The Importance Of A Wealth Management Team In Becoming Seriously Wealthy
By: Russ Alan Prince - November 29, 2017
For people amassing wealth often by having an equity stake in a successful business, the use of super-rich solutions can prove to be very advantageous. Several wealth management strategies and products used by the super-rich, ultra-wealthy business owners, and family offices are increasingly available to a wide array of affluent individuals and businesses. Examples of super-rich solutions include private placement life insurance, captive insurance companies, and sophisticated defined benefit plans.
It is very telling that few, if any, wealth managers are polymaths. While they might be experts in a facet of wealth management, such as investment advisory, they are unlikely to be authorities with regard to all the various strategies and products. So to get optimal results, astute wealth managers build a team of specialists to support their efforts. However, to achieve superior results takes more than having specialists available.
According to John Bowen, founder of AESNation and author of Becoming Seriously Wealthy, “In our survey of 803 financial advisors, nearly every one of them said they know specialists they can refer their wealthy clients to. But only about one in five said they have a well-structured comprehensive team of specialists. Even more telling is that of all the financial advisors who have specialists they can refer only about seven percent of them have systematic processes to manage the specialists they work with. For those without a well-structured comprehensive team of specialists, the percentage drops to below four percent. Meanwhile, only about a fifth of financial advisors who have a well-structured comprehensive team of specialists have a set of processes to manage the relationship and delivery of services and products to wealthy clients.”
“Building teams is one of the great strengths of the self-made wealthy,” says Lewis Schiff, Executive Director, Birthing of Giants Fellowship Program. He notes that super-entrepreneur, Richard Branson, creator of the Virgin brand, is so severely dyslexic that he relies entirely on other people to help him understand the implications of his vision. “That dyslexia is not a disability for Branson,” says Schiff, “it’s his super power. He’s used it to develop a muscle for finding and attracting great talent. That’s what’s behind his wealth accumulation.”
This means that the super-rich solutions instrumental in helping you become seriously wealthy will need to be delivered and monitored by the appropriate top-notch specialists, usually under the auspices of a high-caliber wealth manager. Furthermore, unless a well-structured wealth management team is operating cohesively, you are likely to fall short of what is possible.
Article Source: Forbes