How is wealth management different from money management?
Money managers are typically unaware of anyone’s individual financial planning goals and objectives. Money management usually involves managing a portfolio to a specific investment style with a suitable benchmark for whatever style the money manager specializes in. Most investors would allocate only a portion of their wealth to any single money manager and typically retain the responsibility for decisions about overall asset allocation and manager selection.
By contrast, wealth management is the process of coordinating a client’s financial planning goals and objectives with a portfolio strategy best suited to achieve them. Clients typically allocate the majority of their assets to a wealth manager and delegate the responsibility for ongoing asset allocation and manager selection decisions to the wealth manager. In addition, wealth managers typically advise on all aspects of the client’s financial plan.
What is personal financial planning?
Personal financial planning is a process of making decisions about all areas of your financial life. The process includes gathering information about your assets, liabilities, spending, and income; discussing and identifying goals and objectives; modeling and presenting financial solutions; then implementing the plan using either tax and legal strategies or investment and risk management recommendations.
The financial planning process is an art and a science where a good planner can literally lead a client through a process of self-discovery about how they feel about money and what they want to accomplish with their lives. We believe that excellent financial planning is just as much about people and families as it is about computer modeling and the latest tax strategies.
Why should I use a financial planner?
A financial planner is a trusted counselor who can help guide you through making good decisions in what can be a complicated financial world. Excellent planners can help you to be more objective and less emotional in your decision-making process. They can also help educate you about tax and legal issues that can be difficult to understand. A comprehensive financial plan involves expertise in a variety of disciplines that most individuals probably don’t have the time to properly research.
What can I expect from my relationship with Pinnacle Advisory Group?
First, you can expect us to get to know you well. We strive to learn as much as possible about our clients because it helps us to guide them toward better financial decisions.
Second, you can expect attention to detail, prompt response to letters, calls and emails, clear reasoning for our recommendations, diligent execution of the tasks at hand, and confidentiality in all matters.
Finally, you can expect absolute honesty and integrity in every meeting, every observation, and every recommendation we make. You can and should expect us to adhere to the highest ethical and professional standards in every aspect of our relationship.
Who is your target client profile?
Our clients have large, complex financial situations that require comprehensive, integrated, and objective advice. We serve as our clients’ financial advocate, helping them to find the most suitable financial plan and service offerings for their needs. We also provide direction and coordination for our clients’ other advisors so that our clients are relieved of day-to-day concerns about the management of their financial affairs. To ensure that we can continue to provide the level of service that our clients depend on, Pinnacle Advisory Group requires that new clients have a minimum portfolio of liquid assets of at least $750,000. We may consider lower minimums in the following cases:
- The potential client is the child of an existing Pinnacle client.
- The potential client is expecting a large portfolio contribution in the near future.
- The potential client is adding to the portfolio in significant amounts each year.
Our best clients value and implement our feedback and advice. They take advantage of the on-going financial- and investment-related education we offer. While it is not a requirement, we know that the best Pinnacle clients are individuals looking to establish a close, long-lasting relationship with their financial advisor.
