Human Side of Wealth Management

The Human Side of Wealth Management

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The financial services industry has classified “advice” as financial planning, not investment advice (the selection of investments), which is just one part of wealth management. If Robo-advisors have done nothing else, they have revealed that much of the investment advice in selecting investments can be automated. With technology doing much of the work as it relates to the investment selection part of the equation, investors need to think more broadly about their financial planning.

Financial planning includes estate planning, tax planning, and philanthropy need to manage through wealth management services provided by a financial advisor. Wealth management isn’t exclusive to only high net worth individuals but is best suited for investors with complex situations and financial goals. This is where a financial advisor can help make an impact for their clients.

The human side of wealth management focuses on the relationship the client has with the advisor and how much time and commitment the advisor can provide. Managing the relationship is not customer service, but a crucial element involving other professionals to help preserve the client’s wealth and ensure the desired outcome.

At times wealth management encompasses helping the client work through psychological decision making, whether it be to correct past investing mistakes, prevent new ones, or plan their legacy. “Money” tends to be emotional and requires human interaction to grow appropriately. An advisor’s advanced skills determine how to best to manage the client’s wealth through human attributes outside of technology:

  • Maintaining a relationship with the client and interacting with the public
  • Applying knowledge and developing creative strategies to solve problems and preserve wealth
  • Seeking additional advice or training and developing an additional team of experts that includes attorneys, accountants, and others to benefit the client and protect their wealth.

If you would like to find out more about wealth management services to determine if it is right for you, please contact our office for a consultation.

© 2024 Trajan® Wealth LLC. Nothing in this blog is intended as investment advice, nor is it an offer to buy or sell any security. Please consult your financial advisor for questions about your personal financial situation. All investments involve risk, including the potential for loss. Trajan Wealth clients and employees may have a position in any of the securities mentioned. Portfolio holdings and other data are subject to change at any time and without notice. Additionally, the above links provided as a convenience and for informational purposes only; they do not constitute an endorsement or an approval by Trajan Wealth, L.L.C., of any of the products, services or opinions of the corporation or organization or individual. Trajan Wealth, L.L.C., bears no responsibility for the accuracy, legality or content of the external site or for that of subsequent links. These materials are for informational and educational purposes and are not designed, nor intended, to apply to any person’s individual circumstances. It does not take into account the specific investment objectives, tax and financial condition, or particular needs of any specific person. Please consult with your legal and/or tax advisor before making any tax-related decisions.

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