Is a Wealth Manager a Financial Manager?

Wealth management is exactly what it sounds like, managing wealth or managing money and funds. The term wealth makes it sound like so much more but it’s really just the management of comprehensive financial advice with a wealth manager. Wealth managers handle complex financial issues and coordinate experts on behalf of their clients. So is a wealth manager the same as a financial manager?

Even though a financial manager may be the same, most financial managers are called “financial planners” and there are “wealth managers” but are they interchangeable?

The main difference between wealth and finance is that wealth management needs existing wealth as a platform or base upon further capital or where investment funds can be accumulated and created where is financial planning deals with day-to-day planning of your cash and assets such as budgeting. Most wealth management deals with the preservation and the accumulation of more wealth.

Difference between a financial advisor and a financial planner?

A financial manager or planner gives investment management about managing money or financial advice is about managing people with money. However, many of these are interchangeable and can be used anonymously within wealth management and accumulation.

Wealth manager versus a financial advisor

Planning for the future may be difficult to do on your own, especially if your field of expertise is not in finances. You may be very proficient in one area but this may not be yet so who do you count on to be equitable and integral in helping you manage finances and wealth? Wealth managers are just one kind of financial advisor who can work with specific clients, typically those with a high net worth. However, you don’t necessarily need to be wealthy yet to work with a wealth manager.

A financial advisor is a finance expert who helps clients with a wide range of different financial services. They may provide financial planning, investment management, and assistance in budgeting but the term financial advisor is pretty broad and may not refer to specific types of finances. A CPA may also be a financial planner whereas a chartered life underwriter or CLU is an expert in the subject of life insurance and estate planning. A certified financial planner or CFP focuses on building clients’ financial plans for future goals.

The wealth manager is a subset of financial advisors. They typically serve high net worth and ultrahigh net worth individuals and can manage large amounts of wealth for their clients. At Chrome Advisors, we work closely with our clients to offer a variety of services into one comprehensive package. This may include investment management, tax services, retirement planning, legal planning, philanthropic planning, and estate planning among other things.

If you are currently faced with a high net worth and need some help managing your financial goals, give us a call. Having a financial advisor that understands legalities, tax rules, and how your money can work for you rather than the other way around can be the key to future financial success and security.

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