When people hear the term portfolio manager, or asset management, they often think of the investment professionals who manage assets in mutual funds.
But for most families and individuals, it’s about a trusted advisor reviewing your portfolio to ensure it’s appropriately diversified across a wide range of asset classes. It also involves monitoring—and, when necessary, adjusting—the asset allocation (the mix of stocks, bonds and cash) in each of your accounts to meet your short- and long-term financial goals and stay within your risk tolerance.
Being your own portfolio manager takes time, expertise and discipline. The wrong asset management approach could jeopardize your retirement, college savings for children or heirs, major expenses, emergency funds, charitable giving and more.
And you’ll want to ensure your investments aren’t costing you hundreds or thousands of dollars each year in excessive fees.
That’s why many investors leave these critical investment portfolio management responsibilities in the hands of a qualified, fee-only fiduciary financial advisor. These portfolio professionals take a holistic view of your wealth management goals and how your money is being invested for many different purposes.
Key questions about asset management a financial advisor can answer
- What kinds of investment analysis and portfolio management services can a fee-only fiduciary financial advisor perform that I can’t do effectively on my own?
- How can a financial advisor make sure that my investments are appropriately diversified to reduce risk?
- What criteria and resources will a financial advisor use to analyze my portfolio and recommend changes?
- How will a financial advisor minimize investment taxes and other expenses?
Portfolio Management Challenges
How a financial advisor in the Wealthramp network can address your portfolio management challenges
Serving as your financial advocate, your fiduciary financial advisor in the Wealthramp network works directly for you. They’ll examine every aspect of your financial life and create a comprehensive plan to help you manage everyday expenses while growing your wealth over time.
And if you hire them to serve as your personal portfolio manager, they can:
Get expert portfolio management
The biggest portfolio management mistakes amateur investors make
Failing to implement an appropriate asset allocation strategy that aligns with your specific investment objectives across your accounts
Allowing capital gains generated by the sale of appreciated securities to push you into a higher tax bracket
Letting fees and commissions charged by expensive mutual funds cost you thousands of dollars every year
Giving in to emotional impulses to sell stocks during market downturns or buy stocks when prices have peaked
Focusing too much attention on price swings among individual securities or funds instead of taking a bird’s eye view of how each account—and your portfolio—are performing as a whole