What is a wealth manager and what do they do?

A wealth manager is a financial expert who offers personalised advice to high-net-worth individuals. Their services go beyond typical investment advice, covering areas like tax planning, estate planning, and retirement strategies.

By understanding your unique financial goals, a wealth manager helps you make informed decisions to protect and grow your wealth. For those with assets exceeding £1 million, engaging a wealth manager can provide peace of mind and long-term financial security.

In this article, we’re going to take a detailed look at what a wealth manager does and how they help high net worth individuals.

The Role of Wealth Managers

Wealth managers offer a comprehensive range of services tailored to high-net-worth individuals. These services include investment management, tax planning, estate planning, and retirement planning.

They can also provide advice on philanthropy, insurance, and risk management.

By integrating all these aspects, wealth managers ensure that their clients' financial goals are met holistically.

Differences Between Wealth Managers and Financial Advisors

While both wealth managers and financial advisors provide financial advice, there are key differences.

Financial advisors typically focus on specific areas such as tax advice or retirement planning.

Wealth managers, on the other hand, offer a more integrated service, addressing all aspects of a client's financial life. This makes wealth managers particularly suited for affluent clients with complex financial needs.

Typical Clientele

Wealth managers usually cater to high-net-worth individuals, often with assets exceeding £1 million.

Their clients include business owners, executives, and individuals with significant inheritances. These clients require sophisticated financial strategies and personalised advice to manage and grow their wealth. Wealth managers provide the expertise and services needed to meet these demands.

Key Wealth Management Services

There are several services that a wealth manager might provide for a client, the main ones are examined below.

Investment Management

Investment management involves creating and overseeing a portfolio tailored to your financial goals and risk tolerance. Wealth managers diversify your investments across various asset classes to maximise returns and minimise risks. They continuously monitor market trends and adjust your portfolio accordingly. This ensures that your investments align with your long-term objectives.

Financial Planning

Financial planning is about developing a comprehensive strategy for your financial future. This includes budgeting, saving, and planning for major expenses such as buying a home or funding education. Wealth managers help you set realistic financial goals and create a plan to achieve them. They provide ongoing advice to adapt your plan as your circumstances change.

Tax Planning

Tax planning focuses on legally minimising your tax liabilities. Wealth managers identify tax-efficient strategies for your investments and income. This might involve utilising tax reliefs, allowances, and structuring your affairs to reduce your overall tax burden. Effective tax planning can significantly enhance your financial outcomes.

Estate Planning

Estate planning ensures that your wealth is passed on according to your wishes. Wealth managers help you set up wills, trusts, and other structures to manage and protect your assets. They ensure that your estate is distributed efficiently, potentially reducing inheritance tax liabilities. This provides peace of mind that your loved ones will be taken care of.

Retirement Planning

Retirement planning is about securing your financial independence in later life. Wealth managers assess your current savings, pensions, and investments to create a plan that meets your retirement goals. They consider factors such as life expectancy, healthcare costs, and desired lifestyle. This helps ensure that you can enjoy a comfortable and financially secure retirement.

The Wealth Management Process

There are four main steps to the wealth management process, starting with the initial consultation.

Discovery Meeting

The wealth management process begins with an initial consultation. During this meeting, the wealth manager gathers detailed information about your financial situation, goals, and risk tolerance. This assessment includes reviewing your assets, liabilities, income, and expenses. The aim is to understand your unique needs and objectives comprehensively.

Development of Personalised Strategies

After the initial assessment, the wealth manager develops personalised strategies tailored to your financial goals. This involves creating a comprehensive plan that addresses various aspects of your financial life, such as investments, tax planning, estate planning, and retirement planning. The strategies are designed to maximise growth, minimise risk, and ensure tax efficiency. Every plan is customised to reflect your specific circumstances and long-term aspirations.

Implementation of Strategies

Once the strategies are developed, the next step is implementation. The wealth manager puts the plan into action by selecting appropriate investments, setting up necessary accounts, and making any required adjustments to your current financial arrangements. This stage is critical as it transitions the plan from theory to practice. The wealth manager ensures that all actions align with the agreed-upon strategies and objectives.

Ongoing Monitoring and Adjustments

Wealth management is an ongoing process that requires continuous monitoring and adjustments. The wealth manager regularly reviews your portfolio and overall financial plan to ensure they remain aligned with your goals. They monitor market conditions, regulatory changes, and any personal life changes that may impact your financial situation. Adjustments are made as needed to keep your plan on track and to adapt to any new opportunities or challenges.

Typical Costs

The costs of wealth management services can vary widely. For fee-only models, wealth managers typically charge 1% to 2% of AUM annually. For commission-based models, the costs depend on the products sold, with commissions ranging from a few percent to higher figures for complex products. For more information on our pricing, please see https://www.investmentquorum.com/pricing

Wealth Manager Credentials and Qualifications

When choosing a wealth manager, look for relevant certifications that demonstrate their expertise and professionalism. Common certifications include:

  1. Chartered Financial Analyst (CFA): This is a highly respected credential that focuses on investment management.
  2. Certified Financial Planner (CFP): This certification covers a broad range of financial planning topics, ensuring comprehensive knowledge.
  3. Chartered Wealth Manager (CWM): This designation is specific to wealth management and signifies a deep understanding of managing high-net-worth clients.
  4. Chartered Financial Planner: Offered by the Chartered Insurance Institute (CII) in the UK, this is one of the highest accolades for financial planners.

Professional credentials are crucial for several reasons.

They indicate that the wealth manager has met rigorous educational and ethical standards. Credentials provide assurance that the advisor is knowledgeable and competent in handling complex financial matters.

Furthermore, certified wealth managers are committed to ongoing education, ensuring they stay current with the latest financial trends and regulations. This can give you confidence in their ability to manage your wealth effectively and ethically.


Wealth management is essential for affluent individuals seeking to protect and grow their wealth.

It offers a comprehensive approach, addressing everything from investment and tax planning to estate and retirement planning. By integrating various financial services, wealth management ensures that your financial goals are met in a cohesive and efficient manner. This holistic approach not only maximises your financial potential but also provides peace of mind.

Choosing the right wealth manager is crucial. Look for professionals with relevant certifications, such as CFA or CFP, which indicate a high level of expertise and ethical standards.

Consider their fee structure to ensure it aligns with your financial situation and goals. Most importantly, choose a wealth manager who understands your unique needs and can provide personalised, ongoing support.

A trusted wealth manager can make a significant difference in securing your financial future.