Investment management and wealth management – it is easy to be confused by these terms, particularly because they are often misrepresented. What do they actually imply, what are the key differences, and which might be best for you? Find more details Morgan Stanley Pleasanton.

What is wealth management?

Wealth management looks at an individual’s finances as a whole and how they can be managed to achieve their long-lasting monetary and individual objectives. In addition to dealing with clients’ investments, wealth management encompasses a wide set of services, such as legal preparation, insurance coverage, accounting, and financial, charitable giving, and tax advice.

There are higher minimum asset limits, and one can expect to pay greater charges for the more thorough service. A great supervisor might justify this through the cost savings their service supplies.

Benefits of wealth management

As wealth supervisors use many of the services of an investment supervisor, their clients acquire the exact same advantages. However, the additional services on offer mean that wealth management can offer additional benefits.

Meaningful Method

As wealth management looks at all aspects of clients’ monetary affairs, it aims to supply a customized method to realise their objectives. By combining various services, a wealth supervisor can find the best path to paying off a home mortgage or preparation for retirement, whilst preventing tax ineffectiveness or undue risk.

This holistic approach attempts to comprehend and predict how various locations of an individual’s finances interact and arrange them appropriately.


A wealth manager can supply a single focal point for all monetary matters. Instead of having a broad assortment of consultants, a wealth supervisor might change the need for a different financial organizer or investment manager, for example.

Their breadth of understanding also implies that they can function as a guide for those less familiar with the practices and technical language that frequently surrounds monetary services.

What is investment management?

The primary function of the financial investment supervisor is to advise on, organise and grow customers’ financial investments.

After discussing a customer’s monetary goals and acceptable risk levels, a financial investment manager puts together a portfolio of financial investments appropriate to their requirements. They then will keep customers updated on the state of their portfolio, offering recommendations and implementing changes.

Advantages of financial investment management

Financial investment management services in some cases need a minimum financial investment and come with a charge – normally a small percentage of the possessions under management. Nevertheless, they can offer numerous benefits.

Lowered Danger

With a financial investment manager building a varied portfolio, properties are less susceptible to fluctuations in specific investments. With hundreds of smaller sized investments likely spread throughout various industries and possession classes, if one performs poorly, others are most likely to compensate.


If the client desires, they can obtain a vast array of financial investments with the minimum effort, making it perfect for time-poor individuals. As the documentation and day-to-day running are taken care of, much of the stress of investing is eliminated.

Greater Returns

Among the greatest benefits is that you can get the knowledge of the specialists. The very best financial investment supervisors frequently have a wealth of experience and worldwide networks which can help them find the best chances and reach much better results.