Top 5 Wealth Management Tools in the Market

Although stocks and bonds might be excellent investments, what if they aren't the best choice for you personally? 

 

To determine how to protect and increase your money, you can find yourself devoting hours to research. Using wealth management, you are exempt from doing that. To assist you in making well-informed choices based on your objectives and comfort zone, a net worth adviser will handle the bulk of the wealth management process.

 

High net worth people or high earners who aren't yet wealthy might make use of a wealth management advisory service. To help these people achieve their short- and long-term financial objectives, a financial adviser specifically advises them on how to manage their money, including which investments to make, how much money to set up for retirement, etc. 

 

Fortune's management aims not only to safeguard and preserve a high net-worth individual's wealth but also to increase it. A financial adviser may assist you with several different sorts of wealth management.

 

To reduce the pressure that comes with making financial decisions, wealth management is mostly used. You'll want to make sure that you and your loved ones can continue to enjoy your current lifestyle in the event of an unforeseen event. 

 

Having a knowledgeable, experienced somebody in your corner who can provide you with the direction you need to not just get through the unexpected, but also to prepare for it, is what you get when you hire a financial adviser to handle your money.

 

Financial advisers can teach you about investing and money management tactics that will help you get the most out of your money because they are expected to have a solid understanding of both. You won't need to conduct the extensive market research you could have to select the best choice. That will be handled by your financial advisor. All you have to do is choose the best one for you.

 

What Is Wealth Management?

 

The phrase "wealth management" is frequently used in trade and popular periodicals, as well as by financial advisers in front of customers and the boardrooms of private client businesses. However, it is difficult for the majority of experts to precisely define the phrase in practice.

 

Wealth management is quite simple. Wealth management is the science of improving or resolving a wealthy person's financial condition, in their eyes. The capacity of an advisor or advisory team to provide a comprehensive range of financial services and products to a wealthy client in a consultative manner is referred to as wealth management from the viewpoint of a financial adviser.

 

A wealth manager might theoretically provide every financial product imaginably. In actuality, the majority of wealth managers focus on the services and goods they are most familiar with.

 

The fact that wealth management is provided in a consultative way is another characteristic that distinguishes it. Wealth managers who consult with their clients are client-centered. A smart wealth manager approaches a client without any preconceived notions about what financial services or products are suitable for that wealthy person.

 

While it is normal for a rich person to meet with a wealth manager to discuss a specific need (investment management, for example), the primary goal of a consultative wealth manager is to get to know the client and learn what is significant to them and why. After that, the wealth manager may hire the right expertise and offer the right financial solutions.

 

There is a plethora of evidence that demonstrates the income benefits of wealth managers over investment-focused financial advisers. Profits for a financial adviser switching to a wealth manager will typically rise by at least 35% within a year. Therefore, if a financial advisor's yearly salary was $250,000 before becoming a wealth manager, it would increase to $337,500 in a year.

 

Nevertheless, not every financial adviser makes a strong prospect for a career as a successful wealth manager. For example, many financial advisers are successful in managing their clients' money and are not naturally eager to switch to a wealth management role. At the same time, it's crucial to understand that not all wealthy people should engage in wealth management. It is often suitable for rich people with a variety of demands and preferences.

 

Why is Wealth Management Important?

 

Though wealth management has various uses, assisting you in reaching your financial objectives should be its top priority. Your net worth can be raised, your debt can be paid off, and your cash flow can be improved. Your adviser will also assist you in making plans for retirement or other foreseeable requirements.

 

Your financial status has to be improved, which is the main reason you should utilize wealth management. You'll make smarter choices with the assistance of a skilled adviser, which will increase your financial security. For you to make sure that your assets are handed on to the appropriate persons after death, the adviser will also offer guidance on tax and estate planning. When selecting an adviser, seek someone with expertise and a track record of successfully assisting customers in reaching their objectives.

 

Although he or she shouldn't be your sole source of financial assistance, your financial advisor should be one of them. Your life can significantly change and your financial status can be enhanced with the help of the correct counsel.

 

The typical customer may become confused by the abundance of jargon and complicated language in the financial industry. Everything should be explained by your financial counselor in straightforward words that you can follow in daily life. Ask your financial adviser any queries you may have if you are worried about your personal finances.

