Many people often mix up the terms “wealth manager” and “financial advisor.” They believe both are the same, which is not correct. See, both wealth managers and financial advisors help rich individuals and families achieve their specific financial goals. But there are some key differences that set them apart.
So, before you choose which expert you should work with, you first need to understand how their qualifications and services differ.
We will explain what to expect from a financial life manager vs. a financial advisor.
Top 5 Differences Between Financial Life Managers and Financial Advisors
When it comes to qualifications, financial life managers and financial advisors often possess the same qualifications. They both hold certifications such as the CERTIFIED FINANCIAL PLANNER (CFPⓇ), or they may also hold a license for Certified Public Accountants (CPAs). Now, talking about the fees, they may charge fees based on the assets they manage for you.
Then what is the difference? Well, the main difference lies in the clientele they serve. Financial life managers, especially, are a specialised group of financial advisors. They mostly handle intricate financial situations. That’s why they work for individuals and families who have significant net worth.
What Financial Advisors Offer
Financial life managers who have CFPⓇ titles offer different types of financial management services. These include personal money planning, retirement strategies, tax advice, budget creation and debt solutions. They aim to help clients achieve their money goals with a wider approach than regular business advisors or investment experts. Financial life managers follow a fiduciary duty, putting your money interests first. When they give insurance tips or handle investments, they try to guide you in ways that benefit you, not their own pay checks.
What makes Financial Life Managers different?
As mentioned above, the key difference between financial life managers and financial advisors lies in their clientele. Financial advisors help a broad range of people, while wealth managers serve high-net-worth individuals.
Financial advisors might not face the same regulations as financial life managers. For instance, CSSF oversees financial life managers’ licensing, but financial advisors could operate under different rules.
The Bottom Line
At Expat Wealth At Work, we are an independent wealth management firm with the best financial life managers. We use a performance-based, fee-only model for financial consulting for expatriates and high-net-worth individuals. This means we don’t make money from selling financial products, unlike regular financial advisors. Instead, our pay depends on how well your investments do. We don’t get any money or perks from outside companies, which makes sure our advice is clear and matches what’s best for you.
This fee-only setup has clear upsides for high-net-worth individuals, families, and expats. By getting rid of commissions, we take away any chance of divided loyalties and focus on helping you reach your financial goals. We make money when your investments succeed, so we want to make the best choices for your financial future.
At Expat Wealth At Work, we focus on custom financial services, like wealth management and retirement planning. We understand the challenges expats and wealthy individuals face when they manage money across different countries and currencies. Our services help you deal with these issues and make your wealth grow and stay safe.
We give personal financial life management services to clients in the UAE, Qatar, Saudi Arabia, Singapore, Europe, Malaysia, Thailand and the rest of the world. From tax planning to handling investments, our expert team aims to get results that lock in your financial future.If you want financial advice that’s unbiased and puts you first, get in touch with Expat Wealth At Work now. We can help you create a financial plan that suits your needs, aiming for long-term success and security.