Published By Ron Carson
It’s a confusing time for ultra-high-net-worth investors who have already accumulated their wealth and need to protect it.
Many investors from the Baby Boomer generation are reaching the age at which they want to start tapping into the money they have saved, whether to do things they’ve always wanted to do, improve their lifestyle or support charities that matter to them. Given the fully valued market and a 0% interest rate on the safest investments, they have less incentive than in past years to keep money in their retirement accounts. Many don’t want to keep their money in low-risk investments.
Nonetheless, ultra-high-net-worth investors don’t want to dissipate their assets by making ill-advised financial decisions. Having saved for many years, they want to make sure that any decisions they make will not only preserve their wealth but protect them from unfavorable tax consequences that might erode it.
President Trump’s recent proposal for a massive tax reform for corporations and individuals has introduced an element of uncertainty to their financial lives. At the moment, no one knows what tax climate will be in the coming year and beyond. Many observers are waiting to see if he will be able to build the consensus necessary to achieve his goal at all and, if he does, what the time frame will be.
As ultra-high-net-worth advisors, we are well-prepared to help our clients navigate the challenges that come with economic uncertainty. We work closely with our clients to navigate a fast-changing economic environment and provide up-to-the-moment guidance.
Often, we have found that the situations of our ultra-high-net-worth investors are very unique. The mass solutions offered by automated robo advisors don’t take into account the need for strategies tailored to their individual needs.
At our firm Management, we embrace a highly-customized approach you won’t find with a robo advisor. We have been investing heavily in a system which will allow us to offer clients the services they want on an a la carte basis. This customized system is ideal for people whose financial lives are very complex.
Our team is well aware that financial advisors cannot expect to charge clients a fee while making our best guess at what the market will do and providing little or no value. We have partnered with an alliance of like-minded firms to provide the type of research that gives our clients a strong advantage in making the right decisions.
We’re also aware we are operating in a meritocracy where technology makes it very easy for clients to keep track of how well we are guiding them. Through the large investments we are making in technology, we can demonstrate value to our clients 24/7—regardless of what the market does.
We take pride in this transparency. Even before the recent regulatory push for financial advisors to put their retirement clients’ best interests first, we embraced that approach. Being up-front about why we are making our recommendations and the fees we charge is what gives us our competitive edge.
In today’s economy, all ultra-high-net-worth investors must take ongoing steps to preserve their wealth but most don’t have time to keep track of fast moving market conditions. Doing so requires the right partner. We are excited to play that role for our clients, so they can enjoy their lives fully and without worry, no matter what happens in Washington or on Wall Street.
Watch the video below to learn about our Advance & Protect Investment Strategy.