Understanding the Differences Between a Wealth Manager and a Financial Advisor

Knowing the impact of your choices on your finances is important for planning for the future. One choice that you may make that could support the pursuit of your financial goals is working with a financial professional. Before you get started, though, it’s important to understand the roles and services of different professionals. Here’s an overview of the differences between a wealth manager and a financial advisor—to learn more, call Harvest Wealth Partners directly. 

What Is a Wealth Manager?

A wealth manager is a financial professional whose primary responsibility is to preserve and grow existing wealth and assets. As such, wealth managers typically only work with privately wealthy individuals and families, and may provide services such as tax and estate planning, investment services, and other advice directly related to wealth growth. 

Services Provided By a Financial Advisor

While a wealth manager is primarily concerned with growing a client’s assets, a financial advisor provides a wide range of financial advice related to day-to-day finances and investment decisions. For example, a financial advisor may offer the following services:

• Retirement planning—a financial advisor can help individuals and families create retirement plans and answer questions about retirement
• Pension plan participant services—for individuals who have a pension plan and have questions about that plan, including when benefits will start and how a pension plan will contribute to their overall retirement plan, working with a financial advisor is recommended
• Insurance planning—a financial advisor can help review policies for life insurance, long-term care insurance, health insurance, and disability insurance
• Investment services—most financial advisors provide services related to understanding 401(k)s, mutual funds, stocks, bonds, and other investment vessels
• Private wealth strategies—in many cases, a financial advisor will provide similar services to those offered by a wealth manager when requested

Should I Work with a Wealth Manager or a Financial Advisor?

Whether you should work with a wealth manager or a financial advisor depends on your individual financial goals. If you are a privately wealthy individual who needs support in managing that wealth, a wealth manager may be more appropriate; if you are someone who is looking for support when it comes to planning for retirement, creating a budget, or making investment decisions, a financial advisor can help. 

Call Harvest Wealth Partners Today for a Consultation

To learn more about the differences between a wealth manager and a financial advisor and which one may be a better fit for your financial needs, call Harvest Wealth Partners directly today. We offer free initial consultations. 

Content in this material is for general information only and not intended to provide specific advice or recommendations for any individual. To determine which strategies or investments may be suitable for you, consult the appropriate qualified professional prior to making a decision.

Contributions to a traditional 401(k) may be tax deductible in the contribution year, with current income tax due at withdrawal.  Withdrawals prior to age 59 ½ may result in a 10% IRS penalty tax in addition to current income tax.

A Roth 401(k) offers tax deferral on any earnings in the account. Qualified withdrawals of earnings from the account are tax-free. Withdrawals of earnings prior to age 59 ½ or prior to the account being opened for 5 years, whichever is later, may result in a 10% IRS penalty tax.

This material was prepared for Harvest Wealth Partners financial advisor’s use.