 

You must manage your wealth if you want to achieve your long-term objectives. A qualified financial adviser will collaborate with you to develop a strategy that enables you to reach personal goals like paying for a child's school, a house, or a car.

 

Wealth management is crucial since it will enable you to pay off debt, prepare for retirement, and put money away for a rainy day. Your financial adviser may also assist you in choosing the best financial products to invest in, which can accelerate the growth of your money.

 

Wealth management may help you avoid financial mistakes that could lead to the loss of your hard-earned money and prevent you from making poor financial decisions with long-term effects. A skilled financial adviser will collaborate with you to develop a strategy that enables you to reach your financial objectives while reducing unneeded risks.

 

Wealth Management Software Tools

 

The top five wealth management software tools used by professional financial advisers based on market share are listed below:

 

1. MoneyGuidePro:

 

MoneyGuidePro is the most widely used financial adviser software product in terms of market share, accounting for 36.82% of the sector in 2021, according to users. One of the most complete systems, MoneyGuidePro was introduced in 2020.

 

The aesthetically appealing, user-friendly appearance of MoneyGuidePro is partly responsible for its popularity. The main gateway is created to engross the user, and it includes a Play Zone where the user may input various parameters and view potential results. The adviser still has the final say over the software, including what aspects of it clients are permitted to view.

 

2. eMoney Pro:

 

A highly comprehensive tool is available from eMoney, which is renowned for its in-depth cash flow analysis feature. In 2021, eMoney Pro's market share increased to 29.7% from 18.7% in 2020.

 

eMoney's financial feed, which offers real-time data, alerts, and news to assist advisers to keep on top of crucial customer and market circumstances, is one of its strengths. The eMoney client site (emX), which enables users to get a printout of their accounts at any time, is another significant feature.

 

In terms of client satisfaction, eMoney holds the distinction of being the highest-rated financial software product. To assist financial advisers at various levels of service, the eMoney product line also offers a variety of independent solutions and APIs.

 

3. RightCapital:

 

RightCapital finished in third position with 9.71% of the market. It is a very young piece of software, especially when compared to other market leaders. It was founded in 2015. When it comes to newer, smaller advisers, RightCapital competes quite well with the market giants, MoneyGuidePro and eMoney Pro.

 

RightCapital was developed to be in the middle ground between too-limited and too-comprehensive planning tools, and it often appeals to millennial clients who need assistance with budgeting. It offers a variety of partner integrations with analytics software tools, custodian/clearing companies, performance reporting systems, and CRM applications.

 

4. Orion Financial Planning:

 

With a 6.3% market share for 2021, Orion Financial Planning comes in at number four. For businesses with assets under management of between $4 million and $5 million, Orion Financial stands out as a top choice. In fact, in 2021, it held about 10% of the market share.

 

Orion Advisor Solutions, which has had tremendous development over the previous few years, acquired Advizr in 2019 and rebranded it as Orion Financial Planning. Orion has increased the number of assets it manages by 50% since its purchase. Orion Financial Planning's market share increased by more than four times between 2020 and 2021.

 

A few examples of the tech solutions offered by Orion Advisor are tax administration, financial reporting, client billing, security trading, company analytics, and financial planning.

 

5. eMoney Plus:

 

With a 6.1% market share in 2021, eMoney Plus, another eMoney product, ranks sixth overall. The program is a step down from eMoney Pro, concentrating on fundamental planning with a more condensed set of options as opposed to the more sophisticated planning capabilities of eMoney Pro.

 

The majority of eMoney Plus' success comes from dual-registered advisers. For these customers, eMoney Plus had a 7.5% market share (behind only MoneyGuidePro and eMoney Pro).

 

Conclusion

 

The client's specific needs will determine the wealth management strategies that are used. In general, hiring a wealth management organization is motivated by a desire to find methods to aid in maintaining and growing your overall wealth. This might mean different things to different people.

 

In general, wealth management entails putting up a comprehensive wealth plan from all the moving parts of a client's financial situation. This may include the client's financial situation concerning taxes, investments, and retirement plans.