search 2013 adfgs

What does a bank’s wealth management division do, exactly?

Which banks have a reputation for having the best ones?

I’ve recently and unexpectedly received an extremely large sum of money and don’t know where to put it.

Share and Enjoy

  • Facebook
  • Twitter
  • Delicious
  • LinkedIn
  • StumbleUpon
  • Add to favorites
  • Email
  • RSS

Tags: , , , ,

About Richard Butler

Richard Butler has been marketing online since 1993. As well as having generated "affiliate" income, he also provides "done for you" solutions for small business owners & entrepreneurs: and has his only Web Hosting solution: He has also used his online skills in his Real Estate Investing business, where he is well known as the "video marketing" expert.

One Response to “What does a bank’s wealth management division do, exactly?”

  1. Ignatius27 October 25, 2013 at 3:09 pm #

    A bank’s wealth management operation caters to wealthy individuals, trusts, non-profits, small pension plans, and other customers of the bank that have professional investment management needs. A bank’s wealth management group will have access to registered investment advisers internally and externally to the bank. The bank’s wealth management staff will try to match customers who are long cash with investment opportunities that are not generally available to retail investors. For example, if a family member has recently come into an inheritance and wants to put the money to work (rather than buy bonds or put it in a money market), the bank staff will work with the customer to determine their risk tolerance, time horizon and any investment screens (cigarette investments, military investments,etc.). They will then come up with an investment plan for the customer that puts all the money to work. They could end up with 10% in hedge funds, 30% in an international equity fund and/or 40% in a preferred class of a growth company’s stock. In each of these cases, a retail investor with less than $100,000 to invest will not have the same opportunities to invest as the family member. This is because the size of the family member’s investment ($500k and above) qualifies them to invest in hedge funds, “I” class shares and preferred stock. The bank’s wealth management group works with the family member to identify these investing opportunities; there may also be a tax aspect to the investments as well.

Leave a Reply

Powered by Yahoo! Answers