Wealth management (or financial advice) isn’t just for the wealthy, and almost everybody can benefit from professional guidance. Helping you navigate uncertainty and set yourself and your loved ones up for the future, wealth management can provide you with peace of mind.
But what does the wealth management process look like, and how can it improve your finances? In this article, we’ll break down what wealth management is, explore how it’s carried out, and tell you where you can get impartial, expert wealth management advice.
What is wealth management?
In a nutshell, wealth management is a financial service that helps you manage your money. With advice based on your circumstances and goals, wealth management can include:
- Tax mitigation
- Estate planning
- Saving for retirement
- Insurance
- Investments
The goal of wealth management is to help you make the most of your money both now and in the future.
The five steps of wealth management
- Evaluating your financial situation.
Before committing to a strategy, a wealth manager or financial adviser should take stock of your current financial situation. This will include an overview of cash you have coming in and going out, any assets you own, and any savings, investments, or pension schemes you’re enrolled in.
- Identifying financial objectives
After establishing your financial situation, it’s time to look to the future.
Financial objectives can be something relatively short-term like a son or daughter’s wedding, maybe it’s a holiday you want to take, or it could be something more long term like the kind of lifestyle you want in retirement.
Everyone’s goals are different and your wealth manager will help you identify yours.
- Creating a plan to meet these objectives
Next, your wealth manager will establish what needs to be done to reach your financial goals. The kind of plan provided will depend on your financial situation and appetite for risk and you’ll learn what’s realistic and what isn’t.
- Incorporating different strategies to flesh out the plan
Financial strategies can include anything from investments to tax-efficient savings, pension enrolment, and more. A diversified approach is the best way to achieve your financial objectives and your adviser should understand what’s required to get you there.
- Carry out regular reviews based on the results
After everything is agreed and you know you can trust your wealth manager, your financial plans can be put into motion.
As part of their service, your wealth manager should conduct regular reviews into your strategy. This ensures your money performs as you want it to despite economic and political changes. Changes can also be made to the strategy if needs be.
Conclusion
Wealth management doesn’t have to be complicated and a good wealth manager will make the process simple and your goals achievable.
Helping you along the way with regular reviews and only ever committing to strategies you’re comfortable with, wealth management can help you achieve peace of mind both now and in the future.
At Cedar House Financial, we have years of expertise in wealth management and can help you and your family in many ways. If you’d like to discuss wealth management with one of our advisers, don’t hesitate to contact us.