The Three Types of Wealth Management Firms
From the look of things you might think that all the wealth management firms are similar but that is not the case. There are three different types of wealth management firms today namely product vendors, customized traders and lastly planners who are also known as coaches. All these firms have got different ways in which they handle their activities and clients and when you are looking for a wealth management firm then you have to conduct a research on all of them to determine which one will be the best. The best will be the one whose terms and conditions suits you best. The following is a description of each one of the three.
SurePath Wealth Management retirement plans firm that always pride themselves as providers of access to good products. This is where they focus on and they will provide you as a client with access to products with an exemplary performance. The will go for the best performing investments and they will have a simple message that will aid with marketing the product. When they have a meeting with the client they only focus on two areas namely the performance of the portfolio and product section. One thing that they are also known for is that they do not focus so much on tax management and customization.
Customized traders are firms that take a different approach in portfolio management one trade at a time. Their pride is always based on the fact that they are able to explain each individual trade. They consult their clients on key portfolio decisions about trading even if it is with the discretionary account. They do not focus on the product but they believe that the security of the product will definitely improve when they are in control. Their belief is that they are there to help their client to make better trading decisions and this is the reason as to why they always develop a very close relationship with their clients. Get more info here!
Planners or Coaches are firms those that view themselves as those who are there to help their clients in making better financial decisions and helping them maximize their chances of reaching their goals. They help with delegating the stock section, rebalancing to specialists and asset allocation because these are as are not their point of strength. They usually go for investments that are tax efficient and cost effective. This is due to the fact that they are persuaded about the true value of active management and they would not like to underperform at all. See more details at this website http://en.wikipedia.org/wiki/Investment_advisory about financial planning.