Get acquainted with Wealth Management

financialtreat – will explain about getting acquainted with Wealth Management that you will get in the following article. Let’s look at this article carefully!

Have you ever had trouble managing your wealth and family? Worried about not being able to manage any money you have? Maybe you and your family need wealth management services, or wealth management.

What is wealth management? What types of wealth management can you try? And, What are the best working patterns and wealth management strategies for you? Check out the explanation as follows.

What is Wealth Management?

If you want to know what wealth management is, here is the understanding of wealth management according to some experts.

Yarman (2008)

Yarman explained that wealth management is the planning of investment activities based on the financial goals and criteria of each individual. This investment planning includes asset development, debt management, planning tax payments, risk management, and also allocating wealth base on these things.

Tandelilin (2010)

According to Tandelilin, 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
  • Insurance

Purwati (2009)

Base on Purwati’s explanation, the definition of wealth management is financial management for the family that can be obtaine by everyone by taking into account opportunities and risks.

So if conclude, the meaning of wealth management is a wealth management service from financial companies for individuals and families that offer various types of services, such as investment management, asset management, tax consulting, insurance, and so on.

The Beginning of Wealth Management

The term wealth management began to be widely use in the early 2000s. However, in fact, his presence was already more there long before that year. For example, in big cities such as London, Paris, and Amsterdam, holistic financial management activities have been known since the 17th and 18th centuries. This development certainly cannot be separate from the financial center that occurre at that time.

In addition, private bankers also provide various financial services for every family member who wants to trade internationally. Some types of financial services that they do are deposit storage, providing loans and also providing foreign currency.

This activity is carrie out only for the sake of providing comprehensive financial services to each member of the kingdom. Once famous in London, the service move to the Unite States in the 19th and 20th centuries with Wall Street landmarks there.

In the digital era like now, private wealth management increasingly has a place in the hearts of the people. Because these services can help people who have difficulty managing their wealth. Thus, there are various wealth management services to be able to manage client assets.

Wealth Management Service Providers

Generally, this service is offere by the bank. Some other parties that also provide this service are Asset management, insurance, private banking, brokerage, investment banking, independent financial advisor, and even accounting firms.

Each bank has its own services, such as ABC Amro Indonesia with Van Gogh Preferre Banking which is specifically among the people with a lot of money with a minimum deposit balance of Rp 500 million. Then Bank Syariah Mandiri has BSM Priority with a minimum balance of Rp 250 million.

Even if there are institutions that claim to have this service, but only focus on offering insurance products or deposit products only, or only offering mutual fund products, then we can make sure they are not compatible wealth management service providers.

Financial or banking institutions that do have a comprehensive wealth management program are those in which they have complete services, such as investments in financial or non-financial products.

They will also provide advice regarding real investment types such as prospective businesses, houses, gold, etc. In fact, they are not fanatical about their own products, because they will also be open with other institutions that are indee more in accordance with the conditions of their clients.

Types of Wealth Management

In general, the type of wealth management is divide into 3 main pillars, namely protection, growth, and distribution of wealth, more clearly see the explanation below:

Wealth Protection and Preservation

This type of wealth management focuses on providing protection for the wealth and assets of a family. This protection is given to avoid reducing value, so that wealth and assets are maintaine, both in quality and quantity.

Wealth Growth and Accumulation

Wealth Growth and Accumulation is a type of wealth management aime at growing the value of existing wealth and assets. In order to continue to increase, wealth and assets need to be processe in order to grow bigger, so they must be manage properly.

Wealth Distribution and Transition

The last type of wealth management is wealth distribution and transition, which is 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 with a wealth manager or other party you trust.

Alternative Wealth Management Strategies

After discussing the types of wealth management, this time we will discuss some strategies for those of you who want to join this program, here is a list.


Not many people know that insurance is one of the products of wealth management. Insurance includes wealth management products because there is an element of protection of wealth and assets of its users. Any kind of wealth and assets can be insure, including the health of the body and life. If you want to protect things of value to you, insurance is the best wealth management strategy to choose.

Trust Fund

Trust funds are wealth protection strategies by entrusting them to someone to maintain their benefits. this funds are similar to wills, however, people who trust funds are oblige to manage and maintain the value of the money so as not to change even though many years have passe. In trust funds, usually funds are manage for social benefits such as orphanages, foundation construction, and disaster grants. At any given time, the trust fund manager is oblige to report the management of the fund to the owner or heir.

Hedge Fund

Hedge funds are wealth management strategies by depositing funds in an investment manager to be combine with other funds and investe. This strategy can be done by those of you who have a lot of funds but are still not big enough to invest in giant companies. In a hedge fund, the fund manager will raise the funds of the investors into one, after which it is investe into the company according to the agreement of the investors.

Investment Management

The next strategy of wealth management is investment management, or investment management. In investment management, you can entrust whatever funds you have to a truste investment manager. Next, the manager will manage your funds so that their value increases.

Business Venture

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 certain amount of funds to a new business.

Because the business is still new or even not yet establishe, the return on investment funds is generally time-consuming. However, once the business is advance, the return on investment will be greater than the investment in general.

Estate Management

The last strategy of wealth management is estate management, also calle inheritance management. If you have many family members and are worrie about miscommunication during the division of wealth, you can choose a wealth manager to organize it.

How to Apply for Wealth Management

Intereste in using wealth management services? You can try the 5 stages of how to register below:

Preparing Personal Data and Require Documents

The way is quite easy. You need to prepare the personal data and documents neede to meet the administrative requirements requeste by the bank when registering. To find out what you need you can find out through the internet.

Visit the Nearest Bank

Please visit the nearest bank branch office. If you are confuse about which bank provides wealth management services, you can search the internet as well. This is because not all banks provide wealth management programs.

Also Read Financial Management:

Fill out the Registration Form

Customer service will provide a registration form that you can fill out. Be sure to fill in the data correctly.

  • Verification of Data from the Bank
  • The bank will verify the data liste in the form as well as the requirements documents.
  • Start Managing Wealth With Experts

If your data is verifie, you can start planning for financial management in terms of protection, growth, and transition for old age.

So, wealth management is the services of investment advisors in the field of finance and also financial planning. In fact, this service is not only intende for the rich. Those in the middle class also need this service so that economic conditions can improve.

Well, the more important thing in improving economic conditions is to be able to manage and also manage finances well. For that, you must be able to record every expenditure and income of Anca neatly and precisely on the financial statements. Good luck.

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