Wealth Management Tennessee: Services and Considerations
Wealth management is a broad term for financial services that may combine investment management with financial planning and related services.
Wealth management Tennessee households seek may include retirement planning, tax planning coordination, estate considerations, business succession, charitable giving, and investment management.
The exact scope depends on the firm and the client's needs.
Why Wealth Management Can Become More Relevant Over Time
Financial decisions tend to become more interconnected as assets and responsibilities grow.
A business owner may need to coordinate a company transition with retirement planning. A retiree may need to coordinate withdrawals with taxes. A family may need to connect investment decisions with estate and charitable planning.
Investment Management
Investment management can address asset allocation, diversification, portfolio monitoring, liquidity, and risk.
It should be evaluated in relation to the investor's goals and time horizon.
Retirement Planning
Retirement planning can address spending, income sources, Social Security, retirement accounts, withdrawals, and health care considerations.
ProffittGoodson describes retirement income planning that considers inflation, health care, timing, and required minimum distributions.
Tax and Estate Coordination
Financial decisions can have tax and estate implications.
A wealth management relationship may help coordinate with CPAs and attorneys so investment and planning decisions are considered alongside tax and legal matters.
Business Succession
Business owners may need to plan for a future sale, leadership transition, or family succession.
The personal financial effects can be significant, especially when a business represents a large portion of the owner's wealth.
ProffittGoodson describes business transition planning that integrates investment, tax, and estate considerations.
Questions to Ask a Wealth Management Firm
Before engaging a firm, ask:
What services are included?
Are you a fiduciary?
How are fees calculated?
Who manages investments?
How do you coordinate with outside professionals?
How often do you review the plan?
Do you serve clients with circumstances similar to mine?
Conclusion
Wealth management Tennessee households use can bring investment management and broader financial planning into one relationship. The appropriate arrangement depends on the client's goals, assets, family circumstances, business interests, and planning needs.
FAQ
What is wealth management?
Wealth management may combine investment management with financial planning, retirement, tax, estate, business, and charitable planning.
Is wealth management different from financial planning?
The terms can overlap, but wealth management often refers to a broader relationship that may include investment management.
Who should consider wealth management?
Individuals and families with multiple interconnected financial needs may benefit from evaluating a broader wealth management relationship.
How do I compare wealth management firms?
Review services, fiduciary obligations, fees, investment processes, communication, and experience with relevant financial situations.
This material is for informational purposes only and does not constitute legal, tax, or investment advice. Please consult appropriate professionals before making decisions.
DISCLOSURES: The information provided in this letter is for general informational purposes only and should not be considered an individualized recommendation of any particular security, strategy, or investment product, and should not be construed as investment, legal, or tax advice. Proffitt & Goodson, Inc. makes no warranties with regard to the information or results obtained by third parties and its use and disclaims any liability arising out of, or reliance on the information. The information is subject to change and, although based on information that Proffitt & Goodson, Inc. considers reliable, it is not guaranteed as to accuracy or completeness. Source information is obtained from independent financial data suppliers (Interactive Data Corporation, Morningstar, etc.). The Market Categories illustrated in this Financial Market Summary are indexes of specific equity, fixed income, or other categories. An index reflects the underlying securities in a particular selection of securities picked due to a particular type of investment. These indexes account for the reinvestment of dividends and other income but do not account for any transaction, custody, tax, or management fees encountered in real life. To that extent, these index numbers are artificial and cannot be duplicated in real life due to the necessity of paying those transaction, custody, tax, and management fees. Industry and specific sector returns (technology, utilities, etc.) do not account for the reinvestment of dividends or other income. Future events will cause these historical rates of return to be different in the future with the potential for loss as well as profit. Specific indexes may change their definition of particular security types included over time. These indexes reflect investments for a limited period of time and do not reflect performance in different economic or market cycles and are not intended to reflect the actual outcomes of any client of Proffitt & Goodson, Inc. Past performance does not guarantee future results.