actively initiates contact will help ensure a stronger, lasting partnership.

Verify Credentials

It is crucial to ensure that the advisor who will be managing your finances is qualified and properly aligned with your needs. Avoid situations where the individual you initially meet is different from the one who ultimately handles your account.

Key aspects to verify include:

• Work History: Review the advisor’s career experience and roles held at previous firms.
• Certifications: Look for recognized designations such as Certified Financial Planner™ (CFP®), Chartered Financial Analyst® (CFA®), Certified Public Accountant (CPA), or Chartered Life Underwriter® (CLU®).
• Approach to Financial Planning: Ask about their methodology and how they tailor financial strategies to individual client circumstances.
• Professional Background: Research the advisor’s regulatory history for any past disciplinary actions or client complaints.
• Client References: If possible, speak to current or former clients to gather feedback about the advisor’s performance and trustworthiness.

Taking time to conduct proper due diligence will help you engage a qualified advisor who is genuinely committed to helping you achieve your financial objectives.

Investigate Payment Structure

Understanding how your advisor is compensated is critical because it directly influences the advice you receive. Here are common compensation models:

• Commissions: Advisors may earn commissions from products like mutual funds or insurance. Be mindful, as this can create conflicts of interest.
• Percentage of Assets Under Management (AUM): Most advisors charge 0.5% to 2% annually based on the size of your portfolio. This aligns the advisor’s interests with portfolio performance.
• Fixed Retainer Fee: A predictable, flat monthly or annual fee for comprehensive wealth management services.
• Hourly Rate: Useful for those seeking advice on specific matters without ongoing portfolio management.
• Per-Plan Fee: A one-time charge for a comprehensive financial plan, ideal for clients who want guidance without continuous management.

Whenever possible, seek advisors whose compensation structure aligns with your interests, providing unbiased advice rather than recommending products based on commissions.

Clarify all possible fees, including any service-related charges, transaction fees, or hidden costs, to ensure transparency.

Choosing the right wealth management firm involves finding a qualified advisor whose compensation model supports your goals and who demonstrates a commitment to your long-term financial success.

Alternatives to a Wealth Management Company

Wealth management companies often focus on high-net-worth individuals, with minimum asset requirements typically ranging from $1 million to $5 million. As a result, they may not be accessible to individuals with moderate or emerging wealth.

Fortunately, there are several effective alternatives for obtaining financial advice, building a legacy, and achieving long-term financial goals—without requiring a millionaire’s portfolio. Here are a few options to consider:

Financial Advisors

Many financial advisors and Certified Financial Planners™ (CFPs®) work with clients across various net worth levels. They can assist with creating personalized investment strategies, retirement plans, and wealth-building roadmaps.

When selecting an advisor, consider working with those who charge a flat hourly fee. This transparent pricing structure ensures you know exactly what each consultation will cost, helping you budget for professional advice without concerns about hidden fees or commission-driven conflicts of interest.

In addition to investment guidance, a skilled financial advisor will conduct a thorough review of your financial situation, helping you set realistic goals and craft a comprehensive plan to achieve them.

Estate Planning Attorneys

Estate planning is crucial at any wealth level. It ensures that your assets are distributed according to your wishes and helps minimize estate taxes and probate expenses.

Estate planning attorneys specialize in creating essential documents such as wills, trusts, powers of attorney, and healthcare directives. Many attorneys offer services at an hourly rate or for a flat project fee, making estate planning affordable for a wide range of individuals.

By investing in proper estate planning, you can protect your legacy, preserve wealth for future generations, and ensure your loved ones are cared for according to your intentions.

Robo-Advisors

For individuals new to investing or those looking for low-cost portfolio management, robo-advisors present an attractive solution.

Robo-advisors are online platforms that use algorithms to create and manage investment portfolios tailored to your goals and risk tolerance. They typically offer automated portfolio rebalancing, tax-loss harvesting, and even some degree of personalized advice.

Many major financial institutions offer robo-advisor services, with minimum investments as low as $5. Over time, a professionally managed, low-cost portfolio can help capture consistent returns and grow your wealth efficiently.

Conclusion

While traditional private wealth management firms remain a preferred choice for many, alternative options such as financial advisors, estate planning attorneys, and robo-advisors offer valuable support for individuals at various stages of building wealth. Whatever your situation, taking proactive steps today can help you achieve greater financial clarity and security tomorrow.

If you’re ready to take the next step toward securing your financial future, explore the options available through PillarWM Finder: