Wealth, like lifestyle, is an intimate concept which each of us defines for ourselves. To measure it, personal and family values, circumstances and emotions will come into play, on top of hard-core, practical issues like the quality of the assets accumulated and the returns on investments.
Wealth, in the broadest possible sense, is about the fulfilment of financial and personal aspirations.
This makes private wealth management a very personal matter. To achieve personal objectives it is important to be able to control and manage a personal wealth management plan and make sure that the investment strategy is successfully aligned with personal expectations.
So what should Private Wealth Management look like?
Private wealth management is personal
Outlining a wealth management strategy is a relatively simple process, similar to reading a map – determine the direction we wish to go (e.g. regular income or capital growth), select the destinations we wish to reach (desired outcomes such as how much, why and by when) and the milestones along the way which will measure and manage progress (e.g. annual investment and return). Financial freedom looks different for each and everyone of us and setting up a private wealth management plan involves looking at what you want your future to look like and being realistic in terms of how much of that future is plausible with regards to your current financial situation. Honesty and self-awareness is crucial to the success of your wealth management strategy.
Private wealth management is understandable & transparent
Understanding your investment strategy and investment portfolio means that you are able to navigate the investment world with more clarity. Knowing and understanding what your funds are invested in is essential. Understanding the fees associated with those investments is equally vital. You should also have complete visibility of your investments and income through the Internet at all times to allow you to check on your portfolio values to make sure your investment is on track.
Private wealth management needs to be above average
Private wealth management needs to deliver above average returns at acceptable costs. It needs to provide access to opportunities and performance that generic and index funds can’t.
Private wealth management needs to be long term
Your wealth plan needs to be long term to ensure you benefit from compounding returns, which Albert Einstein is credited with naming “the most powerful force in the universe”. Global investment icons like Warren Buffett have compounded above average investment returns over decades and produced staggering results. Following a long term plan based on this timeless wisdom will profoundly impact your ability to generate wealth.
Implementing and managing the plan to achieve specific income and capital growth needed, sustainably and on time, is easier said than done. This makes it prudent to engage the services of a wealth management specialist from the start, to be sure the right questions are asked, appropriate investment options are identified and the investment plan is successfully implemented. Contact us here, and see how our wealth managers can help you.