Would you like to learn more about wealth management? This is the point of contention.
Have you ever had difficulty managing your wealth and family, Worried that no matter how much money you have, you won’t be able to manage it? Perhaps you and your family require money management or wealth management services.
What is the definition of wealth management? What types of money management options are available to you? What is your ideal work schedule and financial management strategy? Take a look at the following explanation.
Table of Contents
What is Wealth Management?
If you want to know what wealth management is, here’s what wealth management means according to some experts.
Yarman explained that wealth management is a planning of investment activities based on financial goals and the criteria of each individual.This investment planning includes asset development, debt management, planning tax payments, risk management, and also the allocation of assets based on these things.
According to Tandelilin, the notion of wealth management is a broad and comprehensive wealth management service. Types of services such as:
- Investment management and strategy
- Asset management
- Portfolio management
- Tax consultation
Based on Purwati’s explanation, the notion of wealth management is financial management for the family that can be obtained by everyone by taking into account the opportunities and risks.
To summarize, wealth management is a wealth management service provided by financial businesses to individuals and families that includes investment management, asset management, tax advising, insurance, and other services.
The Beginnings of Wealth Management
In the early 1990s, the term wealth management or wealth management became popular. However, the practice had been around for a long time. Since the 17th and 18th centuries, wealth management has been practiced in London.
With the growth of international finance, there is a demand for private banking or personal banking services to handle a variety of assets and wealth for specific individuals.
Private wealth management is increasingly gaining a place in people’s hearts in the digital era, as it is now. Because these services can assist folks who are having trouble managing their finances. As a result, a variety of wealth management services are available to manage client assets.
Types of Wealth Management
In general, the type of wealth management is divided into 3 main pillars, namely protection, growth, and distribution of wealth.
Wealth Protection and Preservation
This type of wealth management focuses on protecting the wealth and assets of a family. This protection is provided to avoid a reduction in value, so that wealth and assets are maintained in their condition, both in quality and quantity.
Wealth Growth and Accumulation
Wealth Growth and Accumulation is a type of wealth management aimed at growing the value of existing wealth and assets. In order to continue to grow, wealth and assets need to be processed in order to grow bigger, so they must be managed properly.
Wealth Distribution and Transition The
last type of wealth management is wealth distribution and transition, namely the process of wealth management by distributing or transferring assets to other parties. If you have problems in the process of distributing wealth, you can consult a wealth manager or other party you trust.
Alternatives to Wealth Management Strategies
Following our discussion of the many types of wealth management, we will now explore some tactics for those of you who wish to participate in this program, here is a list of them.
Not many people know that insurance is a wealth management product. Insurance is a wealth management product because it contains elements of protection for the wealth and assets of its users. All kinds of wealth and assets can be insured, including the health of the body and life.If you want to protect the things that are of value to you, insurance is the best wealth management strategy to choose.
Trust fund is a strategy to protect wealth by entrusting it to someone to keep it useful. A trust fund is similar to a will, however, the person who is trusted by the trust fund is obliged to manage and maintain the value of the money so that it does not change even though many years have passed.In trust funds, funds are usually managed for social benefits such as orphanages, foundation construction, and disaster grants. Every certain time, the trust fund manager is required to report the management of the fund to the owner or heir.
Hedge fund is a wealth management strategy by depositing funds with investment managers to be combined with other funds and invested. This strategy can be done by those of you who have lots of funds, but are still not big enough to invest in giant companies.In a hedge fund, the investment manager will collect the funds of the investors into one, after which it is invested in the company according to the agreement of the investors.
The next strategy for wealth management is investment management, or investment management. In investment management, you can entrust whatever funds you have to a trusted investment manager. Next, the manager will manage your funds to increase their value.
The next strategy is a bit risky, but most of the giant companies that exist today are built using business venture funds. This wealth management strategy is a strategy by entrusting a number of funds to new businesses.Because the business is still new or not even established, the return on investment generally takes time. However, once the business is developed, the return on investment will be greater than the investment in general.
The last strategy for wealth management is estate management, also known as inheritance management. If you have many family members and are worried about miscommunication during the distribution of wealth, you can choose a wealth manager to manage it.
How to Register Wealth Management
Interested in using a wealth management service? You can try the 5 steps to register below:
Preparing Personal Data and Documents Required
The method is quite easy. You need to prepare personal data and documents needed to meet the administrative requirements requested by the bank when registering.
Visiting the Nearest Bank
Please visit the nearest bank branch office. If you are confused about which bank to provide wealth management services, you can visit the bank branch office.
Filling out the Registration Form
Customer service will provide a registration form that you can fill out. Make sure to fill in the data correctly.
Data Verification from the Bank
The bank will verify the data contained in the form and also the required documents.
Start Managing Wealth with Experts
If your data has been verified, you can start planning financial management in terms of protection, growth, and transition for old age.
In order to be more useful and develop in value, wealth must be managed properly. If you have difficulty doing so, you can use trusted wealth management services whenever and wherever you are.