So, you have decided on a career in wealth management. How do you build up your client base? How do you convince clients to entrust you with their futures? Let’s take a look.
What is wealth management?
A wealth manager is a professional that protects and grows their client’s personal wealth. The clients are typically individuals with very high net worth’s. Wealth Managers advise and invest money on behalf of their client. They also act as a stockbroker for their client, buying and selling on their behalf. A wealth manager also offers financial and investment advice, along with accounting and tax services.
The US Bureau of Labor Statistics project about 21,500 openings for personal financial advisors are projected each year over the next decade.
Education is always needed.
There are no state guidelines on what education must be obtained. A wealth manager usually possesses a bachelor’s degree in business, finance, economics, or management. There are also certifications that can be obtained -the Certified Financial Planner (CFP) and Chartered Wealth Manager (CWM). The company you work for will have their own requirements.
Personal traits that are helpful.
There are quite a few skills that a person needs to possess to be a successful wealth manager.
While creating an investment portfolio for a client, analytical skills are a must. Wealth managers will be assessing a range of information, including economic trends, regulatory changes, and risk assessments.
Interpersonal skills are also very necessary. Clients need to be comfortable with their advisors. Both sides need to have trust and open communications. They also will need to explain complex financial concepts in a way that clients understand.
Math is another key skill needed. Wealth managers will be working with numbers to determine the amount invested, how that amount has grown or decreased over time, and how a portfolio is distributed among different investments.
Training, training, and more training.
When it comes to training, it never ends. Laws, codes, and governance are always changing. You must stay up-to-date on the latest compliance changes or risk losing clients.
Besides rules changing, so is the market. A daily market evaluation is necessary. How else would you know where to invest in wisely? There are many sites that offer real-time market info and a daily wrap-up.
Have we mentioned training?
According to research from Northwestern Mutual, 71% of Americans say their financial planning needs improvement. That’s where a wealth manager steps in.
OnCourse Learning offers ten courses covering topics that all wealth managers need. These courses cover topics including investment products, Bank Secrecy Act (BSA) relation to wealth managers, annuities & pensions, and more. Sign up today to start your new career or refresh your current one!